Page 275 - Washington Nonprofit Handbook 2018 Edition

visitors to the website, collecting reactions to ads placed on other websites, or
adding members to your distribution lists. Types of information obtainable include
how many people viewed your ad, what percentage of people clicked on the ad,
what percentage of people purchased your product after seeing the ad, which
pages on your website are visited most often, the names of other websites your
customers have visited, and customers’ e-mail addresses and other personal
information.

On one hand, this data allows you to better serve your visitors, target your
message, and simplify the experience for users of your website. On the other hand,
misuse of all this information can potentially lead to fraud, violations of consumer
privacy, or identity theft. As a result, consumers are increasingly wary of providing
personal information, and more laws are being passed to protect their rights.

a. General Legal Requirements

Even before the ascendancy of the internet, privacy laws had been passed by
the U.S. government to protect the privacy of consumers’ personal information and
shield consumers from fraudulent, deceptive, or misleading advertising practices.
These same laws apply to the internet.

The FTC publishes guidelines to help businesses apply these laws to practices
on the internet. Specifically, the FTC has published “Advertising and Marketing on
the Internet: Rules of the Road” (available at https://www.ftc.gov/tips-advice/
business-center/guidance/advertising-marketing-internet-rules-road).

This publication has a simple message for all internet advertisers:

“Advertising must tell the truth and not mislead consumers. In addition, claims
must be substantiated.” The FTC recommends that businesses and organizations:

• Place disclosures on the same webpage as the claim they apply to, and
when necessary, provide adequate visual cues to indicate that a
consumer must scroll down on the page to view the disclosure;

• When hyperlinking to disclosures, make the link obvious and
noticeable, label the link accurately and indicate its importance, place
the link near relevant information, ensure that the link takes
consumers directly to the disclosure, and monitor link usage to ensure
its effectiveness;

• Display disclosures prior to purchase or prior to donation; and

WASHINGTON NONPROFIT HANDBOOK -264- 2018