Tanner is one of those guys who was severely spanked by the FTC recently and had to return all his profits to the FTC. If you read his settlement, he’s pretty much broke and had to work out a payment arrangement with them. This is a guy who had flogging down pat and was making good money from it, until the FTC told him it was unethical, illegal and in general, bad taste.
I thought that this guy was a complete ass, because just last week he was spouting about all his secrets with the tools he used when scamming consumers on his blog. It seemed to me that of all the people to give advice, it shouldn’t be a guy who was sued by the federal government for these same techniques.
However, I have to admit, I give the guy some serious kudos for writing a short piece where he basically calls out the industry, and tells us that we need to straighten out. Here’s the best point
These short-sighted businesses are going to be completely wiped out unless you start thinking long term. As someone in the online space, take a look at your business and ask yourself the following questions:
– Are you providing ANY real value to the customer?
– If you’re using testimonials, are they legitimate and do you have signed affidavits to prove legitimacy?
– Are you misleading the customer at all in any way?
In all honesty it’s quite simple. When customers feel scammed or duped, they’re going to complain. As soon as complaints start to build up about you and your business practices, the government WILL start to look into you. So when you’re going over your landers, ask yourself the 3 questions above to ensure you’re in the right direction towards compliance.
He’s completely right, y’know. Just ask COPEAC whom the FTC sued into oblivion this year after running these same scams themselves. From what my contacts at the FTC have told me, they are still looking at other CPA Networks and have sent over two-dozen subpoenas to almost every major network involved in these scams for more information about their affiliates and the methods running.
It’s only the tip guys.