Labeling products or services as eco-friendly or green just got a little more serious. The Federal Trade Commission (FTC) recently finalized its Green Guides, a resource created for marketers to help them avoid making false environmental claims about their products or services.
The modified guidelines warn against making broad claims that a product is environmentally friendly. According to an FTC consumer-perception study, terms such asgreen or eco-friendly suggest to consumers that a product has specific environmental benefits. These claims are hard to substantiate and sometimes impossible.
The guidelines also apply to products in homes, such as windows or flooring, as well as certifications and seals of approval. Companies that violate the guidelines are now facing potential fines and lawsuits from the FTC.
Candy Cooke, a Green designee and instructor for the National Association of REALTORS®, says that it’s important to be familiar with what terms like green and eco-friendly mean. She cautions against advertising a property as green unless it has met standards set by certifying bodies or programs. Instead, explain to potential buyers what green additions are in the home and their benefits. "Say, 'We've upgraded the insulation,' or 'we've changed out the windows,' or 'we've tried to use products that wouldn't cause any hazardous odors.' I avoid using green; I call it quality," Cooke says.
Steve Young
RE/MAX Associates
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