Posts Tagged ‘FTC’

The Day the Sky Fell…

Wednesday, December 2nd, 2009
16
Digg me

I guess I’m extremely callous. After all these years of reading Anti-MLM Zealots perceptions, predictions, and outright exaggerations about life and how they perceive this world – I can pretty much count on the exact opposite view or perception being the one that’s accurate. As a marketer and online entrepreneur, the last few months have been rather interesting as I’ve read, watched, and gained insight to the new FTC Guidelines concerning Blogging, Affiliates, and Advertising that went into effect yesterday, December 1st.

FTC BuildingIt might surprise you that advertising guidelines haven’t been updated since 1980 – which we all know is long before most of us even had a computer in the home or at the office – let alone internet access. Needless to say, these new guidelines for the internet have been long overdue. For some who like to live on the edge – like it or not – their way of doing business needs to change or they’ll face some hefty penalties if they don’t.

What’s so astounding to me is the reaction of a few really valuable bloggers, affiliates, and marketers, and what they have done recently because of these new guidelines. All of the sudden they’re running scared – some to the point of ending their blogs and affiliate programs because they’re fearful of what the FTC might do. Why? Because they’ve bought into all the fear mongering, half truths, myths, and flat out lies about what the new guidelines from the FTC are actually designed to do.

Based on what I’ve studied over the last few months concerning these new guidelines – those of us who have been doing business ethically and properly, have nothing to worry about. A simple disclaimer that states “duh – I get paid when you purchase from this link on my blog” (or something to that effect) will cover most of what you see on a blog like this one.

Yes, I know that adds (like the ones to the right) are painfully obvious. It might surprise some that there are people who take issue with the concept of sharing a portion of what they purchased with the person who introduced them to the product. YTB and other Travel MLM critics provide a perfect example of this type of stupidity and wealth envy. The thought that I get paid commission when I simply point someone to my “Booking Engine” and receive actual money when a service or product is purchased from my site is unethical and deceptive to them.

Why? Because in their mind I didn’t do anything that warrants a commission. I didn’t “work” for that sale in the same way they’re familiar with. They call it lazy – cheap – and a scam.

Look, I’m a marketer and entrepreneur and I use various marketing materials and subscribe to various entrepreneurial publications and sites. I’m going to obviously write on occasion about these materials and publications that I like. Why they’re a benefit to me and possibly you. If you find a link to the material, publication, product, or service – there’s a very high probability that it’s an affiliate link and when you find that the benefits, services, products that I talk about will benefit you as well – if you purchase the product like I have, I’m going to receive a commission for referring you to that product.

Now I know that the vast majority could of you care less about me and what I make because every single one of us (including me) are selfish and more interested in our own features and benefits – and what the product is going to do for “me”. (In this case “me” actually means “you”, not “me”.) However, there are those who believe it would be deceptive – unethical – immoral – or otherwise fraudulent that someone would be paid for writing and promoting such products without actually telling you that they are getting paid when you purchase these products, services, publications, or materials.

So let’s just cut to the chase here, and tell you that I believe that I provide a very valuable service and product with both this blog and my weekly and monthly newsletter. While I do enjoy and find writing extremely rewarding and gratifying – simply writing without adds, products, services, and other materials in hopes that you will find value and eventually purchase them for yourself, producing income for myself and my family – this blog and newsletter wouldn’t garner the type of quantity and quality that it does because it wouldn’t be worth my time and energy.

The bottom line here is that you’re going to have to tell people upfront that you’re going to be paid or that you received a perk (free copy, or promotional piece) when you write about these products from here on out. For the vast majority of people, they’ll not only find it refreshing and incredibly admirable (which in turn adds more credibility for you) but it helps build your relationship with your readers and subscribers.

For those who have the wealth envy complex and issues with an average guy like me actually obtaining monetary compensation or a perk for writing may never understand or accept this concept or technology. You simply need to accept and understand that their fears and phobias are their own.

If you want a very good overview and explanation of what these new guidelines consist of and what they mean to you as a marketer, blogger, and affiliate the best resource I’ve found was from Jim Edwards. (Through my tax guy affiliate, Ron Mueller) Jim has a great interview with Rich Cleland, Assistant Deputy at The Federal Trade Commission. Rich and Jim will not only give you the best in depth interview I’ve found, but puts the whole FTC Guideline issue into the proper perspective.

You may find, like I do, that these new guidelines are designed to help your business and credibility – not hurt it. You’ll also find , like I have, that there is very little that you’ll need to change in order to adhere to the new guidelines if you’ve been using your noggin and practical common sense.

And no, I’m not being paid or compensated to tell you that. ;-P

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
Share

“Professionals” Come Forward…

Friday, August 29th, 2008
0
Digg me

There are times when I read or hear about something, and it just doesn’t sound right. I’ve been attempting to get my head around this California complaint off and on since the Convention. Something just didn’t fit. It’s a single state, with the help of Illinois who is still on the sidelines, and we’re still doing business in California. (More business by the way than any other state in the country I might add. ;-P)

If you’ve been involved in the Travel Industry for any length of time, you know who the major players are, who gets along with whom, who hates who, and who just doesn’t amount to squat in the Travel Industry. It’s no secret that the ASTA has put together quite a propaganda campaign against these so called “Card Mills”. Doesn’t matter that YTB now has minimum booking requirements before “cards” are issued, YTB is used because we happen to be the most visible in on the internet and in the trade publications. (Legislation YTB was able to overcome and win in California I might add.)

