FTC Reminder That Review Manipulation is Deceptive and Unfair

Complaints ManagementReputational Risk
Written By Geoff Kreller

The FTC sent warning letters to 10 companies, citing potential violations of its Consumer Review Rule (“Rule”) which prohibits certain review related conduct, including but not limited to:

  • Fake or false consumer reviews and testimonials

  • Providing compensation conditioned on writing reviews of a particular sentiment (either positive or negative)

  • Posting insider and employee testimonials without clearly disclosing the writer’s material connection to the business

  • Suppressing certain reviews

  • Buying or selling fake indicators of social media influence (such as followers, views, or impressions)

The FTC identified the potentially prohibited conduct through consumer complaints and information provided the companies. Rule violations can result in federal lawsuits, legal action, and civil penalties of up to $53,088 per violation.

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Geoff Kreller
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