Testimonials & New FTC Rules

[Bonnie]

On his blog, Frank Kern explains new FTC rules regarding testimonials:

http://masscontrolsite.com/blog/

If you use testimonials, you should definitely read it. This is pretty important and serious stuff -- but Frank makes it fun to learn about it.

[David Jackson]

Interesting article. I'm not suggesting that's the case in this instance, but often, new FTC regulations turn out to be much ado about nothing. Again, I'm not suggesting that's the case here, but I also don't think anyone should panic or over-react. The new rules are definitely subject to interpretation. If you're unsure about any part of the rules, contact the FTC to make sure that you're in compliance.

Sorry...but I just can't let this slide. Frank said something in his article that I completely disgaree with. He said:

"In my experience, testimonials are overrated anyway."

Going back 20 years, since I started selling anything, I can't even count how many customers of mine told me that they purchased what I was selling because of the testimonials.

Frank is wrong. Testimonials are definitely not overrated. They do make a significant and measurable difference. Otherwise, all the big-name marketers, including Frank Kern wouldn't be using testimonials from all their colleagues and associates to help sell their products.

David Jackson

[Baggs]

Part of the issue is that testimonials that are made up, which is what the FTC are upset about are worth nothing.

If you have a faithful following who trust what you say and you give honest testimonials then they can be worth everything.

[David Jackson]

Part of the issue is that testimonials that are made up, which is what the FTC are upset about are worth nothing.

Worth nothing? Think again. Everyday, millions of people make buying decisions based on bogus testimonials. That's fraudulent, and it's wrong! I'll be working hard to change that with my new website, Reviews-by-Customers.com.

The hundreds of testimonials on my new website have been personally verified by me.

David Jackson

[Baggs]

David, you are right, and what I meant and perhaps should have said was that made up testimonials SHOULD be worth nothing.

Too many people take what they read on the web as fact / true, without thinking "can I trust this reviewer".

When is your new site going live?

[David Jackson]

Too many people take what they read on the web as fact / true, without thinking "can I trust this reviewer".

When is your new site going live?

Exactly right, Baggs. I'm still verifying testimonials, and adding content to my site. However, I expect to go live the first week of November. A couple of Lynn's "Elite" members will be featured prominently on my site. Their testimonials are 100% legit, and their credentials impeccable.

That's a little tease! ;)

David Jackson

[Bonnie]

I have mixed feelings about testimonials... especially for Internet Marketing products.

There's a lot of "you scratch my back and I'll scratch yours" going on. These are "real" reviews in the sense that they are provided by real people, but are they genuine? I suspect many are not. Most are so generic ("Wow, I can't believe you're letting this go for less than $97! It's an incredible resource. Marketers would be crazy not to grab this one!") Ho-hum... Perhaps that's what Frank meant.

David, even if you're verifying that testimonials are coming from real people, I don't see how you can verify that they aren't just saying wonderful things because they like the product creator and/or want to get on his/her good side... or in the IM niche, want their link out there. ;)

The only testimonials I find of true value are very specific ("I used Joe Marketer's system. Over a 3-week period, I was able to increase traffic to my site by 33%!"). Those definitely get my attention and can persuade me to buy; but they are very few and far between.

But that is not what the new FTC guidance is about. It doesn't say testimonials are bad. At least from my understanding of it (and I admit I have not researched it), it's saying that testimonials have to be written more carefully, and if any specific results are claimed, there should be a disclaimer that those results are not typical. (I wonder what you do if the results you claim ARE typical? :) ).

[David Jackson]

David, even if you're verifying that testimonials are coming from real people, I don't see how you can you verify that they aren't just saying wonderful things because they like the product creator and/or want to get on his/her good side.

Bonnie, I'm not going to disclose my investigative methods to anyone. But I can assure you, when I verify a testimonial, it's really verified. Sometimes, in order to get to the truth, you have to get dirty. And believe me, I got plenty dirty.

I have to admit, my investigative tactics upset more than a few merchants. But I can live with that. I apologized, and moved on. After all, it's my credibility on the line, if I publish reviews/testimonials that are less than honest.

David Jackson

[pmaior]

Here is some more information on the subject.
http://www.thelazymarketer.com/blog/2009/10/09/the-sky-is-not-falling-but-this-is-definitely-a-game-changer/

I personally don't put any weight in testimonials and would never make a buying decision based on them unless I knew the person giving it.

