You do some research and find a glowing YouTube video review saying that a particular resort is the most luxurious place the reviewer has ever stayed.
The reason is obvious: Knowing about the connection is important information for anyone evaluating the endorsement. The same is usually true if the endorser has been paid or given something of value to tout the product. For example, if an ad features an endorser who is a relative or employee of the marketer, the ad is misleading unless the connection is made clear. In addition, the Guides say, if there’s a connection between an endorser and the marketer that a significant minority of consumers wouldn’t expect and it would affect how they evaluate the endorsement, that connection should be disclosed clearly and conspicuously. An endorsement must reflect the honest opinion of the endorser and can’t be used to make a claim the marketer of the product couldn’t legally make. The Guides, at their core, reflect the basic truth-in-advertising principle that endorsements must be honest and not misleading. That common-sense premise is at the heart of the Federal Trade Commission’s (FTC) Endorsement Guides. Would you want to know that when you’re evaluating the person’s glowing recommendation? You bet.
Now suppose the person works for the company that sells the product or has been paid by the company to tout the product.
Would that recommendation factor into your decision to buy the product? Probably. The person says it performs wonderfully and offers fantastic new features that nobody else has. Suppose you meet someone who tells you about a great new product.
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