Download advertising substantiation program

advertising substantiation program
An FTC program initiated in 1971 to ensure that advertisers make available to
consumers supporting evidence for claims made in ads.
affirmative disclosure
An FTC action requiring that important material determined to be absent from prior
ads must be included in subsequent advertisements.
appropriation
The use of pictures or images owned by someone else without permission.
cease-and-desist order
An FTC action requiring an advertiser to stop running an ad within 30 days so a
hearing can be held to determine whether the advertising in question is deceptive or
unfair.
celebrity endorsements
Advertisements that use an expert or celebrity as a spokesperson to endorse the use of
a product or service.
comparison advertisements
Advertisements in which an advertiser makes a comparison between the firm's brand
and competitors' brands.
consent order
An FTC action asking an advertiser accused of running deceptive or unfair
advertising to stop running the advertisement in question, without admitting guilt.
consumerism
The actions of individual consumers to exert power over the marketplace activities of
organizations.
corrective advertising
An FTC action requiring an advertiser to run additional advertisements to dispel false
beliefs created by deceptive advertising.
deception
Making false or misleading statements in an advertisement.
defamation
When a communication occurs that damages the reputation of an individual because
the information was untrue.
ethics
Moral standards and principles against which behavior is judged.
libel
Defamation that occurs in print and would relate to magazine, newspaper, direct mail,
or Internet reports.
monopoly power
The ability of a firm to make it impossible for rival firms to compete with it, either
through advertising or in some other way.
premiums
Items that feature the logo of a sponsor and that are offered free, or at a reduced
price, with the purchase of another item.
primary demand
The demand for an entire product category.
puffery
The use of absolute superlatives like "Number One" and "Best in the World" in
advertisements.
self-regulation
The advertising industry's attempt to police itself.
slander
Oral defamation that in the context of promotion would occur during television or
radio broadcast of an event involving a company and its employees.
unfair advertising
Defined by Congress as "acts or practices that cause or are likely to cause substantial
injury to consumers, which is not reasonably avoidable by consumers themselves and
not outweighed by the countervailing benefits to consumers or competition."
vertical cooperative advertising
An advertising technique whereby a manufacturer and dealer (either a wholesaler or
retailer) share the expense of advertising.