POV: FTC Guidelines for Endorsements and Testimonials in Advertising

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  • 7/29/2019 POV: FTC Guidelines for Endorsements and Testimonials in Advertising

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    Guideies o Edosemetsad Testimoias i Adetisig

  • 7/29/2019 POV: FTC Guidelines for Endorsements and Testimonials in Advertising

    2/7Fedea Tade Commissio Guideies | Octobe 2009

    O Moday, Octobe 5, 2009, te Fedea Tade Commissioeeased its eised Guides Coceig te Use o Edosemets

    ad Testimoias i Adetisig te st time tese guideiesae bee caged sice 1980. A ot as caged i te pubiceatios adscape sice te, ad may o tese cages aestemmed om ow cosumes ae usig iomatio tey d ote Iteet.

    Begiig Decembe 1, 2009, te FTC wi eguate te socia ad taditioa media spaceo paid edosemets, eauatig cotet as to wete o ot it quaies as sposoed. Icotet is deemed to be sposoed, ad tis act is ot discosed i te cotet itse, bads,agecies ad bogges ae subject to up to a $11,000 e pe icidet.

    Webe Sadwic wi cotiue to expoe te impicatios o te ew guideies ad wisae tem wit ou ciets ad agecy pates. We beiee te updated FTC guideies aei te tue spiit o socia media, ad wi impoe te quaity ad cedibiity o ou ciets, oupates ad Webe Sadwic i geea.

    Ude te 1980 guideies, bad- ad poduct-motiated wod o mout eiews admaetig, o paid edosemets, wee aowed as og as a simpe esuts ot typicadiscaime was icuded wit te edosemet cotet itse.

    Accodig to te ew ues, tis wi o oge suce, as te eised guideies maipupose is to addess te poieatio o sposoed, o paid edosemets, i digitaad taditioa media.

    Te ew ues equie u discosue om eey agecy pate, om a ceebity sittig oCoa OBies couc to a bogge wit ay size audiece, tat tey eceied moey o eepoduct (a spososip) i excage o tei edosemet.

    InTrODUCTIOn

    BACkGrOUnD

  • 7/29/2019 POV: FTC Guidelines for Endorsements and Testimonials in Advertising

    3/7Fedea Tade Commissio Guideies | Octobe 2009

    May bads appoac ifueces as pat o tei ogoigmaetig ad pubic eatios eots, wete its asig tem to

    wite poduct eiews, go o teeisio to ta about a poduct o

    simpy teig otes about a bads maetig pogam.

    Accodig to te Guides, a edosemet is:

    any advertising message (including verbal statements, demonstrations, or depictions o thename, signature, likeness or other identiying personal characteristics o an individual or the nameor seal o an organization) that consumers are likely to believe reects the opinions, belies, fndings,or experiences o a party other than the sponsoring advertiser, even i the views expressed by that

    party are identical to those o the sponsoring advertiser.

    Fom a socia media pespectie, te oowig sceaio is, i act, a edosemet:

    I [a] blogger requently receives products rom manuacturers because he or she is known to havewide readership within a particular demographic group that is the manuacturers target market, thebloggers statements are likely to be deemed to be endorsements, as are postings by participantsin network marketing programs.

    May bads appoac ifueces as pat o tei ogoig maetig ad pubic eatios eots,wete its asig tem to wite poduct eiews, go o teeisio to ta about a poduct o simpyteig otes about a bads maetig pogam. I te edose meets te oowig citeia, tecotet wi be cosideed sposoed:

    Te edose is compesated (wit moey o ee poducts o seices) by te bad o atid paty

    Te edose as eceied poducts o moey om te same o simia maete Te edose eceies suc poducts o seices eguay (om te same o simia

    maete), ad expects to do so i te utue

    WhAT IS An EnDOrSEMEnT?

  • 7/29/2019 POV: FTC Guidelines for Endorsements and Testimonials in Advertising

    4/7Fedea Tade Commissio Guideies | Octobe 2009

    We Webe Sadwic poides a poduct sampe, ewad o git age o sma icojuctio wit pubic eatios o maetig campaigs, we must ow equie tat ouspoespeope ad adocates (poduct ifueces) poide meaigu discosue tatsudestadabe to te aeage cosume. Tis meas, we Webe Sadwic begis to wowit ay pate, ceebity o bogge, we soud ot oy eioce tis act, but we mustpoide additioa tips ad guidace we ecessay.

    Te FTC aso says tat oce a digitalcampaig tat ecouages edosemets commeces,we must moito o ad coect ay aiues to discose a sposoed eatiosip. Tis is sometig

    Webe Sadwic does eguay.

    DISClOSUrES

    Oce a digita campaig tat ecouages edosemets

    commeces, we must moito o ad coect ay aiues

    to discose a sposoed eatiosip. Tis is sometig

    Webe Sadwic does eguay.

