The use of promotions and contests in connection with online and mobile marketing can be a dynamic and cost-effective way to increase conversions, build a database of engaged consumers and increase brand awareness. However, businesses must be aware of the fact that governmental entities, such as the Federal Trade Commission (“FTC”), are tasked with regulating, investigating and sanctioning non-compliant promotional marketing practices. In this article we address the legal issues surrounding the promotion-related online and mobile marketing space.
Online and Mobile Sweepstakes Marketing
The appeal of promotional contests, games and sweepstakes is obvious: consumers are attracted by the opportunity to win prizes. Despite the allure of the sweepstakes model, there are specific state and federal laws that apply to promotional games. Social media websites, such as Facebook®, Instagram® and Twitter®, also have their own promotional marketing rules. Caution: you could incur substantial liability if these laws and platform
Article source: https://www.lexology.com/library/detail.aspx?g=9fab56bb-c53e-4189-ad6d-9a0a084faef3
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