The FTC Ban on Fake Reviews and the Use of Bots: Implications for Small Businesses

August 26, 2024
  • The FTC has banned fake reviews and the use of bots to ensure transparency in online reviews, requiring businesses to disclose any material connections with reviewers.
  • New guidelines prohibit businesses from posting false or misleading reviews and mandate that incentivized reviews must be clearly disclosed to consumers.
  • These regulations aim to protect consumers from fraud and foster a fairer digital marketplace, benefiting both consumers and honest businesses.
  • Small businesses can thrive by focusing on genuine customer feedback, engaging with their audience, and sharing authentic customer-generated content to build trust and credibility.



689 words ~ 3.5 min. read


The Federal Trade Commission (FTC) has made an important move to ensure transparency and honesty in online reviews by banning deceptive practices that manipulate consumer opinions. This ban focuses on fake reviews and the use of bots to create false endorsements, requiring businesses to disclose any material connections with the reviewers. As small businesses increasingly use social media for marketing, this regulation will significantly impact their operations.


The FTC has banned fake reviews and the use of bots to tackle concerns about consumer deception and the loss of trust in online marketplaces. As e-commerce and digital marketing grow, misleading reviews can skew consumer perceptions and lead to poor purchasing decisions. This regulation aims to protect consumers from fraud that can hurt their interests and damage the reputation of honest businesses. The ultimate goal is to create a fairer and more transparent digital marketplace, where genuine feedback and honest endorsements can flourish, benefiting consumers and reputable businesses alike.


What the Rules Entail

Under the new FTC guidelines, businesses can't post reviews or testimonials they know are false or misleading. If they hire third parties to generate reviews, those reviews must also follow FTC standards. If a review is incentivized—like when someone is paid or given free products—the business must clearly disclose this to consumers. Not following these rules can result in hefty penalties, including fines and damage to reputation.

All five FTC commissioners unanimously approved the final rule, which will go into effect 60 days after it's published in the Federal Register, the official government source for rules and notifications. Generally, these rules are published shortly after approval, so consumers should expect the FTC's fake-review ban to start in mid-October.


Impact on Small Businesses Using Social Media

The new FTC regulations help small business owners by encouraging honest competition, which allows them to build credibility and attract customers more effectively on social media. With the ban on fake reviews, businesses should focus on getting genuine customer feedback and creating a loyal community around their brand. This transparency can boost trust and credibility, helping to draw in more customers in the competitive digital landscape. Adjusting marketing strategies to follow these regulations will enable small businesses to succeed authentically instead of relying on misleading practices.


Three Ways to Build an Honest Following

  1. Encourage Real Customer Testimonials: Small businesses should ask happy customers to share their experiences on social media and review sites. Reviews listed on your Google Business Profile are one of the most reliable and powerful places to send your loyal fans. This can be done through follow-up emails after a purchase, prompting customers to leave feedback. Highlighting these genuine testimonials boosts credibility and shows a commitment to customer satisfaction, which can attract future customers.
  2. Engage with Customers Quickly: It's important for small businesses to actively engage with customers on social media to build loyalty. They should respond promptly to comments, messages, and reviews, whether they are positive or negative. By acknowledging feedback and showing a willingness to address concerns, businesses can create a sense of community and trust. This interaction signals to potential customers that the business values their opinions and is committed to providing a good experience.
  3. Share Customer-Generated Content: Encouraging customers to share their own content, like photos and stories featuring the brand's products, adds authenticity and helps to grow an engaged following. Small businesses can create unique hashtags and run campaigns to motivate users to post their content. By sharing this customer-generated content on their own channels, businesses can showcase real customers enjoying their products and strengthen the sense of community among followers.


The Takeaway

The recent FTC regulations are a vital step toward fostering a more honest and transparent online marketplace. By promoting genuine customer feedback and discouraging misleading practices, these guidelines protect consumers and support small businesses in a digital world that values authenticity. As entrepreneurs adapt their marketing strategies to comply with these new rules, they can strengthen customer connections, enhance their reputations, and contribute to a fairer online environment built on trust. Embracing this change will enable businesses to thrive by focusing on real relationships and delivering genuine value to their communities.

 

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The Leavenworth-Lansing Area Chamber of Commerce is a private non-profit organization that aims to support the growth and development of local businesses and our regional economy. We strive to create content that not only educates but also fosters a sense of connection and collaboration among our readers. Join us as we explore topics such as economic development, networking opportunities, upcoming events, and success stories from our vibrant community. Our resources provide insights, advice, and news that are relevant to business owners, entrepreneurs, and community members alike. The Chamber has been granted license to publish this content provided by Chamber Today, a service of ChamberThink Strategies LLC. 


