Truth in advertising is not only a best practice; it’s the law. It applies to all media – from newspapers and magazines to radio spots to online platforms, such as blogs or social media. It is required in both overt advertisements and implied claims buried in otherwise innocuous posts. As such, it creates a minefield for hoteliers trying to drive traffic in a crowded marketplace.
Endorsements and Testimonials. A hotel is responsible for false or unsubstantiated statements made through its endorsements, or for failing to disclose a material connection to the endorser. According to the Federal Trade Commission ("FTC"):
"Endorsement" means any advertising message (including verbal statements, demonstrations, or depictions of the name, signature, likeness or other identifying personal characteristics of an individual or the name or seal of an organization) that consumers are likely to believe reflects the opinions, beliefs, findings, or experiences of a party other
than the sponsoring advertiser, even if the views expressed by that party are identical to those of the sponsoring advertiser.
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