Zuru Agrees to Disclose Incentives on Reviews After P&G Challenge
Procter & Gamble (P&G) recently challenged Zuru, a New Zealand-based consumer products company, over its incentivized review program. The program encouraged consumers to buy Zuru's products and post reviews on retailer websites in exchange for reimbursement. However, P&G claimed that Zuru did not properly disclose the incentive.
Zuru argued that the reimbursement was not contingent on positive sentiment or ratings, but rather a straightforward payment for posting reviews. Nevertheless, the company agreed to modify its practices by clearly instructing consumers to disclose the incentive in their reviews.
The National Advertising Division (NAD) of the Better Business Bureau accepted Zuru's revised program and dropped the challenge. However, NAD recommended that Zuru make reasonable efforts to revise existing reviews or notify retailers about the incentivized nature of the reviews.