News

With the new rules and regulations from the FTC we may see a change in “hype” marketing and statements such as” $978.000 in 3 days using our program”! This could be the best thing we have seen for consumers, but how will it affect you as internet or affiliate marketers?

With this regulation there is a very interesting clause that has been added. This is the clause that talks about liability of not only the seller of the product, but also the person endorsing that product. For you as an internet marker this may mean that you are not only liable for what you say about a product, but also what the seller says about a product on a website you point people to.

The regulation now also specifies that if you make money of recommending a product, you have to notify the consumer that this is taking place and that you are getting paid if the consumer purchases the product. This brings up another interesting scenario that internet and affiliate marketers may be faced with. Especially those who utilize mail lists and market to people via email. This new regulation could mean that you now have to let people know in every single email if you are endorsing a new product, that you will in fact get a “commission” for recommending this product.

Of course this could have no effect at all on how affiliate and internet marketers do business. With the right lawyer and a different interpretation, this will probably just become another single line in their disclaimers or policies that most users will never read. So the big question over the next few months is not only going to be if internet and affiliate marketers will follow this new regulation, but also how the FTC will enforce it. No matter what, internet marketers and affiliate marketers have to take a look at not only their own products but also the products they endorse. Since according to this new regulation, internet and affiliate marketers are not only responsible for their own product but also the statements made by the product they are endorsing.

Over the next few weeks it will be interesting to see if any major changes take place online and if the FTC starts enforcing this new regulation in a strict manner. Be on the lookout, some of the products you now endorse may be in violation of this new regulation and you will be held liable if you are endorsing it.

To see the release from the FTC then click the link below:

http://ftc.gov/opa/2009/10/endortest.shtm