Watch ERSP’s Director and an FTC practitioner go at it in a simulated self-regulatory challenge that illustrates and illuminates timely compliance issues for advertisers, affiliates, and networks.
Experience level: Intermediate
Target audience: Merchants/Advertisers
Niche/vertical: FTC compliance
Theodore Monroe, Attorney, Law Offices of Theodore F. Monroe (Moderator)
Peter Marinello, Director, Electronic Retailing Self regulation Program
William Rothbard, Attorney, Law Offices of William I. Rothbard
Customer Centric specialises in helping Pharmaceutical, Healthcare, Consumer and a growing range of other companies in various industries, improve commercial effectiveness and results. Our unique, experiential programs and real life workshops involve and engage your staff working with their real customers in real situations so they deliver immediate, sustainable results and significantly accelerate your company\'s performance. We use proven methodologies based on our experience and that of our affiliates that have delivered results and significant return on investment for top companies in Australia and across Europe and North America.
Online video advertising faces challenges like audience fragmentation, increased free user-generated content lowering ad rates, and piracy. Traditional TV ad formats may not translate well to the internet medium as users' attention is scarce. Effective online video ads need to be contextualized with the content and tailored for short videos. Metrics beyond pageviews like customer lifetime value are better for measuring success online as the web moves toward more interaction over separate pages. Different types of online video have different commercial value based on factors like user participation and the video's lifespan.
1) Online advertising used to be direct sales but is now complex with many intermediaries.
2) Data and audience targeting have become central as publishers are disintermediated.
3) The document discusses how one publisher, Trinity Mirror, is addressing this by collecting rich user data through visual quizzes to enable targeted advertising and content across their digital network.
Legal and ethical issues must be considered in advertising. Advertisers can face serious consequences for breaking rules regarding copyright, intellectual property rights, slander, libel, model releases, royalties, violence, offensive language or behavior. The Advertising Standards Authority regulates advertising in various media to ensure compliance with advertising codes. These codes are designed to prevent misleading ads and protect consumers.
The document provides an organizational chart for RunRex, listing employees and their roles in different departments including Pay Per Click, Search Engine Optimization, Account Executives, Graphic Design, Developers, and Social Media. It also includes sections titled RunRex Clients for different industries they work with such as Dealerships, Law Firms, Software, and Miscellaneous.
Online advertising – history, Advantages and DisadvantagesKasey Williams
Online Advertising is form of marketing that runs through the internet and WorldWide Web marketing messages to drive traffic to your website. www.Postingfirst.com
Online advertising uses the internet and world wide web to deliver marketing messages to attract customers. It has competitive advantages over traditional advertising such as immediate publishing of information without limitations of geography or time, and allows for interactive and customized advertisements. However, online advertising also faces drawbacks such as high costs, inconsistency in reaching the target audience, and impedance of website speeds. It is also highly dependent on audience characteristics and technology.
The document discusses different types of online advertising and how they can support various types of businesses. It outlines the needs of businesses to attract customers and generate sales. There are different categories of online businesses and various types of online advertising models like paid, free, pay-per-click, pay-per-impression. The types of advertising are matched to example business types and can generate revenue or customer traffic. Online advertising is described as cost effective, targeted, measurable and able to reach a wide audience.
Customer Centric specialises in helping Pharmaceutical, Healthcare, Consumer and a growing range of other companies in various industries, improve commercial effectiveness and results. Our unique, experiential programs and real life workshops involve and engage your staff working with their real customers in real situations so they deliver immediate, sustainable results and significantly accelerate your company\'s performance. We use proven methodologies based on our experience and that of our affiliates that have delivered results and significant return on investment for top companies in Australia and across Europe and North America.
Online video advertising faces challenges like audience fragmentation, increased free user-generated content lowering ad rates, and piracy. Traditional TV ad formats may not translate well to the internet medium as users' attention is scarce. Effective online video ads need to be contextualized with the content and tailored for short videos. Metrics beyond pageviews like customer lifetime value are better for measuring success online as the web moves toward more interaction over separate pages. Different types of online video have different commercial value based on factors like user participation and the video's lifespan.
1) Online advertising used to be direct sales but is now complex with many intermediaries.
2) Data and audience targeting have become central as publishers are disintermediated.
3) The document discusses how one publisher, Trinity Mirror, is addressing this by collecting rich user data through visual quizzes to enable targeted advertising and content across their digital network.
Legal and ethical issues must be considered in advertising. Advertisers can face serious consequences for breaking rules regarding copyright, intellectual property rights, slander, libel, model releases, royalties, violence, offensive language or behavior. The Advertising Standards Authority regulates advertising in various media to ensure compliance with advertising codes. These codes are designed to prevent misleading ads and protect consumers.
