DSSRC Administrative Closure #68
DSSRC contacted a direct selling company about two social media posts disseminated by the company’s salesforce members that conveyed product performance claims. Both social media posts came to DSSRC’s attention pursuant to its independent monitoring of advertising in the direct selling marketplace.
With respect to the first post, DSSRC was concerned that such post conveyed unsubstantiated product, health and wellness benefits including claims that the company’s products can protect against disease and COVID-19. In response to DSSRC’s inquiry, the company promptly engaged in discussions with the subject distributor who stated her willingness to remove the post. When the social media post in question was not promptly removed, the company informed DSSRC that it again contacted the distributor, and that the company’s sales team walked the distributor through the step-by-step process of removing a Facebook post which ultimately resulted in the problematic image on the distributor’s Facebook page being removed.
As to the problematic image in the first post, the direct selling company informed DSSRC that it was able to find the source of this image which originated in a foreign country. The company further informed DSSRC that it would continue to search for additional uses of this improper image and any messaging that improperly implies the curative effects of its products.
As to the second social media post DSSRC identified to the company, the company promptly identified and contacted the distributor who posted the improper claim and the distributor quickly responded and deleted the post. The company also indicated that its Compliance Department engaged the distributor in a discussion about its policies and procedures and about allowable claims.
DSSRC expressed its appreciation to the Company for its due diligence in addressing DSSRC’s concerns its good faith efforts to educate its salesforce. As a result of the prompt actions taken by the Company, DSSRC administratively closed the inquiry.
(closed on 8/18/2020)