Advertising Disguised as News: Does it Matter?
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Each article also contains most of the other usual elements of real estate advertising: the name and telephone number of the broker and agency, location of the property, numbers of bedrooms, baths, proximity to shopping, transportation, etc. Differences between ads and news Were this journalism, one might expect a more factual tone. And greater care with facts. The spire of the “painted lady” can’t possibly be the highest point in Santa Cruz. It barely reaches the elevation of the foundation of a half dozen churches higher on the hill, including Holy Cross with its landmark bell tower.
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Journalism would concentrate on the consumer’s questions, rather than the real estate agent’s hyperbole. And it might choose properties more readers could afford. The average price of the five houses featured in September was $7.7 million, beyond the financial grasp of all but a tiny percentage of residents, even in wealthy Santa Clara County.
Were this journalism, the focus might be on an entire development or style of house. We don’t learn much about South Bay real estate when a story describes a single house. Perhaps the story is presented only as a light feature, a glimpse of houses you’ll never own. But why then does it make such an earnest effort to sell the property?
“Fantasy Home” differs from advertisements inside the real estate section only in three particulars: It’s free, written for the Mercury by a free-lancer. It’s neither labeled nor laid out as an advertisement. And it’s placed above the fold on the front page, a location the Mercury reserves for news alone.
Bob Steele, an ethicist at the Poynter Institute, a journalism think tank and training institution in Florida, says: “As you describe it, it does raise the concerns about the impact of such content on the credibility of the paper. Will readers see the Mercury as compromising journalistic independence? Will there be a perception by some that financial motivations are driving this content to the detriment of the paper’s editorial integrity?”
Phantom copy?
“We used to call that ‘phantom copy’,” says Marquette University Communication Professor Lawrence Soley. He has conducted several surveys measuring the pressures large advertisers put on print and broadcast newsrooms. “Essentially it’s a bonus ad,” he says. “Advertise with us and we’ll throw in phantom copy. It’s done very frequently by small weekly newspapers across the United States.”
“I’d say it’s neither news nor advertising,” responds “Fantasy Home” author, free-lance writer Katherine Clay. She says Mercury editors don’t tell her which properties to profile and that she’s not employed by the real estate industry.
Popular with Realtors
The feature has been a hit with real estate agents, she explains: “I’ve gotten just a flood of emails from Realtors with properties for sale….” They say it creates a big flurry [among potential buyers] right at the beginning. It seems to be creating a lot of interest.”
Asked how “Fantasy Home” differs from an advertisement, Business Editor David Satterfield responds: “I would say it would probably differ not a whole hell of a lot. Because it is geared to very high-end homes, kind of a ‘Lifestyles of the Rich and Famous,’ there’s a prurient interest that people have. It’s not hard-hitting journalism, that’s for sure.”
Mr. Satterfield, whose department supervises the real estate section, concedes that “some people might perceive it is advertising.” But “it’s also something that attracts people to the section.”
Does that justify it? “Sure, I think so.”
But he adds, “When I first saw it, I wasn’t all that crazy about it.”
Another Mercury business reporter expressed stronger reservations: “In my mind, there are no reasons to have it in the paper except for bad reasons.”
No comment
Business section journalists say “Fantasy Home” is the brainchild of Managing Editor Susan Goldberg. Neither Ms. Goldberg, nor Executive Editor David Yarnold, responded to phone calls or email queries over a two-week period.
The final commandment of the Society of Professional Journalists Code of Ethics is “Be accountable. Clarify and explain news coverage and invite dialogue with the public over journalistic conduct.”
The conclusion that Mercury news executives follow different standards than other journalists in their organization seems difficult to escape. So is the conclusion that those who shape the news most powerfully ought to be the most accountable to ethical standards.
--John McManus
