Freaking out about the new FTC rules
Tuesday, October 6th, 2009The Twitters were twitting fervently Monday in response to the Federal Trade Commission’s new guidelines requiring online writers to disclose when they have received freebies in exchange for reviewing a product. But much of the uproar and indignation expressed by bloggers was unfounded, demonstrating a misunderstanding not just of the FTC’s new guidelines but of the underlying ethical principles, too.
Here is the relevant portion of the FTC’s press release on these new guidelines, which take effect Dec. 1:
The revised Guides also add new examples to illustrate the long standing principle that “material connections” (sometimes payments or free products) between advertisers and endorsers — connections that consumers would not expect — must be disclosed. These examples address what constitutes an endorsement when the message is conveyed by bloggers or other “word-of-mouth” marketers. The revised Guides specify that while decisions will be reached on a case-by-case basis, the post of a blogger who receives cash or in-kind payment to review a product is considered an endorsement. Thus, bloggers who make an endorsement must disclose the material connections they share with the seller of the product or service.
That’s from the press release about the guidelines. You can read the actual guidelines in PDF format here. On page 75, at section 255.5, “Disclosure of material connections,” is this:
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So I was in the shower Wednesday morning, and I was thinking about the Rotten Tomatoes users’
Every time there is a controversy about a movie, this topic arises again: Can you have a valid opinion about a movie you haven’t seen? The answer is mostly no — which should be obvious, but I guess it isn’t.