Avoiding False Advertising: Advice for Business Owners

Avoiding False Advertising Advice for Business OwnersThere are many business owners that rely heavily on advertising for getting their message out and for attracting new customers. There can be serious consequences, all the way up to the federal level, for business owners that engage in false advertising though. In addition to having Central Florida General Liability Insurance, your business can follow these four tips outlined by QuickBooks to ensure that your advertising claims are accurate

1. Stay Away from Bait-And-Switch Advertising. This type of advertising is when a business claims it will  sell a product or service at a certain price, however, it doesn’t really intend on selling at that particular item. It only advertises the discounted item to grab attention and lure customers into the store. In reality, it wants to sell you another more costly product. This type of promotion, if caught, can result in a claim of false advertising.

2. If You Advertise It, Make Sure You Have An Adequate Supply of advertised items. Another type of false advertising is when a business offers a sale, but only has limited number of discounted items. Therefore, when the demand exceeds the supply, the price of the items will go up. If your business advertises a product, you must have an adequate number to support the sale.

3. Make Sure Your Item Is Truly Considered Eco-Friendly Before Advertising The FTC  recently completed revisions to its Green Guides, which ruled that terms such as “eco-friendly” and “green” are deceptive unless they’re “qualified in some manner.” If your business is advertising a “green” product as such, make sure it qualifies under these guidelines.

4. Don’t Say You’re Going Out Of Business If You’re Not. This tip is pretty straight-forward. “Going Out of Business” sales can attract a lot of customers, but authorities will jump on a business that isn’t closing or relocating. Furthermore, a business can get in trouble if it exceeds the time limits for concluding the sale.

At Newman Crane & Associates Insurance, we understand that you want straight-forward explanations and advice for your business. Give us a call today at 407.859.3691 to discuss your company’s general liability insurance and other concerns.

 

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