Is it Okay for a Company to "Dry Test" a Product According to the Mail, Internet, or Telephone Order Merchandise Rule?

Is it Okay for a Company to "Dry Test" a Product According to the Mail, Internet, or Telephone Order Merchandise Rule?

"Dry testing" describes the practice of placing an ad for a product to see if there is sufficient consumer interest before actually going to the expense of manufacturing the item. Although the Mail Order Rule doesn't specifically deal with this situation, the FTC has issued an advisory opinion that such ads must clearly disclose to consumers the fact that the merchandise is only planned and may not ever be shipped. For more information, ask the FTC for A Business Guide to the Federal Trade Commission's Mail or Telephone Order Merchandise Rule.

 

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For more information, see here: http://business.ftc.gov/documents/bus35-advertising-faqs-guide-small-business

 

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