The Federal Trade Commission ("FTC") revealed this week the results of its latest Undercover Shopper Survey. The Undercover Shopper program was designed by the FTC to test the effectiveness of self-regulatory programs by the motion picture, music recording, and electronic game industries. Under the program, the FTC sends 13- to 16-year-olds, unaccompanied by a parent, to attempt to buy R-rated movie tickets, R-rated DVDs, unrated DVDs that were R-rated when first released in theaters, music CDs carrying a Parental Advisory Label (PAL) that warns of explicit content, and video games rated "M" (suitable for persons age 17 and older). Between April and June 2012, these teenagers attempted to make product purchases at national and regional chain stores and theaters across the United States.
The results of the Undercover Shopper Survey show promising and "continued progress" in the FTC's effort to curb marketing to children of violent entertainment products. The video game industry had the highest level of ratings compliance, with only 13% of underage teenage shoppers able to buy M-rated video games at major national retailers. Ratings enforcement at the movies was at its highest level since the FTC began its Undercover Shopper program in 2000, with less than one-quarter of underage shoppers able to buy a ticket to an R-rated movie (down from one-third in 2010). AMC Entertainment, Regal Entertainment Group, and Marcus Theatres demonstrated the highest level of enforcement. Thirty percent of shoppers were able to purchase R-rated DVDs (compared to 38% in 2010), and 30% were able to buy unrated DVDs (down from 47% in 2010). Blockbuster, Best Buy, Walmart, and Kmart denied more than three quarters of R-rated DVD purchase attempts. Forty seven percent of underage shoppers were able to purchase CDs with the PAL label (down from 64% in 2010 and 72% in 2009). Barnes & Noble, Best Buy, Target and Kmart all denied sales of CDs with the PAL label to half or more of the undercover shoppers.
The FTC issued its first report on marketing violent entertainment to children in 2000. Since then, the Commission has called on the entertainment industry to be more vigilant in restricting the marketing of mature-rated products to children, clearly and prominently disclosing rating information, and restricting children's access to purchasing mature-rated products in stores. The last report to Congress on marketing violent entertainment to children was published in 2009. As these newest survey results show, retailers remain vigilant in their efforts to keep inappropriate entertainment products out of the hands of America's minors. Further information about entertainment product ratings can be found here.
This article first appeared in Entertainment Law Matters, a Frankfurt Kurnit legal blog.
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