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on Facebook based on their interests in gambling, alcohol, and dieting.101 While Meta
<br /> announced in 2021 that they were restricting advertisers' ability to target teens based on their
<br /> interests, this change was misleading, as the company's ad targeting algorithm still used the
<br /> data it collected on young people to determine who is most likely to be vulnerable to a given
<br /> ad.106
<br /> Even in cases where the products aren't as harmful as alcohol or dieting aids, surveillance
<br /> advertising exploits children. As Common Sense notes, "Kids may be profiled as gamers,
<br /> impulsive purchasers, or anxious oversharers—and then unfairly targeted by ads that
<br /> encourage more of these things."10'
<br /> Influencer marketing
<br /> Product placement and host-selling are not permitted on children's television, where
<br /> regulations require clear separation between content that is advertising and content that is not.
<br /> The online marketing ecosystem does not have similar rules, and as a result, advertising and
<br /> entertainment and informational content are deeply intertwined.
<br /> One of the ways that marketers reach kids and teens online is by advertising products through
<br /> influencers and trusted fictional characters. This method of advertising is highly appealing to
<br /> marketers because it is seen as more "authentic" and it capitalizes on the relationships that kids
<br /> and teens form with the characters and media figures they see online. This advertising sector is
<br /> huge and getting bigger. Market research shows that influencer marketing is currently growing
<br /> by billions of dollars annually.108 Influencer marketing reaches even the youngest kids online:
<br /> "kidfluencers" on YouTube receive millions of views on videos of themselves unboxing and
<br /> showing off new toys from brands and marketers.
<br /> Research demonstrates that influencer marketing overcomes children and teenagers' nascent
<br /> cognitive ability to understand and defend themselves against advertising. For example, young
<br /> people identify closely with these media characters and figures and develop feelings or
<br /> brands that relied heavily on social media to market and promote its products.");Julia Cen Chen-Sankey et al., E-
<br /> cigarette Marketing Exposure and Subsequent Experimentation Among Youth and Young Adults, 144 Pediatrics at
<br /> 8(Nov.2019), 17„G;tpas.ZLdoi.or ,ICY„-,s,4, , pa ds.2.019-1 J J9;see also Erik Larson et al.,Juul Reaches$439 Million
<br /> Settlement Over Marketing to Kids, Bloomberg Law, (Sept.6,2022), I7GIpas.//i7pws.loloorrilaprp l ,tu.cr�rri/17, OIG17 ID
<br /> !.i7,ci...:.la,u.sss%i es..s./Iu.su.sl r c17 s 439 rriillir�i7 rriu.slGi sG G s GGl rri i7.� rev r rri rl< Gii7 .
<br /> 105 Farthing, Rys,et al.,Profiling Children for Advertising:Facebook's Monetisation of Young People's Personal Data,
<br /> ResetAustralia (April 2021),................ .s........ G 7 -children-for-adYer..GiI.e. r 7 . ar�.�/. ..... ................................................................................................ ............... ..................................................................................................................s.....i.....7...g.....
<br /> L..pAf-
<br /> '0'Id. In February 2023, Meta announced yet another change to its ad targeting for teens and now claims it will not
<br /> use teens interests or online activities at all for the targeting of ads to minors.As of this writing, Fairplay has not
<br /> had the opportunity to verify this claim.
<br /> '0'Joseph Jerome and Ariel Fox Johnson,AdTech and Kids:Behavioral Ads Need a Time-Out, Common Sense,
<br /> (2021 17GG s. c12JJJ' J3rri %3.clr�u.sclfrr�i7G.i7G sits c1 � u.slG ails u.s Ir� cis Ac11Wc17¢%20i7c1`%201<icis.
<br /> ), I........././..............................................l..q..................................................................................................................................../........................../......................................... ......................./.........I.............................. ............................................................................................................................................p.............
<br /> 1011 Traackr,2022 Influencer Marketing Impact Report at 2, (2022),
<br /> I�dd s. www.dr cl<r.cc�i d iii !u.u�:iic�:ri rl«:diii ii -1 r�: �c�rd �0�� State Influencer 2022
<br /> I.............././......................................................................................................../.............................................../.............................................................................................................g....................I.......................................a........................ f f 9
<br /> Influencer Marketing Hub at 10, (2022),
<br /> ::.I.?.s..p././.!..i, 1,a.1.::"..i, ::".!::.i , ,l,,l.......
<br /> ::":.%i, Benchmark_I"i �Ord_20��.I�rid.
<br /> Testimony of Josh Golin, Fairplay, February 14, 2023 17
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