On Monday, the Federal Trade Commission revised its rules on endorsements and testimonials to included bloggers and web content. This was the FTC’s first update to its “Guidelines Concerning the Use of Endorsements and Testimonials in Advertising” since 1980.
The revision requires bloggers to disclose payments or freebies for published reviews or endorsements.
Each violation of the new rules may result in a fine up to $11,000 per instance.
The FTC is targeting “astroturfing” advertisers who put up numerous sites or blogs that appear to be individual reviews or endorsements. Additionally, blogs such as Engadget or Gizmodo that receive products for review may now have to disclose the relationship if any free products were received.
Another significant revision will affect advertisers who advertise atypical results but cover their statements with “results not typical.” They will now have to disclose what a consumer can expect from their product.
We’ll have to wait and see if weight loss advertisers will start releasing the disclaimer, “typical results include initial minimal weight loss followed by significant weight gain in the standard yo-yo fashion.”
Disclosure: Conrave has taken no payments nor received any free products in exchange for a review – but we welcome any advertiser’s attempted bribes.
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