The Federal Trade Commission (FTC) today moved one step closer
towards regulating published blogs, indicating reviewers must
disclose when they receive a product for free or if they receive
payment to write the review.
After a 4 - 0 vote, the rule will officially
go into effect on December 1, the FTC said, after attempting to
find new ways to legitimize online disclosure to better suit
consumers.
Furthermore, all testimonials should also reveal exactly what a
consumer should expect when they consumer a product – companies
previously only had to disclose if there were dramatic results
related to advertising or product consumption.
“Given that social media has become such a significant player in
the advertising area, we thought it was necessary to address social
media as well,” FTC assistant director or advertising practices
Richard Cleland said.
In the past, consumer interest groups said the fine line between
companies and bloggers could be easily crossed without any true way
to help consumers protect themselves from possible paid reviews. Now,
bloggers must offer “clear and conspicuous” when they are given a
gift or receive monetary compensation for writing blogs.
Although it’s easy to believe the FTC is focusing on the tech
industry, the government is concerned that bloggers across all
industries have received freebies without disclosure.
It’s up to the blogger to note how they wish to make any
disclosures, though it’s possible the FTC will create guidelines as
to how disclosures must be made.