The Federal Trade Commission (FTC) guidelines for marketing using environmental claims such as “carbon offsets”, “non-toxic” and “free-of” are set to get an overhaul.
The FTC publishes its Guides for the Use of Environmental Marketing Claims – often referred to as Green Guides – to set out how consumers are likely to interpret certain claims and how marketers can substantiate them to avoid accusations of being deceptive or “greenwashing”.
The guidance hasn’t been reviewed since 2012. It is hoped that the update will level the playing field for those retailers and brands that do give priority to sustainability in their end-to-end processes.
The update will certainly mean that marketers in the US will need to review their practices, or adapt their claims, to avoid FTC scrutiny or enforcement.
The FTC has taken action against some companies over false and misleading advertising when it come to sustainability claims. So marketers will also be pleased to get some more specific guidance about some terms such as “net zero” and “recyclable”. It is also hoped that the FTC will revisit now commonly used terms it didn’t cover in 2012, such as “sustainable,” “organic” or “natural”.
With companies starting to think more about, and prioritize, sustainability and ESG initiatives – we will be covering this topic as more information emerges.
For more information:
https://www.wsj.com/articles/what-brands-should-know-as-ftc-prepares-to-update-green-marketing-guidelines-11660042800
