Quick Guide: FTC Rules for Online Reviews – What Every Hotel Needs to Know

Did you know? 93% of travelers say online reviews make or break their booking choices? 🤯 It’s no surprise—they can make a big impact on your hotel’s revenue. 

The FTC (Federal Trade Commission) gets it too, and now they’re stepping in to make things fair for everyone. Let’s dive into how you can stay compliant and build solid online trust.

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Who’s Watching?

• 👮‍♂️ FTC: Cracking down on online review fakers and rule-breakers.
• 🏛State AGs: If residents are misled, state Attorneys General can step in and take legal action.
• 🔍 Consumers/Competitors: They can’t directly sue under these rules, but if your shady tactics hurt them, expect some legal drama.

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What Happens If You Mess Up?

1. 💸 Big Fines: Up to $51,744 per violation. Ouch! Depending on factors like consumer harm, intent, and frequency. Actual fines might be lower, based on what the courts decide.
2. 🙇‍♂️ Paybacks: You might need to compensate guests who were misled. Real-life refunds for fake reviews? Not fun.
3. 📜 Stop Orders: Court orders to end sketchy review practices, ASAP.

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5 Must-Know Rules for Hotels

1. 1️⃣ No Fake Reviews or Social Media Tricks
   • What It Means: Don’t create or encourage fake reviews. Plus, don’t buy followers, subscribers, views, or other social media boosts to fake influence.
   • Example: Your hotel hires a company or purchases fake 5-star reviews? That’s a definite no-go, and it’s shady!
   • Why It’s Important: Guests deserve honesty. Faking it can lead to fines and a hit to your rep.
   • Pro Tip: Only publish verified reviews to keep things real.
   • How GuestTouch Helps: GuestTouch automates authentic review collection by verifying guest stays before reviews are collected, ensuring only new authentic real reviews are published.
2. 2️⃣ Disclose Relationships
   • What It Means: If someone connected to the hotel leaves a review, they’ve got to clearly say so.
   • Example: While it’s generally not recommended to ask employees or relatives to leave reviews, if they do, they must clearly state their connection to the business.
   • Why It’s Important: Honesty matters. People need to know if a review comes from someone with skin in the game.
3. 3️⃣ Handle Negatives Fairly
   • What It Means: Don’t delete or hide bad reviews unless they break clear rules (e.g., hate speech).
   • Example: A guest complains about a slow check-in? It stays up—no erasing honest feedback.
   • Why It’s Important: Guests trust hotels more when they see both good and bad reviews. It shows you’re real and willing to improve.
   • How GuestTouch Helps:Negative feedback is part of the journey—but it’s how you respond that matters. GuestTouch’s Review Response suite, you can step up and show you’re listening. Quick, thoughtful replies let guests know you genuinely care about making things better. 
4. 4️⃣ Transparency with Incentives 
   • What It Means: If you offer rewards for reviews, be clear about it, and accept all feedback, not just positive.
   • Pro Tip: Encourage transparency with a line like, “I received a discount for writing this review, but my opinions are genuine.”
   • Example: “Leave a review, good or bad, and your next beverage is on us!”
   • Review Example:
     • ⭐⭐⭐⭐⭐ “I had a great stay at Lex Hotel! Full disclosure, I got a perk for writing this review, but it didn’t affect my opinion—my experience really was awesome!”
   • Why It’s Important: People need to feel free to share genuine thoughts without being pressured by rewards.

5. 5️⃣ Don’t Intimidate Reviewers
   • What It Means: Never try to scare guests into removing their reviews, whether through threats of physical harm or unjustified legal action. 
   • Example: If a guest leaves a negative review and you respond with an unfounded legal threat to pressure them into deleting it, that would not be acceptable behavior.
   • Why It’s Important: The FTC wants guests to feel comfortable sharing their honest experiences without fear of retaliation for unjustified legal threats.

6. 6️⃣ Regular Compliance Checks
   • What It Means: Keep checking your review practices regularly to avoid surprises. 
   • Example: Review your feedback management from time to time to catch any issues early.
   • Pro Tip: Schedule this as part of your compliance audits and checklist to stay updated with rules.

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Burning Questions from Hotel Owners

1. “Can we ask for reviews?”
   • Yes, absolutely! Just ask everyone, not just the happy ones.
2. “Can staff write reviews?”
   • Yes, but they must say they work there. Be upfront!
3. “Can we delete bad reviews?”
   • Only if they violate clear rules (e.g., hate speech).
4. “How about fake negative reviews from competitors?”
   • Report them to the review platforms. 
5. “Do video testimonials count?”
   • Yes, they do! Same rules apply—keep it real and transparent.

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GuestTouch Automates Authentic Review Collection and Keeps You Compliant

Keeping reviews honest and transparent isn’t just about avoiding fines. It builds trust and drives more bookings. Keep it real—it’s better for business!

GuestTouch provides tools that keep reviews real, transparent, and fully FTC-complaint. Keep it real, keep it authentic, and let GuestTouch help you build lasting guest relationships!

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Source: FTC website: 16 CFR Part 465: Trade Regulation Rule on the Use of Consumer Reviews and Testimonials (Final Rule)