February 2, 2026
QR codes have faded in and out of popularity over the past decade, but they’ve finally surpassed trend status and they’re here to stay. They are convenient ways to drive traffic to desired information or action platforms. When used with intention, QR codes quietly remove friction and move customers exactly where you want them to go. QR codes are great for information that could change such as daily specials. QR code stickers can also update old info on printed materials (perfect for the extremely budget conscious business) as in the case of a move and old business cards. Slap a QR code sticker on the cards directing scanners to info on your new locale. Whether QR codes are effective in your business or not depends on how you’ve been using them. This guide will help you use QR codes the smart way, without annoying your customers or wasting valuable space. Start With One Clear Job Every QR code should do one thing well. Not three. Not “menu, reviews, newsletter, and follow us on Instagram.” Before you generate a code, finish this sentence: “When someone scans this, I want them to _____.” Order ahead. Pay a bill. Join a waitlist. Watch a demo. Book an appointment. Leave a review. If you can’t answer that clearly, the QR code isn’t ready yet. Confusion kills scans faster than bad Wi-Fi. Match the QR Code to the Moment Context matters more than placement. A QR code on a table should help someone who is already seated. A QR code at checkout should help someone who is already paying. A QR code on packaging should help someone who already bought. Too many businesses ask customers to change mental gears. Someone standing in line does not want to read your brand story. Someone browsing your storefront does not want to fill out a five-field form. Ask yourself what problem exists in that exact moment and solve only that. Send Them to a Mobile-friendly Destination This sounds obvious but it is also the most common mistake. If your QR code leads to a desktop-only website, a tiny PDF, or a page that takes more than three seconds to load, you’ve lost the scan. Best practices here are non-negotiable: • Mobile-optimized page • Minimal text • Clear headline • One primary action • No pinching or zooming required A QR code is an express lane. Don’t route it through construction. Tell People What They’ll Get Never assume people will scan just because a square exists. Add a short, human instruction: · “Scan to view today’s specials” · “Scan to reorder in under 30 seconds” · “Scan for the how-it’s-made video” You’re not selling the QR code. You’re selling the outcome. The more specific the payoff, the higher the scan rate. Use Dynamic QR Codes Whenever Possible S tatic QR codes are set in stone. Dynamic QR codes let you change the destination later without reprinting anything. That flexibility matters more than you think. Menus change. Links break. Campaigns evolve. A dynamic code protects your investment and lets you adapt without starting over. It also gives you data. Scans by time, location, and device help you see what’s actually working instead of guessing. Design for Visibility, not Decoration QR codes do not need to be pretty. They need to be scannable. Follow these design rules: • High contrast between code and background • Adequate white space around the code • Large enough to scan from the intended distance • No visual clutter nearby If someone must tilt their phone, squint, or move closer than expected, the moment is gone. Brand colors are fine. Artistic distortion is not. Respect Trust and Privacy Customers are cautious. A QR code that feels sketchy will be ignored. Avoid sending people directly to: • Download prompts without explanation • Login walls • Overly long forms • Anything that looks unrelated to where they are If you’re collecting information, say so. If you’re offering value, lead with that. Trust is part of the user experience. Test Like a Customer, not an Owner Scan every QR code yourself. Then have someone else scan it. Try different phones. Try different lighting. Try it on cellular data, not office Wi-Fi. Ask: • Does it load quickly? • Is it obvious what to do next? • Would I scan this again? If the answer isn’t a confident yes, fix it before it goes live. Measure Results, Then Prune QR codes are not “set it and forget it.” Check performance monthly. Retire codes that don’t get used. Improve the ones that do. Replace vague destinations with clearer ones. A few high-performing QR codes will always beat a dozen ignored ones. Note to restaurants and those employing QR menus: COVID created a need for using QR codes to replace physical menus. Some restaurants (and service providers) are enjoying the freedom and cost reduction from using these codes instead of paper menus. There's nothing wrong with this unless your audience finds it annoying. Understand the demographic you're serving and their preferences. Some groups find the lack of a physical menu to be a barrier instead of a quicker way to see it. If that's the case with your audience, you may be losing money because they don't feel like scanning the QR code again to view the drink or dessert menu. Upsells and additions will be less likely. Used well, QR codes are invisible helpers. They shorten lines, speed decisions, and remove tiny annoyances your customers may never articulate but absolutely feel. But remember: the goal isn’t more scans; it’s smoother experiences. Read More: - How Small Businesses Can Lead Innovation - How to Make Time for Innovation - Keeping Up with Tech ------------ Christina Metcalf is a writer and women’s speaker who believes in the power of story. She works with small businesses, chambers of commerce, and business professionals who want to make an impression and grow a loyal customer/member base. She is the author of The Glinda Principle , rediscovering the magic within. _______________________________________ Medium: @christinametcalf Facebook: @tellyourstorygetemtalking Instagram: @christinametcalfauthor LinkedIn: @christinagsmith
January 26, 2026