The document provides an organizational chart for RunRex, listing employees and their roles in different departments including Pay Per Click, Search Engine Optimization, Account Executives, Graphic Design, Developers, and Social Media. It also includes sections titled RunRex Clients for different industries they work with such as Dealerships, Law Firms, Software, and Miscellaneous.
Online advertising – history, Advantages and DisadvantagesKasey Williams
Online Advertising is form of marketing that runs through the internet and WorldWide Web marketing messages to drive traffic to your website. www.Postingfirst.com
Online advertising uses the internet and world wide web to deliver marketing messages to attract customers. It has competitive advantages over traditional advertising such as immediate publishing of information without limitations of geography or time, and allows for interactive and customized advertisements. However, online advertising also faces drawbacks such as high costs, inconsistency in reaching the target audience, and impedance of website speeds. It is also highly dependent on audience characteristics and technology.
The document discusses different types of online advertising and how they can support various types of businesses. It outlines the needs of businesses to attract customers and generate sales. There are different categories of online businesses and various types of online advertising models like paid, free, pay-per-click, pay-per-impression. The types of advertising are matched to example business types and can generate revenue or customer traffic. Online advertising is described as cost effective, targeted, measurable and able to reach a wide audience.
PRESCRIPTION BASED SELLING SKILLS (PBSS).pptxmatpk6922
The document provides information about prescription-based selling techniques. It discusses the purpose of orientation for representatives which is to make them professional, effective and efficient. It also defines what a prescription is from a legal and healthcare perspective. The document then discusses why prescription sales are preferable to non-prescription sales for representatives, as prescription sales provide a larger customer base, less stress, and better incentives. It also outlines what is required for effective marketing and selling.
Advertising Laws & Regulations in Content DiscoveryTaboola
I got into trouble with the law after fighting it and was given a huge fine. The document discusses advertising law and regulations for content discovery platforms. It provides guidance on proper disclosures for publishers and restrictions on false and deceptive advertising claims for brands and performance marketers. Media partners are advised to avoid fake product claims and ensure any health or weight loss claims can be substantiated.
Weight Watchers International provides weight management services globally through meetings, digital subscriptions, product sales and franchises. The document provides an overview of Weight Watchers, how its programs work, international presence and financial performance. It also includes a PEST analysis, 5 forces analysis, examination instructions and interpretation for two potential exam questions focusing on competitive strategies and growth options for Weight Watchers.
What's Possible with a Vemma Business?
It’s all up to you!
Since our start in 2004, the Vemma mission has remained strong — making a positive difference starts with people helping people. Vemma’s premium products are the cornerstone for optimal health and they’re helping people all over the world discover improved health and even a solid business opportunity. Share premium Vemma products with others and earn free product or, put the pedal to the metal and discover the power of affiliate marketing.
Either way, you’re in the driver’s seat.
So, whether you want to get your Vemma products for free, create a side income to help with the bills, get out of debt, exchange the traditional 9 to 5 for your own schedule, or all of the above, the Vemma business opportunity can help you achieve it.
It's about you, and we are ready to help!
Financial Aspects of Genetic Testing - 1/11/22CHC Connecticut
This document discusses financial aspects of genetic testing. It provides an overview and agenda covering topics like navigation of the payment process, improperly insured patients, sponsored testing, and challenges like fake labs, lack of CPT codes, and duty to recontact. The objectives are to understand the appeal process, ways to improve approval chances, and ethical issues around duty to recontact. It outlines steps for claims, medical review, and appeals and provides tips on managing secondary insurance, over/under-insured patients, and sponsored testing programs. Problems discussed include fake labs billing fraudulently, lack of specific CPT codes for some tests, and uncertainty around who is responsible for recontacting patients about updated genetic results.
This document discusses regulations and ethical concerns regarding marketing and advertising. It covers several key points:
1) Government agencies like the FTC regulate unfair and deceptive advertising practices through actions like consent orders or cease and desist orders. Claims must be substantiated and advertising cannot mislead consumers.
2) Industry groups like the NAD and CARU also provide oversight and investigate complaints about non-compliant advertising.
3) There are ongoing ethical debates around the influence of advertising on consumers and society. Critics argue it can promote overconsumption, materialism, or unhealthy products. Companies must respond appropriately to these challenges.
