Do Trulia Success Stories Violate FTC Testimonial Guides?


trulia ftc

In this post, I wondered if  Trulia blog testimonials would be in compliance with the revised Federal Trade Commission Guidelines, which require testimonials to be representative of what consumers will typically achieve using the products or services of the advertiser.

In this post, let’s look at testimonials advertised on Trulia.com.

Under the revised Guides, advertisements that feature a consumer and convey his or her experience with a product or service as typical when that is not the case will be required to clearly disclose the results that consumers can generally expect. FTC (link and emphasis added)

Under the revised Guidelines, an advertisers can no longer find safe harbor in the disclaimer: Results may vary. [Note: To the best of my knowledge, Trulia did not use this disclaimer either on Trulia blog or Trulia.com.]

I have one question for Trulia regarding  the testimonials it selected to appear on Trulia.com (Business Solutions). Given the many testimonials on the Trulia blog, they chose these to appear on Trulia.com, which gets much more traffic than Trulia blog, I suspect.:

——-> 1. Do these testimonials represent the typical results real estate agents will achieve on Trulia or are they atypical results?

10 leads in 6 months

10 leads from Trulia in 6 months that all closed escrow — that’s awesome, IMO. But is it typical of results agents can expect on Trulia?  Or is this an exceptional case?   C’mon Pete, is this typical?

According to Joan’s Trulia profile, she is a “Multi-million dollar producer. #2 Top Closing Agent of 2008 and #3 Top Written Agent of 2008 for Keller Williams Realty, Rancho Cucamonga, California”.   [Curiously, there is a Joan Patterson of Keller Williams, California ( the same Joan?) that recently made the HomeGain "Gold Club".]  Joan seems to be a superstar.  So, her results on Trulia may be exceptional.

i phone call or email a day

One call or email every day is amazing in my book. Good for you Elizabeth.  But is it typical of other agents using Trulia?  Sami, can you answer?

[Interestingly (disturbingly?), the word "about" was in Elizabeth's original quote on Trulia blog but excluded from the quote that made it to Trulia.com (link)  Why? Glitch in the Matrix?]

100000saw ad in a week

On Trulia blog, Rob’s stats were referenced as from an early adopter.  Do these early adopter stats continue to represent typical page views where agent ads appear on Trulia?  (Aside: I’m not sure I agree that a page view is an ad view, but that’s another can of green worms).

While page views are nice, IMO the real effectiveness of an ad, and more indicative of an actual “ad view” is how many visitors click to an agent’s website.  Trulia blog said, “Rob is able to see his Trulia page views turn into visitors to his website and then convert the visitors into actual clients.”  I’d like to know how many of those 100,000 page views turned into website visitors.

My advertising point is this—- since Trulia knows the true value of an ad is sending consumers to an agent’s website, why tout a page view testimonial (and leave out the actual visits to Rob’s website)?  Could it be the actual visitor count was puny?  C’mon, for transparency’s sake, give agents the full monty, chaps.

Questions, questions, questions….. and only green crickets chirping.  Truly a shame.

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  • The key, here, is typical results. You can always find one, two or three examples of extraordinary results even for the ordinary agent. So, even though Joan Patterson is a superstar/mega agent, with a little work Trulia could probably find Joe Agent who "got lucky" with a lead or two.

    This is "social proof" marketing and why testimonials are used all the time by everyone. I wonder if the FTC regs will extend to all those weight loss and exercise things or "make a million dollars by sending me $50". Where is Carlton Sheets when you need him? :-)
  • baltimorehomes
    Trulia and Zillow are good secondary tools for agents to post properties. However, they are not the secret cure to obtaining leads my any means. Their advertising and overall benefit just like Home Gain, HouseValues.com and Homes.com is marginal at best. To me, the value of paid marketing is driving people to my website and not having them return to the advertising vehicle originating the lead (Trulia) for more information. This type of advertising yields substandard results, however it increases the originating websites traffic and bottom line. I prefer to just advertise my own website: www.ngrealtygroup.com
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