Pawn Shop Advisor Blog

Consider Yourself Warned

The past couple of weeks there has been a lot of scrambling going on in the world of Internet marketing, and in case you make any claims about your pawnshop on your website, this is something you should know about. The FTC in the United States has a new set of rules they will be going by starting next month in regards to Internet marketing.

In other words - if you say something about your pawnshop on your business website, first of all it had better be accurate, and second of all you had better be able to prove it. An example of this might be "we pay the most for vintage watches." Really? Compared to what? Can you actually prove this statement? Obviously - the answer is no, you cannot.

And the point here is, if a consumer sells you a vintage watch and then finds out he could've possibly gotten more money for it - well - if he decides to stick the FTC on you and they take a look at your website I can pretty much guarantee you're in for a very rocky road with the federal government. But these new rules are even further reaching than just embellished claims.

From what I'm told, they are especially looking at testimonials from your customers on your website. Although this is more difficult to apply to the pawnbroking industry, it can be done and I'm sure eventually it will. Some pawnshop websites have customer testimonials on them regarding their service, their finance charge amounts, and the value of what they sell. Can they prove it? I don't know but eventually they may need to.

Lucky for us - there are a lot of bigger targets out there.

You know - like the "let's get skinny" product with a customer touting they dropped 40 pounds in 30 days. Currently there's usually a disclaimer with a claim like this stating results are not typical. That won't be any good starting next month. If the results you're posting are not typical - plain and simple - don't post them. I know, it's silly, but it's almost here and it's very real.

Currently these new rules will only apply to claims and testimonials being made on Internet websites - but look for that to change soon. In the US, we know what it's like when the federal government gets its hands on a new set of rules. First we're doing tighter policing on the Internet and next it could be your print ads, yellow pages, or television and radio commercials.

Did you ever notice that cash4gold never claims they pay the most on any of their advertising? They don't - they would not make that claim publicly - and this should be a clue to you. Consider yourself warned that these new rules exist and will be taking effect soon. Furthermore, I'm sure the FTC will be looking for many website owners to turn into an example.

They probably have their employees working overtime on the Internet as you read this.

I've even reviewed my websites for content and the claims made on the sites. I'm considering putting a disclaimer on the Pawn Shop Advisor(tm) http://www.pawnshopadvisor.com/main.cfm coaching program website that states "this product is guaranteed to improve your pawnshop business in every area you choose, however, if you utilize this program by simply decorating your office bookshelf with it, you will not realize full benefit." Just kidding about that one.

However, I do have a desk drawer full of testimonials from my clients using the Pawn Shop Advisor(tm) http://www.pawnshopadvisor.com/main.cfm coaching program - but don't look for any of these on my website. It's not going to happen. That's how serious these new rules are.

Keep your eye on the target and your mind on the goal,
Stephen Krupnik

P.S. If by chance you feel todays message does not apply to your business because your pawnshop does not have a website, let me just say that you are missing out on a lot of business by not having an Internet presence. Websites work unbelievably well for pawn shop marketing and I tell you all about it in the Pawn Shop Advisor(tm) http://www.pawnshopadvisor.com/main.cfm coaching program. I'd be honored to have you as a client of mine.

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