A warning letter (or ten) for businesses: comply with the FTC’s Consumer Review Rule
Consumers often rely on reviews to help them choose between everything from home repair companies to apartments to lawyers. When those reviews reflect honest feedback from real people who have actually used a product or service, the feedback can be invaluable. When companies try to game the review system — by using fake reviews or providing money or incentives for only positive reviews — they distort the marketplace and harm consumers relying on reviews to make purchasing decisions. That’s why today the FTC sent warning letters to alert a number of companies of potential violations of the Rule on the Use of Consumer Reviews and Testimonials.