I had an opportunity to read the complaint that was filed some time ago and one term stood out for me that made me think of one particular organization right off the bat. Since I didn’t have anything substantial at the time, I passed it off as nothing more than a logical guess. However based on this organizations educational piece (choke) the complaint read very similar to the 2005 propaganda that is now being regurgitated oddly enough based on similarities to the California complaint.

Like many now who “think” they have the upper hand now that they have a complaint, it’s not surprising that this group feels safe in promoting their position on the issue, along with a few on the internet appear to be rather boisterous.

I do have to add that I also believe that this “announcement” from this group was also predicated by a need to “out” a former President of their organization for coming over and supporting the very company and model they feel is damaging their industry. (Please note: YTB didn’t make the connection or initial statement, a seasoned Travel Journalist did.)

Oh…did you hear the Davidoff’s are now going to conduct three classes on the company Seminar @ Sea? (Check the latest Travel Compass or my Newsletter this weekend.) Like Marc Mancini and his Geography Bowl down at Funshine in a few weeks, looks like this excuse about lack of training from the other side is just that, an excuse.

Unlike the above industry leaders who offer solutions instead of a steady stream of complaints, the ASTA has a rather long history in attempting to derail the MLM business model. The majority of damage however has been nothing more than propaganda that I suppose some people have taken heed in. With such a powerful force, and I use the term loosely, you would think they would have had more of an impact on ridding the travel industry of the “Card Mills” they report to have damaged them so.

Now we have documentation direct from the horses a… err mouth that they’ve already filed one suit some time ago in California, and while not directly implied, sure looks like they feel mighty proud of the weight they are pushing around once again in California.

I caught wind earlier in the week of the ASTA making claims to have filed a complaint with the FTC back in 2006 about this ever so popular “pyramid scheme” excuse everyone likes to throw out. (The e-mail was copied and pasted in the blue response at the bottom of this post.) It wasn’t until yesterday however that I finally got something a little more substantial.

And a whole lot more.

I want to address this complaint with the FTC as to why nobody every heard a word about this from the FTC, and highlight the excuse. (It’s pretty funny actually.) Here’s the gem as it’s worded from the ASTA.

“We also complained to the Federal Trade Commission, but our request for a trade regulation rule was denied in large part due to lack of support from the supplier community.”

I find it hysterical that they blame the suppliers, the very life blood of their business for letting YTB slip through the cracks. Had nothing to do with the fact that they couldn’t come up with valid complaint the FTC would listen too now would it? Nor could it be that are mistaken or more accurately don’t have a clue what a “pyramid scheme” actually is.

You can’t fit a square peg into a round hole. I do have to wonder however why they just didn’t announce a “do over” like they did in their past election.

Did the FTC not realize that this was the ASTA? Look, it doesn’t matter how big and bad you try to make yourself, you still have to prove your case in this country, (THANK GOD) before the Government will find you guilty and actually enforce action.

Why do you think we’re still doing business in California even with such a large amount of money up for grabs?

I often find a blurb from the SEC posted on the Internet concerning the FTC’s stance on pyramid schemes. Why do they use the SEC you might ask? Don’t really know, but my guess is that it “sounds better” than what the FTC has up concerning illegal pyramids.

Again…I need to add that the graphic the SEC has up concerning more participants than the world population has yet to happen in a single solitary MLM. Many of whom have been around for decades. (But don’t let that stop you from listening to a Zealot when they post something like this for you.)

So, the ASTA fails in getting the FTC involved, (as I’m sure many other Zealots have attempted to do) and they spend the next couple of years hitting up any State that would listen and finally found one desperate enough to file a suit. Call it whatever you want. Stupidity – greed – political advancement – I don’t care, but since the FTC, Florida and now Illinois have never stepped up to the plate, what do you think ol’ Gerry has in regard to this complaint?

Nothing more than a very dry bone of contention.

While I know some laugh at this notion that a group or organization in the Travel Industry would have the kind of pull or clout to lobby Politicians. I find it interesting that we have a second article within the last week of more lobbyist throwing money at Politicians, although from the supplier end, but a cool $297K Q2 adds up to organizations getting exactly what they want through what ever Government agency (State or Federal) they think they can purchase.

Those who subscribe to my Newsletter know my stance concerning these suits being nothing more than a personal attack. A complaint filed in an attempt to slow or even destroy a company that is “growing to big too fast”. (The AG’s statement, not mine.) I realize that like terrorists, some flat out deny any involvement, and I’ve stated that I would agree some were not involved. (Not that smart, and not their mode of operandi.)

That doesn’t mean however that there is an organization that does have just enough clout (or money) to push something like this out into the public eye. Unfortunately for them, that’s about as far as their going to get based on the failures they’ve faced concerning past efforts. Which include the FTC, other states who never moved past the investigation mode and California Legislation that was merely a blip on the radar screen and clearly separated YTB from this notion of being nothing more than a “Card Mill”.

Oh, before I go. I did happen to send this “gem” up to the home office with an idea of getting everyone together on the Seminar @ Sea with the Davidoff’s and sending the ASTA a postcard from the Seminar entitled “Greetings from Cozumel”.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
Share