Compliance

Federal Trade Commission

The Federal Trade Commission (FTC) recently revised its Guides Concerning the Use of Endorsements and Testimonials in Advertising. According to the FTC, this new guide addresses endorsements by consumers, experts, organizations, and celebrities, as well as the disclosure of important connections between advertisers and endorsers.
 
SocialToaster has taken the following steps to comply with these new FTC guidelines:

• We recommend that our clients create a disclosure page on their web site that explains the material connection and affiliate relationship between Brand Ambassadors and their company.
• When a new Brand Ambassador registers within the SocialToaster system, a message is automatically generated and published to their broadcasting social network accounts that conveys the material conection between the Brand Ambassador and the company they are serving. The initial posting will also include a link to the aforementioned disclosures page on the company web site.

Facebook

In 2009 Facebook made some additions to its Statement of Rights and Responsibilities (SRR) Section 4.2 of the new SRR reads, “You will not use your personal profile for your own commercial gain (such as selling your status update to an advertiser).” For this reason, Brand Ambassadors cannot be rewarded for their promoting content or links via Facebook. Ambassadors choose to promote content on Facebook on a strictly volunteer basis.