In 5 Hours, a Top Tiktoker Sells $650 Million Worth of Merchandise

Vice President of Parliament Shares Stories

On the morning of June 4th, the National Assembly’s Standing Committee provided feedback and discussed amendments to the draft Law on amending and supplementing a number of articles of the Law on Advertising.

Reporting on significant issues regarding the draft law, Chairman of the Culture and Society Committee Nguyen Dac Vinh stated that some suggestions proposed tightening regulations on influential product endorsers. Specifically, it was suggested that “only individuals with expertise related to the product should be allowed to endorse it in advertisements.”

However, the reviewing committee argued that in a market economy, the participation of celebrities in advertising activities is a positive commercial endeavor. It boosts production, business, economic development, and encourages innovation in advertising. Additionally, laws on food safety specifically regulate advertising activities by medical facilities and personnel. Therefore, the draft law maintains the provision of “no restriction on advertising for influential individuals.”

Mr. Vinh also addressed suggestions to clarify the feasibility of requiring influencers to verify the reliability of advertisers. The reviewing committee deemed it necessary to include explicit provisions outlining the rights and obligations of product endorsers. This aims to address issues arising from celebrities and influencers engaging in false advertising or promoting counterfeit goods.

During the meeting, Vice President Hoan shared anecdotes from his time in China. He recalled a story from a local journalist, who claimed that “a single five-hour appearance by a famous Tiktoker at a durian wholesale market generated sales of up to 650 million USD.” Similarly, car manufacturers often invite famous football players to stand next to their vehicles during promotional events, showcasing the power of celebrity endorsements.

These examples highlight the modern shopping trend of following idols and the undeniable influence of celebrities and media. However, Mr. Hoan emphasized the need to be vigilant against potential legal issues and violations.

Delegate’s Attire with Logo – Not Considered Advertising

Chairwoman of the Committee for Deputy Affairs, Nguyen Thanh Hai, raised a discussion point regarding the Code of Conduct for National Assembly sessions. Some delegates proposed adding prohibited behaviors, such as wearing clothing or accessories with corporate logos, commercial slogans, or personal symbols that could lead to misunderstandings about their representation.

Ms. Hai expressed her concern about whether this proposal fell within the scope of advertising regulations. She questioned, “Does a National Assembly delegate wearing attire with a logo while speaking in the hall transmit an advertisement to the voters who are watching?”

She extended this question beyond National Assembly sessions, asking if similar considerations applied when delegates interacted with voters or if there were any restrictions on their choice of attire and associations with businesses.

Ms. Hai sought clarification on whether this situation constituted advertising and if it generated profit, given that these individuals also hold influence.

In response, Minister of Culture, Sports, and Tourism, Nguyen Van Hung, clarified that a National Assembly delegate wearing a branded outfit with a logo does not constitute advertising in the legal sense. He asserted, “Only when there is a commercial element and a media contract is it considered advertising. This clarification should ease any concerns delegates may have about their attire in the assembly.”