FTC, consumers should not have to navigate fine print to determine the actual cost of a vehicle. Similarly, the FTC stated that the primary advertised price should not include rebates, discounts or incentives that are unavailable to all consumers. Military rebates, loyalty incentives, financing discounts and other conditional offers may still be advertised, but they should be disclosed separately and presented less prominently than the vehicle’s advertised selling price. A useful question for dealers to ask is: Can every customer reasonably qualify for the advertised price? If the answer is no, the FTC expects the conditions to be clearly communicated and not overshadow the vehicle’s actual selling price. ADVERTISING MEANS MORE THAN YOUR WEBSITE Another important clarification provided during NADA’s discussion with the FTC involved the agency’s broad definition of advertising. The FTC explained that dealer websites, vehicle detail pages, third-party listings, social media, digital advertising, direct mail, television, radio and even oral representations can all constitute advertising, depending on what a reasonable consumer would understand from the communication. Just as importantly, dealers remain responsible for advertising content they control, even when that content appears on third-party platforms or is managed by outside vendors. As dealerships increasingly rely on inventory syndication, digital marketing agencies and automated advertising tools, reviewing advertising content across all channels is becoming more important than ever. WHERE DEALERS COMMONLY RUN INTO TROUBLE During the webinar, the FTC highlighted several practices that frequently draw scrutiny: • Displaying MSRP more prominently than the actual selling price • Advertising prices or payments tied to financing conditions that are not clearly disclosed • Treating required add-on products as optional • Keeping sold vehicles advertised for extended periods • Advertising vehicles that are no longer available • Burying fees, qualifications or conditions in fine print While every situation is unique, these examples provide valuable insight into the areas regulators are actively reviewing. THE NHADA TAKEAWAY The FTC is continuing to focus on dealer advertising practices, making now a good time for New Hampshire dealers to review their advertising and confirm that: • The advertised price is truly all-in. • Administrative fees are included in advertised pricing. • Incentives and qualifications are clearly disclosed. • Financing-related conditions are properly disclosed. • Advertising is accurate across all platforms. NHADA will continue working with NADA to monitor developments and provide members with practical compliance guidance as advertising standards evolve. According to the FTC, consumers should not have to navigate fine print to determine the actual cost of a vehicle. 9
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