The Federal Trade Commission (FTC) has recently announced two new requirments that will impact both advertisers and bloggers.
Testimonials
According to Mary Engle, associate director of ad practices at the commission, the FTC is changing its guidelines on endorsement so that advertisers will no longer be able to use statements like “Results may vary” as a way to justify claims that are counter to the norm of a product or services’ expected performance.
David Vladeck, head of the FTC’s Bureau of Consumer Protection, said, “Disclaimers of guidelines are not working. Misuse has been especially prevalent in weight-loss products.
“In the FTC’s review of 300 ads, two-thirds used consumer testimonials. Few showed realistic claims, and disclosures of atypical results were flashed too quickly to read. ‘Results may vary’ does not adequately inform consumers that claims are outliers or extreme cases. They do not disclose results consumers should realistically expect. That is the main problem.”
The changes to the guidelines will take affect this year.
Bloggers
The Associate Press reports that under new guidelines approved the by the FTC, bloggers will now be required to disclose any gifts or payments they receive for reviewing a company’s product. The penaly for noncompliance is a fine of up to $11,000 per violation.
