Who Regulate Affiliate Marketing
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Who Regulate Affiliate MarketingAffiliate marketing is a type of performance-based marketing in which a business rewards one or more affiliates for each visitor or customer brought about by the affiliate’s own marketing efforts. The Federal Trade Commission (FTC) is responsible for regulating affiliate marketing
Some of the key laws that the FTC enforces against affiliate marketers include the Federal Trade Commission Act, the FTC Rule on Deceptive Advertising, and the FTC’s Guides Concerning the Use of Endorsements and Testimonials in Advertising. The FTC has taken enforcement action against a number of affiliate marketers for violating these laws
For example, in 2012, the FTC reached a settlement with an affiliate marketer who had used fake testimonials in ads promoting a weight-loss product. The FTC has also issued a number of warning letters to affiliate marketers who have engaged in misleading or deceptive practices. If you are an affiliate marketer, it is important to comply with the FTC’s laws and regulations
Failure to do so could result in enforcement action by the FTC, including fines and penalties.