Oct

Heads Up, Take Heed, Pay Attention

blogtraf-150x150 Effective December 1st The Federal Trade Commission will require bloggers to disclose any and and all payments or other incentives received from companies for reviewing their products and/or services.

This is the first time since 1980 that the commission has revised its guidelines on endorsements and testimonials, and the first time the rules have covered bloggers.

The commission did not specify how bloggers must disclose any conflicts of interest.

The FTC said its commissioners voted 4-0 to approve the final guidelines, which had been expected. Penalties include up to $11,000 in fines per violation.

Personally, this seems to be overdue and correct. Anyway, that is my opinion. You are welcome to express yours as well! :mrgreen:

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3 Comments

Heads Up, Take Heed, Pay Attention | Daily Tips for You
October 5th, 2009 at 12:10

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Kevin Polley
October 6th, 2009 at 16:37

While the sentiment of the ruling may be good (it’s being done to protect the consumer) the fact remains that the FTC want to introduce something else in a way that is open to abuse and misinterpretation - and that’s by the enforcers.

The fact that they didn’t even specify how anyone selling anything online has to make a disclosure and what they actually need to disclose, boarders on the comical.

Many internet marketers are going to have to rewrite existing sales letters because following the guidelines to the letter means that saying “results are not typical” or “results may vary”, won’t cut any ice.

And then there’s the open question of how it will be policed, how it will get investigated and what are the criteria for launching an investigation …

If we look at this page there are what … 12 adverts?
Will a “one disclosure fits all” ‘disclaimer’ work here or will you need to specify how much commission you earn from each advert?

Realistically speaking it’s a potential litigation nightmare for honest, hard-working, small business, and ‘mom n pop’ marketers.

I know they are adverts, you know they are adverts but you can bet your hard earned dollars that there will be someone willing to try their arm. The fact that they are effectively endorsements of a product, (as far as I could see) didn’t exclude them from this ‘guide’.

I know it’s headlined at targeting blogs & big or celebrity endorsements (and the blatant con-men) making big bucks but … ‘new media advertising’ is a wide topic.

Great principles, good for the consumer, more red tape for marketers.
Kevin Polley´s last blog ..Online product reviews can cost you $11,000