The document discusses creating a better personalized supplementation experience for health-conscious individuals. It analyzes the current market landscape, challenges users face, and insights gathered from research. The key opportunity identified is developing an integrated solution that guides users through supplementation via diagnosis, recommendation, fulfillment and monitoring. This would address issues like information overload, inconsistent quality, and the complexity of existing options. Potential phases include an app providing scientifically validated guidance, simplified single-pill formulations based on goals, and alternative delivery methods integrated with diagnostic tools.
Regulatory Considerations in Product DevelopmentMichael Swit
Presentation to the LARTA (www.larta.org) NIH-CAP Workshop in November 2011 on how to develop FDA-regulated products, with a focus on planning, working with FDA,
Easy Ways to Segment Your Customers and Create Actionsimagine.GO
Health care reform created millions of new health care shoppers. Many of whom visited your website for the first time. You've did the work to support the new health care consumer on your site, but did you converting visitors into shoppers, and shoppers into repeated customers? You can find the deck associated with this presentation here.
During this session we discussed:
1. How do you create and execute an effective segmentation strategy for health insurance shoppers?
2. Why Segment?
3. What Models?
4. What Methods?
5. What Results?
6. What Next?
This slideshow will share with you our executive summary, identify the problem in the diet market, our solution, business model, our identified competition, distribution channels, marketing strategy, market research, timeline, financial projections, competitive advantages and management team.
This document provides biographies of Jeremy Halpern and David Greenwald, who will be presenting on pitching life science venture plans. It also outlines the typical sections covered in a life science venture pitch deck, including an introduction slide, problem statement, solution description, regulatory path and progress, competitive advantage, market opportunity/size, business model and financials, and team. The presentation aims to help life science founders effectively communicate their venture plans to investors through a structured pitch deck.
Consumer behavior involves how individuals, groups, and organizations select, purchase, use, and dispose of products and services. Understanding consumer behavior helps marketers improve their strategies. It examines how psychological, social, cultural, and situational factors influence purchasing decisions. Studying consumer decision making processes provides insights into recognizing needs, searching for information, evaluating options, making purchases, and satisfaction levels after purchases. The goal is to help firms better target, position, and adapt their marketing campaigns.
Presentation for spbt 2013 meeting background and researchklaffy
The document discusses the changing context of medical practice and the need for pharmaceutical representatives to build value-based relationships with physicians. It provides guidance on how representatives can validate their clinical knowledge through sub-specialty certification programs. The document also summarizes research that found physicians are more likely to meet with representatives who have completed specialized training programs developed by medical societies. Finally, it outlines the structure and attributes of an ideal disease-state training program for representatives.
The ASA summarized the key points about two TV deodorant advertisement rulings:
1) A Nivea ad implied their antiperspirant contained similar skin care ingredients to their cream, which was challenged. Nivea responded that 10 ingredients were known to be caring and their ad did not imply the products were the same.
2) A Sure ad claimed their deodorant was superior to Nivea against yellow stains. Sure provided evidence from independent testing showing their product had better anti-yellow stain protection than Nivea.
Information on Submitting an Abstract for the WOCN Society's 47th Annual Conf...WOCNSociety
Beginning at the 2015 conference, Continuing Education hours will be available for viewing posters.
This exciting change will require some changes to occur during the Abstract submission Process.
Please take a few moments to view this information so you can be prepared to submit all the information required.
1. The document discusses the idea of creating an accreditation scheme for plant nurseries to help manage tree pest and disease risks.
2. Interviews with nursery owners found that most customers are more concerned with local provenance and value than biosecurity or accreditation schemes. However, nurseries recognize the importance of being disease free.
3. There are debates around how stringent standards and audits should be, who would lead the scheme, and how to generate consumer demand and awareness to give the accreditation program legitimacy and impact. Ensuring compliance across the industry would also be a challenge.
Ne laissez pas mourir vos prometteuses innovations de rupture !Ipsos France
Les innovations “Breakthrough” sont cruciales dans le succès et la survie d’une entreprise. Pourquoi ? Parce qu’elles vont doubler le retour sur investissement d’une innovation classique, non rupturiste.
D’un point de vue étude, il y a plusieurs questions qu’un marketeur doit se poser pour lancer avec succès des innovations de ruptures.
How I Increased my Affiliate Program’s Revenue by 30% in One MonthAffiliate Summit
Stephanie Robbins discusses how she increased her affiliate program's revenue by 30% in one month by engaging smaller affiliates through targeted marketing campaigns, communication, motivation and recognition. She emphasizes getting the word out through an affiliate resource center, emails, social media and blogging to educate and recruit more affiliates.
