New FTC Rules For Websites

Guidelines To Avoid Fines

The Federal Trade Commission has just revised its guidelines, and this is concerning the use of testimonials in advertising and the endorsements of products and services for web site owners. The FTC revisions are also about social media users and "bloggers".

The new guideline require bloggers and social media users to disclose when they are perceiving a payment in exchange for the endorsement. It is also considered a payment either money or receiving a product from an organization in exchange for mentioning a specific service or product. It appears that bloggers will be possibly fined up to $11,000 per violation or per post for not disclosing.

Advertising Is The Real Issue

The guidelines are about using endorsements in ADVERTISING. The idea is to force advertisers to be honest when the endorse a product in their ads. The intent has been to discourage bloggers from misleading the audience with endorsements.

Blogs that charge a fee to "review and rate" products are going to have to make it clear to the visitors that "review and rating" are paid by the company who owns the product or service to eliminate misconceptions.

The End Of The "Innocent Reviews"

Any site owner and blogger who charges money to write "innocent reviews" of products from now on is supposed to disclose it. Also a blogger who may receive a free trip to Cancun to write a "positive review" of a hotel should disclose it.

This is regarding a blogger's endorsement used in an advertisement if that blogger is paid a fee to write a "review." It's the obligation of the ADVERTISER to disclose the issue, not the blogger. A fake blog that is really a contrived review would be addressed by these guidelines.

FTC Will Work With Foreign Countries To Enforce the Rugulation

Blogger who just publish opinions about products and services, or decide to share their ideas are not necessarily considered advertisers. The FTC is not going to look at UK bloggers writing about UK blogs, they will not take action against people from around the world that promote foreign products but they will take care of the ones who are red by US people.

It Will Not Affect Your Business

You can even create more trust mentioning if you are promoting a product, you could actually use it to your benefit, especially if you make a habit out of using the same kind of writing language for products you do receive compensation for and products you simply mention because you like them so much.

Honest Way

These situations are very valuable opportunities to do business the honest way. People should realize that the FTC is requiring just honesty, FTC is RIGHT!

The FTC is not harassing individuals who blog, rather it exposes private entities who cheat and pretend they are just sharing opinions when they are selling stuff. Imagine if a political party was posting political messages under the guise of bloggers expressing their opinion. Blogging is becoming a job for so many people, and companies interested in "viral advertising" are spending so much money to get people to "blog" their so called "opinions", but the truth is those opinions are advertisements. When you are reading an advertisement, in a free country you have to be allowed to know it! That is just fair disclosure.

I don't understand why honest people would see this as a big problem. All you have to do is put a disclaimer in your blog in which you state that all products mentioned in the blog are placed there because you have to make some money as well, unless otherwise stated in a post itself. That is all you are asked to do as the new FTC rules for web sites!