What How to Make Effective Disclosures in Digital Advertising requires
The general principles of advertising law apply online, and this guidance addresses how businesses can develop ads for online media in compliance with the law. The same consumer protection laws applicable to other media apply online, including the mobile marketplace. The FTC Act’s prohibition on “unfair or deceptive acts or practices” encompasses all online advertising, marketing, and sales. The core obligation for advertisers is to ensure that products and services are described truthfully and that consumers understand what they are paying for. Required disclosures must be clear and conspicuous. To meet this standard, advertisers must consider a disclosure's placement and proximity to the relevant claim, its prominence, and whether it is unavoidable. Other factors include whether distractions in the ad diminish the disclosure's effectiveness, the need for repetition, the adequacy of volume and cadence for audio disclosures, sufficient duration for visual disclosures, and the use of understandable language. If a disclosure is necessary to prevent an ad from being deceptive or unfair, and it is not possible to make that disclosure clearly and conspicuously on a particular platform, then that platform should not be used to disseminate the advertisement.
Pillar: Sales, Marketing & PR · Authority: Federal Trade Commission · Version: 1.0.0 · Last updated:
SHA-256 integrity: dff838c1aa0bb9d37ed93bcf90575336a42fdb391b244a4dcd771f15c1c82122
Primary Citations — 7 traced to source
- Overview, Paragraph 5: If a disclosure is necessary to prevent an advertisement from being deceptive, unfair, or otherwise violative of a Commission rule, and it is not possible to make the disclosure clearly and conspicuously, then that ad should not be disseminated.
- Section III.A. Background on Disclosures, Paragraph 2: A disclosure can only qualify or limit a claim to avoid a misleading impression. It cannot cure a false claim. If a disclosure provides information that contradicts a material claim, the disclosure will not be sufficient to prevent the ad from being deceptive.
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