The webinar discusses finding the right leads for a business through pay-per-click (PPC) advertising. It covers identifying ideal customer profiles, determining budget and operations, and optimizing ad copy and landing pages. The webinar suggests focusing PPC campaigns on customers most likely to buy, using keywords that show intent, and creating ads and pages that guide qualified prospects to convert. The goal is to use PPC to find "profitable partners" that meet business needs and become long-term customers.
More Related Content
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PRESCRIPTION BASED SELLING SKILLS (PBSS).pptxmatpk6922
The document provides information about prescription-based selling techniques. It discusses the purpose of orientation for representatives which is to make them professional, effective and efficient. It also defines what a prescription is from a legal and healthcare perspective. The document then discusses why prescription sales are preferable to non-prescription sales for representatives, as prescription sales provide a larger customer base, less stress, and better incentives. It also outlines what is required for effective marketing and selling.
Advertising Laws & Regulations in Content DiscoveryTaboola
I got into trouble with the law after fighting it and was given a huge fine. The document discusses advertising law and regulations for content discovery platforms. It provides guidance on proper disclosures for publishers and restrictions on false and deceptive advertising claims for brands and performance marketers. Media partners are advised to avoid fake product claims and ensure any health or weight loss claims can be substantiated.
Weight Watchers International provides weight management services globally through meetings, digital subscriptions, product sales and franchises. The document provides an overview of Weight Watchers, how its programs work, international presence and financial performance. It also includes a PEST analysis, 5 forces analysis, examination instructions and interpretation for two potential exam questions focusing on competitive strategies and growth options for Weight Watchers.
What's Possible with a Vemma Business?
It’s all up to you!
Since our start in 2004, the Vemma mission has remained strong — making a positive difference starts with people helping people. Vemma’s premium products are the cornerstone for optimal health and they’re helping people all over the world discover improved health and even a solid business opportunity. Share premium Vemma products with others and earn free product or, put the pedal to the metal and discover the power of affiliate marketing.
Either way, you’re in the driver’s seat.
So, whether you want to get your Vemma products for free, create a side income to help with the bills, get out of debt, exchange the traditional 9 to 5 for your own schedule, or all of the above, the Vemma business opportunity can help you achieve it.
It's about you, and we are ready to help!
Financial Aspects of Genetic Testing - 1/11/22CHC Connecticut
This document discusses financial aspects of genetic testing. It provides an overview and agenda covering topics like navigation of the payment process, improperly insured patients, sponsored testing, and challenges like fake labs, lack of CPT codes, and duty to recontact. The objectives are to understand the appeal process, ways to improve approval chances, and ethical issues around duty to recontact. It outlines steps for claims, medical review, and appeals and provides tips on managing secondary insurance, over/under-insured patients, and sponsored testing programs. Problems discussed include fake labs billing fraudulently, lack of specific CPT codes for some tests, and uncertainty around who is responsible for recontacting patients about updated genetic results.
This document discusses regulations and ethical concerns regarding marketing and advertising. It covers several key points:
1) Government agencies like the FTC regulate unfair and deceptive advertising practices through actions like consent orders or cease and desist orders. Claims must be substantiated and advertising cannot mislead consumers.
2) Industry groups like the NAD and CARU also provide oversight and investigate complaints about non-compliant advertising.
3) There are ongoing ethical debates around the influence of advertising on consumers and society. Critics argue it can promote overconsumption, materialism, or unhealthy products. Companies must respond appropriately to these challenges.
The document discusses creating a better personalized supplementation experience for health-conscious individuals. It analyzes the current market landscape, challenges users face, and insights gathered from research. The key opportunity identified is developing an integrated solution that guides users through supplementation via diagnosis, recommendation, fulfillment and monitoring. This would address issues like information overload, inconsistent quality, and the complexity of existing options. Potential phases include an app providing scientifically validated guidance, simplified single-pill formulations based on goals, and alternative delivery methods integrated with diagnostic tools.
Regulatory Considerations in Product DevelopmentMichael Swit
Presentation to the LARTA (www.larta.org) NIH-CAP Workshop in November 2011 on how to develop FDA-regulated products, with a focus on planning, working with FDA,
Easy Ways to Segment Your Customers and Create Actionsimagine.GO
Health care reform created millions of new health care shoppers. Many of whom visited your website for the first time. You've did the work to support the new health care consumer on your site, but did you converting visitors into shoppers, and shoppers into repeated customers? You can find the deck associated with this presentation here.
During this session we discussed:
1. How do you create and execute an effective segmentation strategy for health insurance shoppers?
2. Why Segment?
3. What Models?
4. What Methods?
5. What Results?
6. What Next?
This slideshow will share with you our executive summary, identify the problem in the diet market, our solution, business model, our identified competition, distribution channels, marketing strategy, market research, timeline, financial projections, competitive advantages and management team.
