What's up with this FTC Affiliate Disclosure?

by jvyzsy
15 replies
Hi everyone,

I've just heard about "affiliate disclosure". I've never done it, rarely see it on blogs. What about you?

I've read on a blog that you HAVE to do it next to your links every single time. Is that really true? Is it a global thing or only people from specific countries need to do it? What happens if you don't?

Thanks for the help!
#affiliate #disclosure #ftc
  • Profile picture of the author Steve B
    Originally Posted by jvyzsy View Post

    What happens if you don't?

    Yes, affiliates should be aware of the federal requirements. The fact that you rarely see such disclosures these days online (that meet federal guidelines) should not lull you into thinking "because no one is doing it - it must be OK." Who knows when the FTC will decide to come calling at your business? It doesn't matter if you reside in a foreign country - if you do business with U.S. consumers, the rules apply.

    Rather than taking a random person's advice online, wouldn't it be better, safer, and more enlightening to go to the source ... the U.S. Federal Trade Commission (FTC) ... and learn what is required of all advertisers and affiliate/network marketers? I think so.

    Here's a free PDF summary or starting point (but there is more detailed information at their web site):

    The FTC's Endorsement Guides

    Ignorance is no excuse when dealing with the feds.

    Steve
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    • Profile picture of the author jvyzsy
      Thanks for the answer!

      Well, I asked it because it seems this is not clear for the vast majority of the people who are in this business. Not even the top players, the ones who make hundreds of thousands of dollars seem to do it properly(I guess it's because the law itself is shady and not clear at all). What I've seen on their sites are "affiliate link" texts AFTER the links or some disclosure in the sidebar under everything(saw it on a lawyers site, he is insanely successful, knows the laws yet he does this). Those were the people who even wrote any disclosure. In the FTC guide, they say that's not enough for the government. This is the biggest online business forum and I hoped I get replies from experienced affiliate marketers with exact ways to do it properly since it is not clear. I've read the endorsement guide. That's a big "probably" and "that depends" and nothing more. Based on that guide, it's only good/legal if your viewers understand you get money. What if they are absolute internet newbies, then what you do is magically becomes a lawbreaker act? The only good way seems to be "I get money if you do this or that" texts right BEFORE your link and nothing else. Then like 20% of your article will be disclosures? Is there a better way? Because this is plain foolish and something that no-one knows, not even the government.

      Thanks again for the link, I will try to dig deeper.
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  • Profile picture of the author JohnMcCabe
    There's a very flawed saying that many marketers live by - "it's easier to ask forgiveness than permission."

    Unfortunately for them, saying "I'm sorry" to the Feds often involves large fines and potentially jail sentences (see Kern, Frank).

    While there seems to be some room for interpretation in how the disclaimer is enacted, the basic premise is that a normal person should be able to tell the difference between a legitimate testimonial and one that is or may be compensated.
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    • Profile picture of the author jvyzsy
      Thanks for the answer!

      Yes, I know about big fines, that's why I would like to do it properly. If you write a testimonial about 1 product, the case is really simple. But if you write articles about whatever topic you would like to(vast majority of bloggers) and embed multiple affiliate links naturally for specific keywords or product names, then how would anyone do that properly? For example, you write about fitness. You talk about what they can do to gain muscle, lose fat, etc. Then a product comes and you write "I get money if you buy it through the upcoming link." Then a link comes you aren't affiliated with, you leave that out. Then another vitamin comes, and you write it again: "I get money if you buy this product through the upcoming link.", then a book comes that helps people who want to gain weight. And you do that again? If you have a 1000-2000 word article people will get fed up with that in no time for sure. Not to mention the fact that the law itself assumes you lie for money. How would it look to write how you use and love those products and then you write disclosures like that 10 times. Even if you are perfectly honest, your blog's reputation is done, overall look ruined, article quality down on the toilet and the whole site looks like a scam. And you do that in every single article. Because based on the guidelines this is the only way to be clear enough for "normal people". As you can read, disclaimers far from the links are "not good enough". Who on Earth does that? I haven't seen big companies, news agencies nor famous people who do that. And you can bet that almost any post they make is compensated.

      Tell me if I am wrong but this seems to be a silly law from people who don't know anything about how online businesses work. Or the sole purpose is to get free money from fines because they can fine anyone who they would like to.

      Since I still would like to do it properly, I'm interested if anyone has a hint on how to do it absolutely well without destroying your whole blog with dozens of disclosures/article.
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      • Profile picture of the author Frank Donovan
        Originally Posted by jvyzsy View Post

        Since I still would like to do it properly, I'm interested if anyone has a hint on how to do it absolutely well without destroying your whole blog with dozens of disclosures/article.
        Here's what I'd suggest:

        If your article reviews a product or service, or acts as a testimonial, the best practice is to mention either at the start or the end of the review that you will be compensated for any purchases made via your link(s).

        If all you're doing is linking specific highlighted keywords in a general article (i.e. one that isn't focused on recommending a product), that should be covered by a site-specific disclosure - which can be on a separate page, but linked to on each of your site's pages.

        The wording can be something like: "Visitors should assume that the owner of this site will be compensated for purchases made or actions taken by site visitors after following hyperlinks contained in any text and images on the site. This is to help offset the costs of maintaining this website, such as hosting, content creation etc., and does not affect the price of any products or services paid for by visitors".

