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Advertising
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A paid message concerning a legal product or service placed through the media by an identified sponsor.
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Advertising practice
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a recurring practice in advertising. The use of pretty models to sell products, the use of small print to obscure the details of car costs are all advertising practices.
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Affirmative Disclosure
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The FTC uses affirmative disclosure rulings to force businesses to include health and safety information, credit terms and agreements, product ingredients and warning labels. These rulings are designed to prevent consumer deception before they can be harmed.
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Caveat emptor
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Latin for "let the buyer beware"
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Cease and Desist order
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legal order issued by an agency or court with jurisdiction that your ad must stop running immediately or fines will be assessed.
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Commercial Speech Doctrine
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The series of Supreme Court cases that have resulted in the current level of protection offered to advertising.
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Copyright
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The copyright act of 1976 is intended to "promote the progress of science and the useful arts" by protecting the creator's right to all profits. Copyright protection is limited to the life of the author plus 50 years (to provide for heirs: think Elvis and Lisa Marie). Copyright is thought to provide an incentive to create.
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Disclaimer
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a written statement intended to clarify claims made in the body copy of an advertisement.
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Deontological ethics
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The evaluation of right and wrong based on intentions, regardless of outcomes. Deontological = intent
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Economics
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The study of enterprises and relationships involved in the exchange of goods and services.
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Ethics
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The study of how people judge their own and others' conduct in terms of right or wrong.
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Guarantee
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A guarantee is a promise by the manufacturer to correct defects according to the terms stated. Advertised guarantees must set forth the nature of the guarantee in terms of coverage: Full, Limited or Conditional. They must state how far firm will go to correct problems, set forth the conditions of coverage; e.g. original owners only. They must also set forth the extent or duration including time and wear limits, as well as the manner in which the guarantee will be performed ( e.g.: product replacement , repaired or monies refunded).
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Idiomatic speech
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The use of slang or jargon in everyday speech.
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laissez-faire
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Status quo, leaving the status of the matter alone, and choosing not to act in a manner to change it.
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Merchantability
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The implied claim that the product will work as expected if correctly used. Software is an interesting exception to this rule. Software is often shipped with "bugs", and these bugs often prevent the software from fulling its promised function. (This might also be called "fraud.")
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Material claims
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Any claim that affects a consumers choice or behavior.
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Normative expectations
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What a reasonable person might normally expect.
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Persuasion
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An act of communication that seeks to convince another to voluntarily change, resolve, or formulate their opinions, feelings, or actions through the use of argument, reasoning, or entreaty.
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Physiological needs
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The basic requirements of life, including shelter, clothing, food, air and water.
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Policy
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A form of unofficial guidelines that private firms, individuals, and organizations create for internal (and in some cases, external) conduct. (Policy is not regulation.)
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Puffery
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Obvious exaggerations and outrageous statements about a product or service made by the seller, not intended to be taken seriously. The use of puffery in an ad typically refers to statements of opinion, exaggerations, overstatements, and the use of superlatives. Examples of puffery are: "Out of this World Flavor," "Coke is the real thing" and "The world's best aspirin."
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Reasonable basis
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A rationale (or foundation) for making claims that advertisers must have prior to making any claims about a product or service.
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Reasonable consumer
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A standard of judgment. The crux of whether or not a claim is deceptive or merely puffery often relies on the consumer's likely interpretation. The FTC created a "test" to make sure they consider questions of advertising deception from the viewpoint of reasonable consumers. This is pretty much a circular definition - a reasonable consumer is one who is acting reasonably (not as an expert nor as an idiot) at the time under normal circumstances.
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Reasonable skepticism
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The process of persuasive communication is two-way. The persuader has a moral duty to inform using rational techniques, and the audience has the moral responsibility for questioning the presentation. This questioning on the part of the audience is the moral duty called "reasonable skepticism."
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Regulation
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Rules imposed by governmental entities to proscribe and manage the conduct, or economic or social effects of a business or service. In our context, this means advertising. In the US, government does not tell advertisers what they may say in ads, only what cannot be said.
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Society
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The organization of a group of individuals with traditions that have evolved into a culture. Society maintains itself by providing rules of behavior for the individuals within it called "norms." Our society includes government, economy, and class structure.
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Sovereign consumers
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The assumption that consumers are rational, calculating, and deliberate and thus able to sort through competing messages to arrive at a reasoned choice that will maximize their own benefits. According to this assumption, sovereign consumers are not at the mercy of advertisers, and do not need to be protected from any type of information.
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Susceptibility
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The level of expertness or sophistication the typical consumer has in regard to product use or purchasing. For example, the FTC is not likely to perceive medical doctors as highly susceptible to advertising claims and in great need of regulation to remedy any problem. However, the commission will apply a much stricter standard when the intended target of an ad is somehow disadvantaged (or susceptible), such as the elderly or children. There is current discussion in this area related to ads for casinos and lotteries and people with gambling problems.
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Teleological ethics
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The evaluation of right and wrong based on the social benefits derived by the outcome of an action without regard for the intention of the action. Teleological = results.
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Warranty
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A promise of performance, attributes or benefits made by a manufacturer. It becomes a contract between the manufacturer and the consumer. For example, Kodak advertisements say that their film is free from defects in materials and workmanship.