This document provides biographies of Jeremy Halpern and David Greenwald, who will be presenting on pitching life science venture plans. It also outlines the typical sections covered in a life science venture pitch deck, including an introduction slide, problem statement, solution description, regulatory path and progress, competitive advantage, market opportunity/size, business model and financials, and team. The presentation aims to help life science founders effectively communicate their venture plans to investors through a structured pitch deck.
Consumer behavior involves how individuals, groups, and organizations select, purchase, use, and dispose of products and services. Understanding consumer behavior helps marketers improve their strategies. It examines how psychological, social, cultural, and situational factors influence purchasing decisions. Studying consumer decision making processes provides insights into recognizing needs, searching for information, evaluating options, making purchases, and satisfaction levels after purchases. The goal is to help firms better target, position, and adapt their marketing campaigns.
Presentation for spbt 2013 meeting background and researchklaffy
The document discusses the changing context of medical practice and the need for pharmaceutical representatives to build value-based relationships with physicians. It provides guidance on how representatives can validate their clinical knowledge through sub-specialty certification programs. The document also summarizes research that found physicians are more likely to meet with representatives who have completed specialized training programs developed by medical societies. Finally, it outlines the structure and attributes of an ideal disease-state training program for representatives.
The ASA summarized the key points about two TV deodorant advertisement rulings:
1) A Nivea ad implied their antiperspirant contained similar skin care ingredients to their cream, which was challenged. Nivea responded that 10 ingredients were known to be caring and their ad did not imply the products were the same.
2) A Sure ad claimed their deodorant was superior to Nivea against yellow stains. Sure provided evidence from independent testing showing their product had better anti-yellow stain protection than Nivea.
Information on Submitting an Abstract for the WOCN Society's 47th Annual Conf...WOCNSociety
Beginning at the 2015 conference, Continuing Education hours will be available for viewing posters.
This exciting change will require some changes to occur during the Abstract submission Process.
Please take a few moments to view this information so you can be prepared to submit all the information required.
1. The document discusses the idea of creating an accreditation scheme for plant nurseries to help manage tree pest and disease risks.
2. Interviews with nursery owners found that most customers are more concerned with local provenance and value than biosecurity or accreditation schemes. However, nurseries recognize the importance of being disease free.
3. There are debates around how stringent standards and audits should be, who would lead the scheme, and how to generate consumer demand and awareness to give the accreditation program legitimacy and impact. Ensuring compliance across the industry would also be a challenge.
Ne laissez pas mourir vos prometteuses innovations de rupture !Ipsos France
Les innovations “Breakthrough” sont cruciales dans le succès et la survie d’une entreprise. Pourquoi ? Parce qu’elles vont doubler le retour sur investissement d’une innovation classique, non rupturiste.
D’un point de vue étude, il y a plusieurs questions qu’un marketeur doit se poser pour lancer avec succès des innovations de ruptures.
Similar to FTC Issues in an ERSP Advertising Challenge (20)
How I Increased my Affiliate Program’s Revenue by 30% in One MonthAffiliate Summit
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The webinar discusses finding the right leads for a business through pay-per-click (PPC) advertising. It covers identifying ideal customer profiles, determining budget and operations, and optimizing ad copy and landing pages. The webinar suggests focusing PPC campaigns on customers most likely to buy, using keywords that show intent, and creating ads and pages that guide qualified prospects to convert. The goal is to use PPC to find "profitable partners" that meet business needs and become long-term customers.
How to Audit and Improve Your Pinterest Business StrategyAffiliate Summit
This document provides tips and strategies for auditing and improving a business's Pinterest strategy. Some key points include:
- Pinterest has over 300 million monthly active users, with 75% of pins coming from businesses. It can be an effective marketing platform.
- Different demographics use Pinterest in various ways - millennials especially discover and purchase products through Pinterest.
- To optimize a business's presence, the document recommends best practices for boards, pins, images, hashtags, and more. Regular posting, relevant content, and video are encouraged.
- Analytics can show what content and pins are performing best to inform future strategy. Different time windows provide useful metrics.
The Path to $1M: How to Get to 7-Figures Commerce RevenueAffiliate Summit
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- Evergreen articles continue generating 20% of initial quarterly revenue indefinitely, with 50% of annual revenue coming from content published the prior year.
- Wednesdays at 8AM have the highest conversion rates for publishing new content.
