Marketing laws you shouldn’t break

Marketing is a tricky business because you don’t want to break any rules but you need to find a way to convince your customers to come back.

Unfortunately, more often than not, companies will break the rules. In those cases, companies are fined hundreds of thousands of dollars. Samsung just learned this the hard way in Taiwan.

A law that makes sense

It makes sense that the Taiwan Fair Trade Commission would be upset with false reviews being posted online to encourage more business for a company. According to The Verge, Samsung ended up having to pay a $340,000 fine for the lies and deceit. When you go online to find out whether or not to use a service or product, you want to know the truth. The truth is that Samsung had to pay people to say their products worked in order to get more business. It didn’t just hurt Samsung, though. There were also two local marketing firms that had to pay fines over $100,000 for playing a part in the scheme.

Paying people to lie

It is bad enough to pay people to say that your product is good, but it is even worse when you start paying for bad reviews of competing manufacturers. The FTC found in the investigation that Samsung was actually paying people to point out the problems with competing products. There were many other dishonest practices being used by Samsung and marketing companies to try and get Samsung to the top, but it ended up costing all of them quite a bit of cash.

Do something legal

Instead of paying someone to lie about your product, why don’t you try pay per call advertising? People only get paid if someone calls the number on the add on their page to get more information. The person doesn’t have to endorse you in any way, just put your ad on their page. On top of that, the person can do whatever they want to encourage people to call the number on the add. What they do to endorse you is up to them. You can get a lot of extra customers calling in for more information about your product or service, and you don’t even have to do anything except pay when there is a quality lead. It is the much more honest approach.



The Verge

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