FTC, GEP, & Market Research

What’s that title all about anyway!? If you’ve been paying attention, you know that as of December 1st, 2009 you can’t use your wonderfully true, but not typical (what I call “aspirational”) client testimonials in your marketing and advertising unless you clearly and conspicuously disclose “Generally Expected Performance Results.”

So, what’s the problem?

The problem is that most of us don’t have data to state what the Generally Expected Performanc Results ARE.

We’ve never done the research.

Now we must.

I was approached by Michelle DeKinder-Smith with an opportunity to co-affiliate the Site Compliant program, including the FTC Toolkit with her professional market research services. You wouldn’t guess it from first glance, but Michelle has over 20 years of consumer product market research experience – including projects for some brands that you would easily recognize.

Michelle was the first market research pro to understand the implications of the new FTC rules.  We immediately hit it off and saw a way to help each other out.

The first thing we did was a survey of the people who had purchased or otherwise indicated an interest in the Site Compliant LLC products including the FTC Toolkit. I don’t know how many of you have ever worked on a market research project, but let me tell you that working with Michelle was PAINLESS, EFFICIENT, and effective.

We found out great information about the products and services we’re offering through Site Compliant – including ways to improve the offer.  We also found out that 8-10 customers though the FTC Toolkit was a great value for their money!

Now we’re ready to take it (and you) to the next level.  Michelle has created a couple solutions to help people gather and analyze customer data so that YOU CAN use your wonderful testimonials again.

REMEMBER, the NEW FTC GUIDES require the disclosure of Generally Expected Performance Data when using testimonials – especially testimonials of the “aspirational” nature.  IF YOU USE atypical/aspirational testimonials without this GEP data disclosure, your aspirational (and completely truthful) testimonial will be interpreted as a statement of generally expected performance results, likely subjecting you to accusations of “deceptive advertising” from the FTC.

Michelle and I will be doing a FREE WEBINAR on the topic of Generally Expected Performance Results and the Market Research you need to back up your claims TOMORROW at 2pm EASTERN.

Register here: https://www2.gotomeeting.com/register/667018355

Again, the webinar is free, will only take an hour, and will be hugely informational and helpful if you want to use those great aspirational testimonials again.

OK, it’s time to register now.  Register here: https://www2.gotomeeting.com/register/667018355

Share the word.

Again, that’s Wednesday, December 16th at 2pm Eastern. (TOMORROW!)

Site Compliant Trust Seal Graphic

For those of you on the mailing list the trust seal graphic that displayed in your email message goes gray and says “status unknown” because the trust seals may only be used on the domain name registered to the trust seal in our Site Compliant trust seal system. If the code is used outside of the domain it’s registered to (such as in my email), it “flops” to an inactive status automatically. If someone is a member of the program, they can create up to 5 trust seals each to be used on a single domain.  You can go to my web site at http://www.houchinlaw.com to see what the active trust seal looks like.

FTC Compliance: Blogger Disclosure System

As most of you know by now, I’ve been very busy since the new FTC Rules regarding the use of testimonials and endorsements in advertising were released on October 5th. Remember those rules become effective next Tuesday, December 1, 2009.

I’ve been doing Webinars, Blogtalkradio shows, phone interviews, magazine interviews (no TV appearances yet, but amazingly the national TV media doesn’t seem to be paying much attention to this yet…). I am also a co-creator of the new FTC Toolkit and Site Compliant program and expect to see you using the new Site Compliant Trust Seal right away.  Here’s mine:

One question has been coming up over and over – especially for bloggers.

Do I have to put a disclosure next to every affiliate link or can I do one blanket disclosure?

Based on the new rules and the interviews with FTC officials that I’ve been reading, I think you need to do BOTH. So, I set up this site as an example.

