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Stay Compliant: FTC Guidelines for Using Testimonials and Customer Reviews in Marketing

Written by J. Martinez Creator Relations

ftc compliant

To ensure that testimonials comply with the Federal Trade Commission (FTC) guidelines, businesses must adhere to a set of key principles outlined by the FTC to avoid any deceptive or unfair marketing practices. Below is a comprehensive list of things to be concerned about and measures you should implement:

1. Truthfulness of Testimonials

  • What to be Concerned About: Testimonials must reflect the honest opinions, findings, beliefs, or experiences of the endorser. They cannot be fabricated, exaggerated, or misleading.
  • Implementation: Verify that the testimonials you use are genuine and that the claims reflect the actual experiences of real customers. Do not edit testimonials to present a false narrative.

2. Disclosure of Typical Results

  • What to be Concerned About: If a testimonial describes a particularly positive outcome, and that outcome isn’t typical for most users, you must clearly and conspicuously disclose what the usual results are.
  • Implementation: If customers report exceptional results, include disclaimers such as “results may vary” or a more specific statement about what typical users should expect.

3. Material Connections

  • What to be Concerned About: If there’s any material connection between the endorser and the company (e.g., the endorser was compensated, given free products, or has a business relationship with the company), this must be disclosed.
  • Implementation: Disclose when a testimonial is provided in exchange for compensation, free products, or when the endorser has any personal or financial connection to the company.

4. Endorser’s Expertise

  • What to be Concerned About: If the endorser claims to be an expert in a certain field, they must actually possess the expertise they claim, and the endorsement must be supported by factual data.
  • Implementation: Only present testimonials from individuals who are genuinely experts in the field and ensure that their claims are substantiated by evidence.

5. Fair Representation of Testimonials

  • What to be Concerned About: Testimonials cannot be presented in a way that distorts the original meaning or opinion of the endorser. Additionally, do not selectively highlight only positive reviews while omitting critical feedback.
  • Implementation: Use testimonials in their entirety without altering the content to mislead the audience. Consider balancing positive testimonials with a broader range of feedback.

6. Up-to-date Information

  • What to be Concerned About: Testimonials should be reflective of the current state of the product or service. Using outdated testimonials may present a misleading image.
  • Implementation: Regularly update testimonials and remove or revise ones that refer to outdated versions of your products or services.

7. Disclosures Must Be Clear and Conspicuous

  • What to be Concerned About: Any disclosures about material connections, typical results, or other relevant information must be easy to see, read, and understand. Burying disclosures in small print or hard-to-find places does not comply with FTC guidelines.
  • Implementation: Place disclosures near the relevant claims, and ensure they are easy to read and understand. Use simple language and appropriate font sizes.

8. Unbiased Presentation

  • What to be Concerned About: Presenting only positive testimonials or arranging them in a way that artificially inflates customer satisfaction can be seen as deceptive.
  • Implementation: Include a mix of feedback, and avoid manipulating the order or prominence of testimonials to falsely portray universal satisfaction.

9. Substantiation of Claims

  • What to be Concerned About: Testimonials that include claims about health benefits, financial success, or other measurable results must be substantiated by scientific or reliable data.
  • Implementation: If your product or service involves quantifiable claims (e.g., weight loss, earnings increase, etc.), ensure you have reliable evidence to back these claims before including them in testimonials.

10. Use of Visual and Video Testimonials

  • What to be Concerned About: Video and visual testimonials are increasingly popular, but they must still comply with all FTC guidelines, including honest representation, clear disclosures, and factual accuracy.
  • Implementation: If using video testimonials, ensure that they are unedited (other than necessary production changes) and that any necessary disclosures are included in the video or easily visible alongside the video on the webpage.

11. Third-party Testimonials and Reviews

  • What to be Concerned About: Importing or displaying testimonials from third-party websites (e.g., Google, Yelp, etc.) still requires compliance with the FTC guidelines, even though the review exists on an external platform.
  • Implementation: Include any necessary disclaimers, and don’t import or manipulate third-party reviews to present a false narrative.

12. Incentivized Testimonials

  • What to be Concerned About: Offering customers incentives (discounts, free products, or services) in exchange for testimonials can be deceptive unless you disclose this information.
  • Implementation: If you incentivize testimonials, clearly disclose this information. For example, “This customer received a discount in exchange for their review.”

Key Takeaways to Avoid Non-Compliance:

  • Be transparent and honest in the testimonials you display.
  • Always disclose material connections, incentivization, or any special circumstances around the testimonial.
  • Provide substantiated, truthful results, and don’t use testimonials to make exaggerated claims.
  • Ensure your disclosures are clear, easy to read, and placed near the relevant content.
  • Regularly update testimonials to ensure they reflect current product or service offerings.

Staying compliant with the FTC’s testimonial guidelines is essential to build trust with your customers and avoid penalties or legal action from the commission. Make these principles part of your ongoing marketing practices, especially when leveraging testimonials for social proof.

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