Overview of the Use of Endorsements and Testimonials in Advertising

1.
Overview of the Use of Endorsements
and Testimonials in Advertising
The complete text of the guidelines is located here.
Major takeaways:
• Under the revised Guides, advertisements that feature a consumer and
convey his or her experience with a product or service as typical when that is
not the case will be required to clearly disclose the results that
consumers can generally expect.
• A post by a blogger who receives cash or in-kind payment to review a
product is considered an endorsement.
• If a company refers in an advertisement to the findings of a research
organization that conducted research sponsored by the company, the
advertisement must disclose the connection between the advertiser and the
research organization.
Case study:
• To promote the launch of its summer collection, Ann Taylor LOFT invited
bloggers to attend an exclusive preview of its 2010 summer collection.
"Bloggers who attend will receive a special gift," the invitation read, "and
those who post coverage from the event will be entered in a mystery gift
card drawing where you can win up to $500 at LOFT!"
• In small print on the invitation: "Please note all bloggers must post coverage
from our event to their blog within 24 hours in order to be eligible. Links to
post must be sent to [e-mail address], along with the code on the back of
your gift card distributed to you at the event. You will be notified of your gift
card amount by February 2. Gift card amounts will vary from $10 to $500."
• “We were concerned that bloggers who attended a preview on January 26,
2010 failed to disclose that they received gifts for posting blog content
about that event,” Mary Engle, the FTC’s associate director-advertising
practices, wrote in a letter dated April 20 to Ann Taylor’s legal
representation.
• Closing letter from the FTC regarding the Ann Taylor case: “Some of the
bloggers failed to disclose that they had received free gifts from LOFT. The
FTC ultimately determined not to recommend an enforcement action,
because, in part ‘LOFT adopted a written policy . . . stating that LOFT will not
issue any gift to any blogger without first telling the blogger that the blogger
must disclose the gift in his or her blog.’ The FTC also noted that they
expect the company to monitor bloggers’ compliance with the obligation to
disclose gifts they receive from LOFT.”
@PRsarahevans www.tracky.com

2.
Example disclosure – Blog or website
This policy is valid from 07 June 2010
This blog is a personal blog written and edited by me. For questions about this
blog, please contact sarah@sevansstrategy.com.
This blog does not accept any form of cash advertising, sponsorship, or paid
topic insertions. However, we will and do accept and keep free products,
services, travel, event tickets, and other forms of compensation from companies
and organizations.
The owner(s) of this blog will never receive compensation in any way from this
blog.
This blog does contain content, which might present a conflict of interest. This
content may not always be identified. We are employed by or consult with:
Company 1, Company 2. We serve on the following corporate or non-profit
boards: Example 1. We are active in a political party, which influences our blog:
Affiliation 1. We blog about people we are related. The most interesting such
people are: My mom. We have a financial interest in the following that are
relevant to our blogging: Investment 1.
You can create your own simple disclosure at:
http://disclosurepolicy.org/generator/generate_policy.
Example disclosure – Short status update - WOMMA Recommendations
• #spon (sponsored)
• #paid (paid)
• #samp (sample)
Complete overview of WOMMA recommendations:
http://womma.org/ethics/disclosure/Social-Media-Marketing-Disclosure.pdf.
@PRsarahevans www.tracky.com