Original article (in Slovenian) was published on 15/11/2021
After receiving queries from Razkrinkavanje.si about hidden advertising, the Slovenian Media Inspectorate will start a proceeding against the newspaper publisher Delo that publishes the weekly supplement Ona.
»It shows results within just two weeks of use and effectively reduces wrinkles and fine lines around the eyes, mouth, and forehead that are impossible to avoid after the age of 30,« Ona, the weekly supplement of daily Delo, reported on 19 October.
The “story” featured the brand’s 4D Hyaluron facial cream and readers were told they could buy it at a 50% discount and offered a »super discount code« on top of it.
The article didn’t explain how the facial cream manages to effectively reduce wrinkles after just two weeks of use. This information is also not available in Lux Factor’s online stores. The brand claims that its products have the ISO conformity certificate to attest to their quality, however as revealed by Oštro in October, the certificate is a fake.
The Slovenian Health Inspectorate had already banned the sale of Lux Factor cosmetic products in Slovenia in 2017 for failing to meet a number of requirements, such as proof of claims made about their products.
As reported by Oštro, the revenues from the sale of their cosmetic products were funneled into Lux Factor in the Seychelles, a company that a Maribor-based businessman Marko Glinšek denied for years he was the beneficial owner of. This claim was refuted by Oštro. Glinšek was convicted last year of deception of consumers in connection to the sales of Lux Factor cosmetics.
Ads must be appropriately labeled
Razkrinkavanje.si asked five dermatologists and a pharmacist how anti-aging facial creams work and whether the Lux-Factor 4D Hyaluron facial cream can be effective after just two weeks. They either did not respond to our questions or did not want to publicly comment on the effectiveness of the cream stating they would need to study the case in more detail, or because they feared possible legal action.
The “story” published in Delo’s supplement Ona was not signed by an author but it was also not labeled as advertising as prescribed by the Mass Media Act and the Slovenian Advertising Code.
The Mass Media Act prohibits publishers from publishing »hidden advertising intended to convince the reader, listener or viewer that a particular ad is not advertising.« The Code dictates that content must be immediately recognizable as advertising.
In a reply to Razkrinkavanje.si’s inquiries, Ona’s newsdesk stated that they »have now established that was in fact an advertisement«. Delo’s advertising department explained they had overlooked that the piece was an ad and not editorial content. The appropriate labeling of advertising had been inadvertently omitted, they said.
Neither Ona’s newsdesk nor Delo’s advertising department was aware of Oštro’s findings regarding Lux Factor cosmetics.
Undermining journalism
Jernej Amon Prodnik, professor of journalism at the Faculty of Social Sciences in Ljubljana, told Razkrinkavanje.si that »hidden advertising undermines journalistic integrity and trust in journalism«. This is problematic, he said, because even without such practices trust in journalism has already been damaged.
He explained that professional standards of journalism are based on a clear distinction between journalistic work and advertising, the main purpose of which is to sell products. However, advertisers try to circumvent this distinction with hidden advertising. Articles purporting to be the work of a journalist carry »a greater air of authenticity than if they were just an advertisement.«
He warned that failure to respect the distinction in one medium may affect trust in journalism on the whole: »Why would people buy a news medium and trust it on certain health issues if it will try to sell them snake oil under false pretenses at the same time? I would have expected that at least in principle, in the context of the pandemic, this would have already been given some thought.«
After inquiries by Razkrinkavanje.si, the Culture and Media Inspectorate, which is responsible for determining whether media content has been commissioned or paid for, announced it would start a proceeding against the publishing house Delo, the publisher of Ona.
After Oštro’s revelations on 4 October about the business behind Lux Factor products, they were also advertised on the news website 24ur.com but the content was appropriately labeled as advertising. Between 4 October and 10 November the news site published 15 ada for Lux Factor cosmetic products.
24ur.com’s marketing department responded that advertising content is strictly separated from editorial content on their website, and that they adhere fully to the advertising code. »As an advertising platform, we are not the arbiters. We believe we have appropriate authorities for that.«
We also asked the Slovenian Advertising Chamber for their opinion, but were told they could not comment on specific cases. They have not received any formal complaints about Lux Factor’s advertising, however they did not rule out possible complaints in the future.
According to the methodology of Razkrinkavanje.si, the “story” about Lux-Factor’s 4D Hyaluron facial cream published by Ona is a case of hidden advertising.