Updated FTC Guidance on Endorsements and Testimonials in Social Media Advertising – Does Your Advertising Pass Muster?

SUMMARY. In recent years, companies have increasingly relied on social media platforms to promote their products, often featuring testimonials and endorsements from consumers and public figures as well as other user-generated content. Recognizing the popularity of this promotional vehicle, and the questions that arise when traditional truth-in-advertising principles are applied to new media formats, the FTC revised its Endorsement Guides in 2009, and followed up in 2010 with explanatory FAQs and other guidance about endorsements, testimonials and disclosure requirements in the social media context.

Last week, in an effort to keep up with the fast-changing world of social media and online advertising, the FTC updated its informal publication called What People Are Asking, with FAQs that address real-world examples of promotional programs and advertising methods that are popular in social media. While the FAQs do not have the force of formal rules and regulations, advertisers should pay close attention to the FTC’s explanations about how to avoid unfair or deceptive advertising because many of the FAQs are based on recent enforcement actions or provide valuable insights as to how the agency would evaluate a particular advertising practice.

Read the full article here. http://www.dorsey.com/eu-ftc-guidance-endorsements-testimonials-social-media-advertising/