I think Overrated was a bad choice of words by Frank. I think Overused is better.
There is such a thing as too many testimonials
Anyway the main focus here is complying with the FTC guidelines and, I for one, will do my due diligence on the subject before promoting any more affiliate products. Unfortunate, because I am preparing to get my Hydrogen Car site going and all that sales copy makes plenty of dramatic claims. UGH.

Don't mess with the FED.

These are all my opinons and should not be construed as fact. Your opinions will vary and I have no Idea what the average reader's opinon will be.

My name is Pablo and I approve this message. :)

[Lynn Terry]

I just published an update on this at ClickNewz that you may find helpful in regards to the new FTC guidelines on testimonials & endorsements:

The FTC Update - In Plain English (http://www.clicknewz.com/2061/ftc-update/)

I'm guessing we have the "acai floggers" to blame for this one.

At any rate, they gave some great examples of how a testimonial should be written, and what to take into consideration when giving or publishing an endorsement of any kind.

[retta719]

The FTC has definitely given us lots of things to think about before we post anything that might be viewed as a claim or testimonial. Somehow I missed the PDF that was made available, so I'm off to read Lynn' post and get some more information.

[franknvegas]

Here's a link to what Mike Fortin has to say on this whole FTC thing, certainly worth reading: http://www.michelfortin.com/affiliate-marketing/

[David Jackson]

I personally don't put any weight in testimonials and would never make a buying decision based on them unless I knew the person giving it.

I don't buy that for a second. Other people's opinions definitely influence our buying decisions - even if it's subconsciously. If I were to take your statement at face value that testimonials don't influence you - well, you'd be the rare exception indeed.

Because according to Deloitte & Touche USA, “Consumer Survey: Market Transparency," 99% of Internet consumers find consumer-generated online reviews to be credible. (http://www.marketingwords.com/blog/?p=269)

It's tough to argue with those numbers.

David Jackson

[Randy Cantrell]

How To Fix Your Testimonials

http://mikeyounglaw.com/wp/2009/10/16/testimonials-federal-trade-commission-ftc-websites/

[pmaior]

David:

I never said that testimonials don't work or that you shouldn't use them, and I won't attempt to argue with your stats.

The fact is that, for me, testimonials mean nothing because they are so overused in the IM market. I scroll right past them and don't even read them. And it's quite a scroll sometimes, 10-20 testimonials.
Consider the fact that to get testimonials for a new product, you usually give away the product in return for a testimonial. Knowing this and the fact that you would not publish negative feedback, how can you put any credence in them? True that their mere presence affects you on some level, I think it is prudent to consider all these factors, and the new FTC guidelines, when using testimonials.

I don't think I'm alone here.

On non-IM ad's I may read one or two, but still will base my buying decision on benefits and features.

Another factor that I think bears consideration is the obvious look of a sales page. Hard to judge since we, as IM'ers, are so used to seeing them, but you have to wonder how many people click away at the mere site of a sales page.(I know I have) Again, I am not saying they don't work, they obviously do, but something to think about, and only testing will tell(something I am too lazy or too busy to do) Actually I have never used a sales page or testimonials of my own, have only promoted affiliate offers. But I would not hesitate to use the tools that have been proven to work, but I would also not ignore my own gut feelings and try other techniques as well. In essense marketing to myself.

Randy, Thanks for the link. :)

Pablo

[David Jackson]

David:

I never said that testimonials don't work or that you shouldn't use them, and I won't attempt to argue with your stats.

The fact is that, for me, testimonials mean nothing because they are so overused in the IM market.

Actually, there's no argument or debate - at least, not on my part. Like I said in my previous post, you're that rare exception.

David Jackson

[MikeS]

So are the Larger Companies blowing off the rules:eek:, or is this type of testimonial OK to still use.

http://www.intuit.com/websites/website-pricing-packages/
(http://www.intuit.com/websites/website-pricing-packages/)
(See the testimonials on the right side?)

If this is a bad thing are they just waiting for FTC to act, then point to there attorneys?:confused:

[MikeS]

I did some more looking and found this, on Franks page:

But this doesn’t mean that ALL testimonials are this serious. From what I understand, you don’t have to worry about any disclaimers if you’re using testimonials where your customers simply say they like your product, like you, and are happy with their purchase.

…It’s only when you’re conveying a specific result.

[MikeS]

OOPs I looked at the Intuit site again and some do have results showing. :eek:

"I found the web builder to be the easiest to use and was able to complete my site quickly. I had over 80 hits on the site within my first week."
Mary O'Dell
Adair, OK

What do you guys think?