        ==

        DISCLAIMER: I'm not a lawyer, but I do have my own briefs.
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  • Profile picture of the author DIABL0
    No one in their right mind is going to tell you something that contradicts the FTC. Especially in an open forum.

    So your best bet is to talk to a lawyer that can tell you what the gray area is...how far can you walk up to the line without crossing it.
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    • Profile picture of the author jvyzsy
      I am not talking about any grey area, nor anything that can contradict the FTC. Sorry if my post could be interpreted like that. I am asking about exact things you can write that is a perfect disclosure without using 200-300 words per article. For example, if you give promo codes, is that enough? It indicates partnership with the site you promote or is that not clear for a normal person and you need additional sentences? What is odd for me that no one replies this, "Write something like this, this or this and you are good to go: xyxy"
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  • Profile picture of the author MikeFriedman
    You need to have a disclosure page, not a disclosure beside every single link.
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    • Profile picture of the author jvyzsy
      This is from the official guideline:

      "As for where to place a disclosure, the guiding principle is that it has to be clear and
      conspicuous. The closer it is to your recommendation, the better. Putting disclosures in
      obscure places - for example, buried on an ABOUT US or GENERAL INFO page, behind
      a poorly labeled hyperlink or in a "terms of service" agreement - isn't good enough.
      Neither is placing it below your review or below the link to the online retailer so readers
      would have to keep scrolling after they finish reading. Consumers should be able to
      notice the disclosure easily. They shouldn't have to hunt for it."
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      • Profile picture of the author JohnMcCabe
        Originally Posted by jvyzsy View Post

        This is from the official guideline:

        "As for where to place a disclosure, the guiding principle is that it has to be clear and
        conspicuous. The closer it is to your recommendation, the better. Putting disclosures in
        obscure places - for example, buried on an ABOUT US or GENERAL INFO page, behind
        a poorly labeled hyperlink or in a "terms of service" agreement - isn't good enough.
        Neither is placing it below your review or below the link to the online retailer so readers
        would have to keep scrolling after they finish reading. Consumers should be able to
        notice the disclosure easily. They shouldn't have to hunt for it."
        It's written for the "loophole lawyer" types who do things like put the disclosure several screens down from the link in the smallest print they can, in a color that can barely be seen. Rather than having to parse every word, or make a judgment on every possible application, they make the intent very clear without specifying exactly how to satisfy that intent.

        Rosalind Gardner, author of the "Super Affiliate Handbook" uses an image with a short version of the disclaimer (thus avoiding repeating the text on every page) in the sidebar of her home site, within the first screen (on a full size screen). This links to her full disclosure on another page.

        Her text is very explicit about the fact that she will earn money if someone buys through her links.

        Other bloggers will use something like (affiliate) or (aff.) after their affiliate links, again linking to a disclosure statement. I would put the statement into a popup so that people who click don't leave the page.

        Bottom line, if you don't want to see a lawyer who specializes in this area, is to do things where you can make a logical argument that you are trying to comply. Ignore the law, or try something deceptive like hiding the disclosure, and your "I'm sorry", might be expensive.

        Oh, and make sure you grab the PDF Kay linked. It should help you a lot.
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  • Profile picture of the author Kay King
    But the FTC also says

    "Hyperlinks allow additional information to be placed on a webpage entirely separate from the relevant claim."

    I think the pdf below might be more organized in detail than some other sites.

    https://www.ftc.gov/system/files/doc...dvertising.pdf

    There is nothing in any of the FTC docs that say "if you think this is a silly law, you can ignore it"...
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  • Profile picture of the author Brent Stangel
    What if they are absolute internet newbies,
    It doesn't matter if people see, read or understand as long as you follow the law. The "Feds" aren't going to punish you because someone else doesn't have the wherewithal to understand.

    This is what I include in every email:

    DISCLAIMER: In accordance with the FTC guidelines we are required to inform you that some of the links within this email or the links on pages it refers you to may be affiliate links. When this is the case, if you purchase products through these links then we receive a commission. The amount of commission varies from product to product and in these cases we only ever recommend a product that we fully stand behind.

    SUBSCRIPTION INFO: We hate spam and we never email you without permission. You agreed to our terms and conditions when you opted in or when you purchased a product from us. This includes permission to send you emails updates about important product information, announcements, bonuses, promotions and other general communication.

    Contact Details & Unsubscribe Options:
    On affiliate sites I use something like this:




    Note: I do not do reviews or testimonials.
    I also don't worry about early morning visits from any friendly government agencies.
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  • Profile picture of the author Kurt
    You can use a little "spin" to position yourself, such as:


    "Yes, this is an affiliate link. Unlike many of my competitors I believe in being open and honest so you can make the best decisions."


    This can build trust with your readers and may actually increase your results.
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  • Profile picture of the author agmccall
    Also keep in mind that amazon has their own requirements for their own disclosure which is required on every page that has an amazon link

    al
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  • Profile picture of the author Ishrat
    If you are using or intend to use wordpress ... try using Guerrilla's Legal Pages plugin ... i am using it and that could (emphasis, could help you)

    All the best

    Ishrat
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