  • 7/29/2019 POV: FTC Guidelines for Endorsements and Testimonials in Advertising

    5/7Fedea Tade Commissio Guideies | Octobe 2009

    We wi cotiue to moito tese deeopmets ad oow-up as appopiate, but uti uteotice you wi eed to oow te FTC guideies i te oowig situatios:

    Blogger CompensationI a cases, bogges must discose tei eatiosips wit maetes. Tis meas tat i a boggeeceies anything i excage o a post o eiew, tey must discose tei eatiosip.

    Exampes icude: Fee poduct o testig puposes Cas Ety i a sweepstaes Tae to a poduct auc

    Oe poit ot metioed i te FTC guideies is just ow bogges must discose teieatiosips, oy tat tey be discosed i a mae tat a aeage eade ca udestad.

    Webe Sadwic itepets tis to mea te c b c .CeleBrity endorsementsTe eised FTC guideies aso equie ceebity edoses to discose tei eatiosip wit amaete we tat eatiosip is ot obious.

    Paidadvertisement: I most teeisio ads, o additioa discosue is ecessay; sice tepubic geeay udestads tat te ceebity is beig paid.

    Talkshowappearance:A ceebity appeas o a ta sow to pomote e ew moiead aso metios tat ses ad geat esuts om ecet lasi eye sugey. I se wascompesated by te sugey poide, se must discose tis act.

    Eventappearance: A ceebity appeaace at a maete-sposoed eet (e.g. a iteasaes meetig) woud ot equie additioa discosue. O te ote ad, a ceebityappeaace o bea o a copoatio at a tid-paty eet (e.g. te new Yo Mets aest) woud equie discosue i te aeage cosume woud easoaby ot be expectedto ow te ceebity is beig compesated.

    SCEnArIOS

    FTC guideies state bogges must discose tei

    eatiosips i a mae tat a aeage eade ca

    udestad. Webe Sadwic itepets tis to mea

    te c b c .

  • 7/29/2019 POV: FTC Guidelines for Endorsements and Testimonials in Advertising

    6/7Fedea Tade Commissio Guideies | Octobe 2009

    expert endorsements

    A expets expetise must be cosistet wit te matte o wic se is speaig. Teeoe, estatemets must be based o e expetise ad must be tutu.

    Expertise:AnindividualwithaPhDinpsychologycannotbepresentedasaDoctoro puposes o edosig a eat medicatio witout u discosue o te pesos tueexpetise.

    organizational endorsementsTe FTC guideies teat ogaizatioa edosemets simiay to ote types o edosemets:

    Paidendorsements:I a maete ca obtai te edosemet o a ogaizatio bypayig a ee, tat act must be discosed.

    Organizationalexpertise: A ogaizatios opiio must be eated to its ed o expetisead based o its idepedet, objectie eauatio.

    other Consumer aCtionCosistet wit te aoemetioed bogge guideies, te FTC guideies gie ew exampes ocosume compesatio equiig discosue:

    1. Postingsonamessageboard:I a empoyee o epesetatie o a compay is goig topost o a message boad, te idiiduas eatiosip wit te compay must be discosei a cea way.

    2. Wod o mout/steet teams: I a idiidua is paid i cas o, o istace, poits

    excageabe o mecadise eey time se tas to e ieds about a specic poducttat act must be discosed by te idiidua.

    aCCuraCy and truthfulnessStatemets made by bogges ad ote edoses i te aoemetioed sceaios must efect teoest opiios, digs, beies o expeiece o te edose. Wete te speae is a bogge,a expet o a ceebity, te speaes statemets must be accuate ad tutu o bot te speaead te maete ca be iabe.

    Te edose must be:

    Productuser:I a speae caims to use a poduct, e/se must actuay use it.

    Accurate:I a speae touts te quaities o a paticua poduct, te speaes statemetsmust be accuate. A speae cat caim a medicie cued e ace uess it actuay did. Atypical:I a idiidua appeas as a typica use ad is esuts ae atypica, it is o

    oge adequate to state esuts ot typica witi te edosemet itse.

    Cosumes must be tod wat tey ca expect. Fo istace, a eiew o a poduct tat caims toep bad me gow ai must state wat esuts a typicalma ca expect. (e.g., Most me wi oysee miima ai gowt usig ou poduct.)

  • 7/29/2019 POV: FTC Guidelines for Endorsements and Testimonials in Advertising

    7/7Fedea Tade Commissio Guideies | Octobe 2009

    ChrisPerry310 854 [email protected]

    www.webesadwic.com

    Adam keats312 988 [email protected]

    We coosig a potetia edose, eite ceebity o digita, we wi tae a oo at teoowig citeia:

    Wete te edose ceay udestads te ew FTC guideies

    Wete te edose as sow u discosue wit peious ciet pogams

    Wete te discosue as iteeed wit te cotet o te said edosemets

    As te guideies come to ie ad maetes begi icopoatig tem ito pogams, we wi eepou sta, ciets ad pates updated o te pactica impicatios ad ow to abide by tem.

    MOvInG FOrWArD