In the United States the Federal Trade Commission is charged with the enforcement of ‘truth in advertising' standards – even on the web.
Interestingly, it is the web designer or advertising agency that must validate the claims of the business. Essentially the manufacturers claims must be validated if advertising is going to be distributed that will make a claim. Since the ad agency or the web designer may be held partially liable for the advertising on a site it is always in their best interest to make sure the claims of the manufacturer can be validated.
Because certain product descriptions are lengthy and certain claims have conditions the use of disclaimers (or fine print) may be required to ensure you are following Internet advertising laws.
The FTC does allow autoresponder emails to ‘fill in the blanks' on Internet advertising in some cases. If a potential customer signs up for more information then a full-disclosure of the products claims, contest conditions or other disclaimers may be sent to the prospect as a condition of full disclosure.
It is safe to say that many online businesses either are unaware of these rules or simply believe they will never be caught, but the FTC does look into fraudulent advertising – even on the web.
Understanding the rules of advertising will not only help you avoid problems later, it can actually help you devise a credible, well established advertising campaign now.
When deceptive Internet practices become commonplace, we begin to see a drop in consumer confidence in ecommerce. In effect, when an online business decides to flaunt the rules it provides a lasting distaste for other ecommerce solutions – even those who are above reproach.
If disclosures or disclaimers are needed the website owner must either provide all information in a conspicuous location near the originating claim OR they must provide a conspicuous link that will direct the consumer to the full extent of the advertising claim.
This does not ensure that the consumer will actually read the claim, but it must be readily accessible to the consumer for their inspection.
If you are reading this and you are a consumer you should know that if you visit a site that provides some pretty incredible claims it might be worth your time to look for disclaimers or disclosure notices. If they aren't provided or can't be substantiated you may wish to visit another ecommerce solution that does.