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Discover innovative uses of Revit in urban planning and design, enhancing city landscapes with advanced architectural solutions. Understand how architectural firms are using Revit to transform how processes and outcomes within urban planning and design fields look. They are supplementing work and putting in value through speed and imagination that the architects and planners are placing into composing progressive urban areas that are not only colorful but also pragmatic.
[To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
This PowerPoint compilation offers a comprehensive overview of 20 leading innovation management frameworks and methodologies, selected for their broad applicability across various industries and organizational contexts. These frameworks are valuable resources for a wide range of users, including business professionals, educators, and consultants.
Each framework is presented with visually engaging diagrams and templates, ensuring the content is both informative and appealing. While this compilation is thorough, please note that the slides are intended as supplementary resources and may not be sufficient for standalone instructional purposes.
This compilation is ideal for anyone looking to enhance their understanding of innovation management and drive meaningful change within their organization. Whether you aim to improve product development processes, enhance customer experiences, or drive digital transformation, these frameworks offer valuable insights and tools to help you achieve your goals.
INCLUDED FRAMEWORKS/MODELS:
1. Stanford’s Design Thinking
2. IDEO’s Human-Centered Design
3. Strategyzer’s Business Model Innovation
4. Lean Startup Methodology
5. Agile Innovation Framework
6. Doblin’s Ten Types of Innovation
7. McKinsey’s Three Horizons of Growth
8. Customer Journey Map
9. Christensen’s Disruptive Innovation Theory
10. Blue Ocean Strategy
11. Strategyn’s Jobs-To-Be-Done (JTBD) Framework with Job Map
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FTC Issues in an ERSP Advertising Challenge
1. Affiliate Summit East 2012
FTC Issues in an ERSP Advertising Challenge
William I. Rothbard, Law Offices of William I. Rothbard
Peter C. Marinello, Dir., Electronic Retailing Self-Regulation Program
2. THE ADVERTISING INDUSTRY’S
SELF-REGULATORY SYSTEM
1971 - The Self-Regulatory System formed as a response to
consumer activists pushing for increased government
regulation of the advertising industry
Three major advertising trade associations and the Council of
Better Business Bureaus created the system
3. TODAY…
• FTC points to ERSP as an example of successful
industry self-regulation in America
• The Board has expanded to include:
4. ERSP GOALS & PROCEDURES
• Improve/restore consumer
confidence in electronic retailing
• Provide a quick and efficient
mechanism for reviewing direct
response advertising campaigns
• Demonstrate to the regulatory
agencies the direct response
industry’s commitment to strong
self-regulation and compliance
with legal requirements
5. ISSUES & CLAIMS REVIEWED BY ERSP
- Testimonials/Endorsements st W eight-Loss
“The World’s Faste
Solution”
- Before and After Depictions
“Lose 287% th
e weight
- Weight Loss compared to p
lacebo”
- Health and Safety cne
7 days my a d”
“Within disappe
are
- Establishment Claims complet
ely
- Disclosures “The #1 Do
ctor Recom
Supplemen mended Jo
t” int
- Social Media
eight Loss
- Puffery “The Clinically Proven W
Supplement!”
- Demonstrations
6. ERSP PROCESS
• Advertising comes to the attention of ERSP through its monitoring
of the marketplace and consumer and competitive challenges
• Process
– Opening Letter
– Marketer’s Reply
– ERSP Reply
– Marketer’s Response
– Final Decision
– Marketer’s Statement
– Press Release
• ERSP final decisions and press releases are published in the ASRC
Online Archive
7. ERSP CASE REPORTS
• Case reports are
available through the
ASRC Online Archive
(www.asrcreviews.org)
• Press releases can be
found on the ASRC
website and the ERSP
blog (ersp.blogspot.com)
12. RED FLAG ISSUES
• Cause weight loss of 2 pounds or more a week for a month or more without dieting or
exercise
• “Lose up to 35 pounds in 2 months without diet, without counting calories,
without doing exercise.”
• “Lose up to 30 pounds in 30 days”
• Cause substantial weight loss no matter what or how much the consumer eats
• “Eat the same way …. proven to reduce weight without special diet or
exercise.”
• “Lose Weight Without Cutting Your Favorite Foods”
• Cause permanent weight loss (even when the consumer stops taking the product)
• “Lose Weight Fast & Keep it Off”
• “The inches have stayed off…”
• “Everything you lose, you will never gain back, guaranteed.”
13. RED FLAG ISSUES
• Block the absorption of fat or calories to enable consumer to lose substantial weight
• “Blocks carbs. Eat the foods you want and still slim down”
• “The ingredients increase the rate of fat metabolism, which reduces both
surface and intestinal abdominal fat and helps inhibit future formation of
these abdominal fats.”
