Commentary

Deutsch L.A. Settles FTC Charges That Employees Posed As Consumers On Twitter

Deutsch L.A. engaged in a deceptive practice with an ad campaign that involved asking employees to promote Sony's PlayStation Vita on Twitter, the Federal Trade Commission alleged in a complaint unveiled on Tuesday.

The resulting Twitter posts, which ran in 2012 and carried the hashtag #gamechanger, allegedly didn't indicate they came from Deutsch employees. “This fact would have been material to consumers in their purchasing decision regarding the PS Vita,” the FTC says in its complaint. “The failure to disclose this fact, in light of the representation made, was, and is, a deceptive practice.”

The FTC also accused Deutsch of creating misleading television ads, which allegedly indicated that users would be able to pause games on PS3 consoles and pick up where they left off on the PS Vita.

The agency “failed to disclose that, to use this feature, consumers must own two versions of the same game for each console,” the FTC alleges. “This fact would be material to consumers in their purchase and use of the PS Vita. The failure to disclose this fact, in light of the representation made, was, and is, a deceptive practice.”

Deutsch L.A. agreed to settle the charges by promising that it won't in the future misrepresent the features of handheld gaming consoles. The agency also agreed that it will disclose any material connections between an endorser of a game and the marketer.

Next story loading loading..