ERSP Refers Advertising for Hazel Peppergood Work-at-Home System to FTC for Further Review After Marketer Fails to Respond to ERSP Inquiry

The Electronic Retailing Self-Regulation Program (ERSP) will refer direct response advertising for Hazel Peppergood Work-at-Home System to the Federal Trade Commission (FTC) after the marketer, Hazel Peppergood, Inc., failed to respond to an ERSP inquiry.

ERSP is an investigative unit of the advertising industry’s system of self-regulation and is administered by the Council of Better Business Bureaus. The marketer’s advertising came to ERSP’s attention pursuant to its ongoing monitoring program.

Claims at issue in the initial inquiry included:

• “Get paid up to $1,872.00 Every Week, Like Me!”
• “You don’t need any experience and there is absolutely no training or computer work involved. You earn money simply because you mail literature that help [sic] companies generate sales.”
• “INCREASE YOUR WEEKLY INCOME NOW!”
• “GUARANTEED PAYCHECKS EACH AND EVERY WEEK”
• "I just received my check for $808, I would like to continue this for a lifetime. You’re a good company, may God continue to be with you.” [Shelly Harvell, Maryland] 

Following its failure to provide a substantive response to ERSP’s original inquiry within fifteen calendar days, the marketer was afforded a second ten-day period in which to submit a substantive response. The marketer did not do so. Pursuant to ERSP Policies and Procedures, this matter has been referred to the FTC.

ERSP Refers Advertising for Internet Secrets to FTC for Further Review After Marketer Fails to Respond to ERSP Inquiry

The Electronic Retailing Self-Regulation Program (ERSP) will refer direct response advertising for The 7 Day Test Affiliate Marketing Program to the Federal Trade Commission (FTC) after the marketer, Internet Secrets, failed to respond to an ERSP inquiry. 

ERSP is an investigative unit of the advertising industry’s system of self-regulation and is administered by the Council of Better Business Bureaus. The marketer’s advertising came to ERSP’s attention pursuant to its ongoing monitoring program. 

Claims at issue in the initial inquiry included: 

• “Welcome to the #1 Home Based Business Website In The WORLD!” 
• "I've Made People $3,500 to $25,000 Monthly With Google & Clickbank Using a Simple System Which I Will Set Up For You Today on a 100% Test Trial!” 
• “This is very real, easy, and being made public because I am so fed up with these companies and individuals that are ripping people off and just plain lying to them with internet business programs that don’t work.”
• “Limited Positions Available - Take Action Today!”
• “I could never thank you enough for what you have done for my financial life. You took me from a $24,000 yearly income job to making over $150,000 within 9 months. It sure does fell [sic] good working at home without a stubborn boss. I owe you. Thanks” [Victor Goldwire – Dale City, VA] 

Following its failure to provide a substantive response to ERSP’s original inquiry within fifteen calendar days, the marketer was afforded a second ten-day period in which to submit a substantive response. The marketer did not do so. Pursuant to ERSP Policies and Procedures, this matter has been referred to the FTC.

ERSP Recommends Plymouth Direct Discontinue Certain Claims for ‘Tag Away’; Finds Marketer Can Support Safety Claims

The Electronic Retailing Self-Regulation Program (ERSP) recommended that Plymouth Direct discontinue certain performance and establishment claims made for Tag Away, a homeopathic skin tag removal drug. ERSP found, however, the marketer could support “all natural” and safety claims.

ERSP is an investigative unit of the advertising industry’s system of self-regulation and is administered by the Council of Better Business Bureaus. The marketer’s advertising came to the attention of ERSP pursuant to its ongoing monitoring program. 

ERSP reviewed broadcast and online advertising for Tag Away and identified several claims for review, including:

• "…Remove Skin Tags the All-Natural Way with Tag Away!”
• "…naturally and painlessly eliminates pesky skin tags.”; “Eliminates with no pain!”; and “No pain”
• "Just a few drops a day and Tag Away gets rid of skin tags with no trouble, no scarring, and no pain.”
• "Skin tags just dry up & fall away.”
• “No scarring”
• “All skin types”
• “…completely remove skin tags on all areas of the body without scars or discomfort.”
• “Tag Away will work in 3-8 weeks. You may see results in as little as 3 weeks.”
• “Safe for even your most sensitive areas”
• “Clinically proven to remove skin tags”
• “All Natural” and “No chemicals”

As support for the performance and establishment claims at issue in the inquiry, Plymouth Direct submitted the results of a product efficacy study conducted on Tag Away.

Following its review of the evidence in the record, ERSP determined that the marketer could not support the establishment claims and performance claims that were the subject of this inquiry.

ERSP also recommended that Plymouth Direct modify its advertising to clearly communicate to consumers that the evidentiary basis for its product performance claims are a historical and traditional use of the active ingredient, Thuja occidentalis. 

However, ERSP found that the marketer was able to support claims relating to Tag Away’s ability to be used on “all skin types.” Further, ERSP concluded that the marketer provided a reasonable basis for its claims of safety, no pain and no scarring and had no objection to claims characterizing Tag Away as “all natural."

ERSP determined that "so long as the homeopathic product does not qualify as a prescription drug pursuant to federal standards, it should not be prohibited form marketing the product based on a clear understanding that the advertising claims are based in traditional and/or historical use."

In this case, ERSP determined that the efficacy claims are permitted, but that the ads did not make clear that the claims are based on traditional and/or historical use.

The company, in its marketer’s statement, said “it appreciates the opportunity to participate in the Electronic Retailing Self-Regulation Program’s self-regulatory process. Although Plymouth Direct disagrees with ERSP, Plymouth Direct has agreed to make [the] minor modifications to its advertising language.”