Advertising Claims and Substantiation, Done Properly
The Federal Trade Commission's rules for what advertising may claim, including the evidence needed before making objective claims and the specific rules for endorsements and Made in USA labels.
Samir Haddad
At a glance
- FTC standard advertising must be truthful and not misleading
- Substantiation objective claims need a reasonable basis before they are made
- Endorsements material connections between advertisers and endorsers must be disclosed
- Made in USA all or virtually all of the product must be made in the United States
- Fake reviews banned under an FTC rule that took effect in October 2024
Why it matters
Why it matters: Every claim in an ad, landing page or product listing is judged by the FTC's truth-in-advertising standard, and claims made without evidence are deceptive even when they happen to be true.
Best practice
- Keep the evidence for each claim on file before the ad runs
- Qualify claims clearly and close to the claim itself
- Disclose paid, gifted and affiliate relationships with endorsers
- Check country-of-origin claims against the supply chain
- Review landing pages and product pages, not only ads
Common pitfalls
Watch out for:
- Superlatives such as fastest or number one without proof
- Disclosures hidden in footnotes or behind links
- Customer testimonials that suggest results most customers do not get
- Made in USA claims for products with significant imported parts
When to call in a specialist
Bottom line Bring in help when making health, earnings, environmental or comparative claims, when working with influencers, or when a regulator or competitor challenges an ad.
Where this comes from
- Federal Trade Commission — Advertising FAQs: A guide for small business
- Federal Trade Commission — Complying with the Made in USA Standard
- Federal Trade Commission — FTC's Endorsement Guides
The figures and practices above come from the sources listed.
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