• Safely enable consumers to lose more than three pounds per week for four weeks
• “Your patch has already helped my current weight loss of 15 pounds in one
week.”
• “In further case studies, participants lost up to 20 pounds of fat in only 14 to
21 days!”
• Cause substantial weight loss for all users
• “With this product, there are no excuses for why this won’t work.”
• “It works on everyone including you.”
• Cause substantial weight loss by wearing it on the body or rubbing it on the skin
• Amazing Diet Patch
14. SUBSTANTIATION
Before disseminating an ad,
the advertiser must be able to
support all objective claims with:
COMPETENT AND RELIABLE EVIDENCE
Advertisers must substantiate all objective performance, efficacy,
health, and safety claims — express and implied — with:
COMPETENT AND RELIABLE
SCIENTIFIC EVIDENCE
What would independent scientists with expertise in the field rely on?
15. COMPETENT AND RELIABLE
SCIENTIFIC EVIDENCE
WHAT IT ISN’T WHAT IT IS
Anecdotal evidence from consumers Methodologically sound
tests, studies, scientific
Popular press articles research
Based on expertise of
Sales materials from manufacturer
professionals in field
Low return rate Objectively conducted by
qualified people
Money-back guarantee Using procedures accepted
as accurate
Yielding statistically
significant results
16. “NEW” FTC SUBSTANTIATION STANDARD?
• IOVATE Consent
• Weight Loss Claims – at least 2 controlled
clinical studies on advertised product by
separate, independent researchers
• Disease Claims – FDA-Approved Only
17. “NEW” FTC SUBSTANTIATION STANDARD?
• BUT: POM WONDERFUL Decision
• Rejected controlled human clinical study
substantiation standard for ALL health claims,
not just weight loss, citing “overreach” and
free speech concerns
• Now on appeal to FTC
• Could go to Supreme Court - A Case to Watch
18. “Clear and Conspicuous:”
Effectiveness of Disclosures
Prominence
Will consumers notice the disclosure?
Presentation
Is the language easy to understand?
Does it contradict other assertions in the ad?
Placement
Is it located where consumers will see it?
Proximity
Is it close to the language being qualified?
19. CLEAR AND CONSPICUOUS NEGATIVE OPTION
• S. 3386, “Rockefeller Law” – terms of online negative option offers must be
disclosed “before obtaining consumer billing information”
• John Beck’s Amazing Profits (Family Products) – true also for telemarketing
• Commerce Planet/Grant Connect – trial verdicts of $18 million and $30 million
for inadequate “below the fold” disclosure of negative option terms of “free”
offers.
• Green Millionaire Consent – requires check box or signature to confirm consent
to negative option, with disclosure statement of: all costs; statement of
consumer OK to them; length of trial period; and need to cancel to avoid charge.
• California - more precise, stringent definition of “clear & conspicuous” for
negative option than FTC standard; purchase terms must be in “larger” type than
surrounding text, or clearly contrasted or set off from the surrounding text of
20. REVISED FTC ENDORSEMENT GUIDES
Testimonials still can’t be used to make claims that would be unsubstantiated
if made directly by advertiser
Testimonials still must represent “typical” results
BUT: if they don’t, “Results not typical” disclaimer no longer suffices. “Clear &
Conspicuous” disclosure of “generally expected results” now required, unless
advertiser has proof consumers don’t think the results are typical.
Disclosure of material connections between advertisers and endorsers
required. Applies to bloggers endorsing products, who also can be held liable
for making false claims, and to celebrities endorsing products in
unconventional formats (i.e., talk shows) or social media where consumer may
not think celebrity is being paid. Applies also to “back-end” compensation
deals for expert endorsers. Advertiser principally liable for failure to disclose.
21. BUSINESS OPPORTUNITY RULE
• Covers biz-ops in which seller offers to “provide outlets,
accounts, or customers, including…Internet outlets, accounts,
or customers, for the purchaser’s goods or services.”
• “Providing outlets, accounts or customers” includes
”requiring…recommending…[or] providing a list of…[or]
collecting a fee on behalf of…lead generating companies…or
otherwise assisting the prospective purchaser in obtaining…
outlets, accounts, or customers.”
• Does not include providing “advertising and general advice
about business development and training.”
22. BUSINESS OPPORTUNITY RULE
• Are Biz-Op web stores “Internet outlets”?
• Is lead gen assistance to biz-op buyer providing
“Internet customers”?