Here’s what you’ll find:

1. A Disclosure Page

Some things you’ll notice about this page:

  • First, it makes the required disclosures of material connection with each organization or entity that pays me a commission for links.
  • Second, it makes the statement that I intend to be compliant with the FTC rules.
  • Third, it gives my contact information.
  • Forth, it tells people how I’m going to disclose material connections on my site.
  • Fifth, it turns the disclosure page into another marketing page by including examples of all the affiliate links!  (I think this is brilliant…, but it’s 3:49am on Thanksgiving for Pete’s sake.)

2. Affiliate disclosures next to every element that visitors might not think I have a material connection with.

We’ll be posting this disclosure form to the membership area at www.sitecompliant.com for members to use as part of their membership. Yes, I know it’s short and easy enough that plenty of people are just going to steal this and use it without permission.  I can live with that if it helps a few people, but I also sincerely hope that most people will do the right thing (and find an incredible value) by going to www.sitecompliant.com, purchasing the FTC Toolkit and getting their 60-day free membership in the Site Compliant program and start using the trust seal on their site too.

YOU SHOULD BE PART OF SITE COMPLIANT starting NOW.

Is your site compliant?
Don’t risk it. Get The FTC Toolkit now! (I’m an affiliate and co-owner)

OH! And I hope you have a GREAT Thanksgiving, 2009. We all have a great deal to be thankful for. 🙂

Major Announcement! New FTC Toolkit and Site Compliant program – Webinar

As many of you know, the Federal Trade Commission (FTC) issued new rules relative to endorsements and testimonials.  Now, if you use endorsements and testimonials in your marketing (and every marketer worth their salt does) you could be fined thousands of dollars for “deceptive” advertising EVEN IF ALL YOUR TESTIMONIALS ARE ABSOLUTELY TRUE!

I’ll be leading a Webinar with my friend, marketing partner on this project, client, and internet marketing Guru, Joel Comm next Monday, November 9th at 6:00pm MOUNTAIN time. The Webinar is free, but space is limited. You can sign up HERE.

Again: sign up for the free Webniar Here.  Do it now.  Space will fill up quickly.

The new rules go into effect December 1, 2009.  Yes, in only a few weeks.  So are you ready?

Do you even know where to begin?

No?

I didn’t think so.

Well, don’t feel like the Lone Ranger. Most people don’t – and it’s not your fault because the new guidelines were just released a few weeks ago and they are subject to some different interpretations.

Joel and I will be discussing many of the implications of the new rules and introducing the project, product, and system that I’ve been working on almost non-stop ever since the new rules came out. Really, I’ve been dreaming about this stuff. Just ask my wife and friends – they’re sick of listening to me talk about this. Of course as a co-author of this product I’m hugely invested and probably a bit biased, but I’m convinced this is really going to help a lot of people quickly figure out what they need to do.

The product is a guide to the new rules we’re calling the FTC Toolkit. It is a thorough guide to the new rules including analysis, self-assessment checklists, sample disclosures, sample agreements, and sample policies. Incredible stuff here because I’ve not been working on this alone. I’ve assembled a team of lawyers, marketers, and communications professionals with over 75 years of combined experience in the relative material to develop the Toolkit.

We haven’t stopped there, because the FTC isn’t stopping there. These rules are going to evolve as the FTC starts enforcing the rules against people who don’t comply. So, people who purchase the FTC Toolkit will be able to join the Site Compliant(tm) program and receive ongoing updates to the Toolkit content and other timely information as the FTC begins enforcement.

And, we didn’t stop there. Members of the Site Compliant(tm) program will also be able to apply for and be able to use what we believe is the Internet’s first compliance “Trust Seal” that they will be able to proudly display on their site as a signal to consumers and to the FTC that they, as a member of the program, are taking a proactive and affirmative approach to being and remaining compliant.

This has taken a lot of work by a bunch of people over the last few weeks. If you were going to invest in this content from a lawyer on your own you would be need to budget at least $50,000 in legal fees, because my team has at least that much otherwise-billable time invested in this product.

Join us on the free Webinar to learn more. Again, that’s THIS MONDAY, November 9th at 6:00pm Mountain. Sign up HERE.

Remember to sign up NOW because space on the Webinar is limited.