Small business owners are usually not short on ideas. You have them in the shower, in the car, halfway through a client call, and even in the middle of the night. Ideas for a new service. A better way to onboard customers. A partnership you should pursue. A social post series that would actually sound like you. No, the problem is not creativity. The problem is action. Most good ideas don’t die because they were bad. They die because they never get translated into a next step while they’re still exciting. That’s why you need the 48-Hour Rule. The rule is simple: If an idea doesn’t have a next action plotted and scheduled within 48 hours, it’s not a plan. It’s entertainment. This is not a judgment on your executing abilities. It’s your business. The urgent pulls harder than the important. And once an idea slips behind payroll, customer emails, and the Tuesday fire drill, it rarely climbs back out. So, let’s talk about how to make the 48-Hour Rule work in real life with time limits. Why 48 Hours Works (And “Someday” Doesn’t) A new idea creates a burst of clarity. You can see the path. You can picture the result. You feel a little lighter because you’ve imagined a better version of your business. But clarity fades fast. In 48 hours, two things happen: Reality returns. Your current workload reasserts itself or you start doubting your abilities, your team’s abilities, your customer’s interests, or any other number of things that begin to cause… The idea starts to feel bigger than it is. You forget the simple version and only remember the “perfect” version. This becomes next to impossible to put into action. The 48-Hour Rule protects your idea from both. It forces you to do one thing before the moment passes: choose the next action . Not the whole plan. Not the branding. Not the full rollout. Just the next action. The Difference Between an Idea and a Next Action An idea is fun, creative, exciting, while a next action is specific, physical, and schedulable. It’s something you can do without needing another meeting with yourself. Shy away from your action being “research.” It’s easy to get lost in it with little to show. Here are examples: Idea: “We should improve customer follow-up.” Next action: “Draft a two-email follow-up template and save it in the CRM.” Idea: “We should partner with another business.” Next action: “Write one partnership pitch email and send it to two businesses by Friday.” Idea: “We should raise prices.” Next action: “List top 10 services, current prices, and margins in a spreadsheet by Thursday at 10 a.m.” If you can’t schedule it, it’s not a next action. How to Implement the 48-Hour Rule Without Blowing up Your Week If you’re excited about your new idea, get something scheduled, even during a busy week. Try this: Step 1: Capture the idea in one sentence. Not five paragraphs. One sentence. Put it in a running note on your phone or a single “Idea Parking Lot” document. Step 2: Write the smallest next action. Ask: “What’s the first move that would make this 5% more real?” Step 3: Schedule it inside the next 48 hours. Not “this week.” Not “soon.” Put a 15–30-minute block on your calendar. Treat it like a client meeting. Because it is. Your future revenue is sitting in the lobby. Step 4: Give it a finish line. The goal of that block is not perfection. It’s progress you can point to. A draft. A message sent. A decision made. A file created. The “Two-Track” Trick for Busy Seasons If you’re in a truly slammed stretch, use this adjustment: you only have to schedule one of two things within 48 hours : The next action or A decision to deliberately defer it (with a date) That second option matters. Because “not now” can be a smart business decision. If you can’t do the action, schedule a 10-minute decision block: “Do we pursue this in Q1 or not?” That keeps you moving. What This Looks Like Over Time The magic of the 48-Hour Rule isn’t that every idea becomes a big initiative. Instead, your business becomes a place where ideas get handled, not hoarded. You’ll start to notice: Fewer loose ends rattling around in your brain Faster follow-through (which customers feel immediately) More momentum inside your team Better instincts about what’s worth doing, because you’re testing ideas in small bites Action compounds in the way that matters reducing chaos and increasing innovation. A Simple Challenge for This Week Pick one idea you’ve been sitting on. Just one. Write the next action. Schedule 20 minutes for it in the next 48 hours. Then do it. That’s how businesses grow—small, consistent moments of follow-through. Ask the Chamber If you’re thinking, “I have ideas, but I need the right people, resources, or a push,” you’re not alone. That’s exactly what a chamber of commerce is built for: turning good intentions into traction. Use your chamber for the kind of next actions that matter: Ask them to make an introduction that leads to a partnership or something specific you need Attend one event and meet your next vendor or client Join one committee and get closer to decision-makers Ask one question and get practical insight from business owners who’ve been there Your idea may be game changing, but you won’t know until you execute. You may not have time to get it completely worked out and implemented, but you do have time to start with a 20-minute next step. Try the 48-Hour Rule this week. Then let your chamber help you turn that first step into a path. Read More: Embracing Imperfection to Strengthen Your Business How Small Businesses Can Lead Innovation How to Make Time for Innovation Revenue Without Regret: Designing Offers You're Proud to Sell Scaling Your Impact: From Dore to Delegator to Developer  -------------- Christina Metcalf is a writer and women’s speaker who believes in the power of story. She works with small businesses, chambers of commerce, and business professionals who want to make an impression and grow a loyal customer/member base. She is the author of The Glinda Principle , rediscovering the magic within. _______________________________________ Facebook: @tellyourstorygetemtalking Instagram: @christinametcalfauthor LinkedIn: @christinametcalf5
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