• Rule is a Biz-Op Killer if it applies
• Requires 7-Day Pre-Sale Written Disclosure of:
– Seller’s identity
– If it’s making earnings claims (and substantiation for same)
– Any prior legal actions
– Any cancellation/refund policy
– List of last 3 years’ purchasers
23. MERCHANT-ADVERTISER RESPONSIBILITY
• Claim Substantiation
• Compliance with FTC Endorsement Guidelines
• Clear and Conspicuous Pre-Sale Disclosure of Material Terms &
Conditions, including key billing terms on order page, not in hyperlinked
T&Cs
• Getting express, informed consumer billing consent - no prechecks
• Responsive customer service, including fulfillment of stated
cancellation/refund policies
• Anti-Affiliate Fraud Policies and Procedures
• Clear Privacy Policy Terms and Data Sharing Opt-Out Rights
24. AFFILIATE/NETWORK RESPONSIBILITY
• CAN-SPAM Compliance
• Endorsement Guidelines compliance, including disclosure of material
financial connections to advertiser
• Compliance with merchant-advertiser’s compliance guidelines and
approved non-deceptive ad copy, avoidance of hyped, unapproved claims
• Avoidance of fraudulent or confusing incentivized marketing schemes
• Effective network monitoring of, and disciplinary action against, affiliate
misconduct
25. OVERLAPPING ADVERTISER AND AFFILIATE
NETWORK LIABILTY
• Advertiser and Affiliates/Networks can have “cross liability” for the other’s acts.
Liability isn’t automatic, depends on degree of participation, ratification, and
negligent or willful ignorance or disregard
• Affiliates/Networks could be liable not only for their deceptive claims and
practices but advertiser’s claims as well if they were involved in creating the
claims or had reason to believe they’re untrue or unsubstantiated; can’t
necessarily rely on advertiser’s assurances
• Advertiser is liable for deceptive claims it directs and pays its affiliates to make.
• Advertiser also can be liable for deceptive claims and practices of affiliates it did
not authorize but had reason to believe were occurring and ignored or didn’t take
action to stop
• Advertiser-Affiliate/Network contracts should contain reps and warranties of legal
compliance, including with FTC laws and regs, CAN-SPAM, etc., and hold harmless
indemnity clauses to protect against damage caused by the other party.
26. Top 5 Tips For Affiliates
• Ensure that affiliate advertising of any merchant’s products or services is
truthful, substantiated, and not deceptive or unfair;
• Do not publish "flogs" (fake blogs) or other false content, false or
unsubstantiated product claims, or offer incentives to consumers in return for
their response to any ad, unless the terms and conditions of the offer are
clearly and conspicuously disclosed;
• Do not publish fake news articles or other fake media titles, without clearly
and conspicuously disclosing that the content is an advertisement;
• Do not publish false or unsubstantiated endorsements, and be sure to clearly
and conspicuously disclose any material connections with the merchant
and/or the network; and
• Do not infringe on the personal rights, trademark, copyright, patent rights,
service mark, or any other intellectual property right of any third party
mentioned in published content.
27. Top 5 Tips For Merchants/Networks
• Enter into written agreements with affiliate marketers, requiring that all
affiliates abide by state and federal consumer protection laws and
regulations including the FTC Act, the FTC’s Endorsement Guidelines, and the
CAN-SPAM Act.
• Agreements should require that affiliates not infringe on the personal rights,
trademark, copyright, patent rights, service mark, or any other intellectual
property right of any third party.
• Agreements should require that affiliates clearly and conspicuously disclose
the terms and conditions of any incentives, points, rewards, cash, or prizes
promised to consumers in return for their response to any advertisement.
• Agreements must provide that any affiliates who engage in non-compliant
acts be terminated and forfeit commissions.
• Monitor affiliate behavior and enforce contractual sanctions against
misconduct
28. CONCLUSION: CAVEAT VENDOR!
• Affiliates, networks and merchants should consider themselves on
notice: everyone in the online advertising stream who engages in or
assists with fraud might end up in the crosshairs of law enforcement.
• Everyone involved in online marketing must be careful to publish
truthful content that is not deceptive and contains the proper
disclaimers and disclosures, and they must learn to adapt to this more
aggressive regulatory landscape.
• It is advisable to seek expert counsel who thoroughly understands the
FTC’s and state AGs' thinking and likely enforcement strategies, so you
have the benefit of sound advice concerning the best ways to avoid or
fight off these regulatory challenges.
29. QUESTIONS?
• William I. Rothbard Peter C. Marinello
• 310-453-8713 212-705-0126
• Rothbard@ftcadlaw.com pmarinello@ersp.bbb.org
• www.ftcadlaw.com www.asrcreviews.org