On March 24, 2025, South Korea's Fair Trade Commission (FTC) imposed a 390 million won fine on Kakao Entertainment for breaching the Display and Advertising Act. The FTC found that from October 2016 to February 2023, Kakao engaged in misleading marketing practices by concealing their involvement in promotional posts, misleading consumers into believing they were organic opinions rather than paid promotions. This included over 2,353 undisclosed posts across 15 platforms, raising concerns about consumer trust and transparency in advertising. Additionally, while investigating for possible negative marketing against LE SSERAFIM, the FTC found no evidence.
Kakao Entertainment was fined 390 million won for concealing paid ads in social media posts, misleading consumers about their nature from 2016 to 2023.
The FTC uncovered 2,353 undisclosed promotional posts across 15 platforms where Kakao failed to disclose ties, leading to consumer manipulation.
Collection
[
|
...
]