Marketing Your Mobile App

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Marketing

Your Mobile App


Get it Right from the Start

Federal Trade Commission | business.ftc.gov

Congratulations! The app business is


burgeoning and youve decided to get in on the boom.
Maybe you work for an exciting start-up or are striking out
on your own. Regardless of the size of your business, the
Federal Trade Commission (FTC) the nations consumer
protection agency has guidelines to help you comply with
truth-in-advertising standards and basic privacy principles.
But were a small company and havent made any money
from our app yet. All the more reason to build compliance
in from the start. Laws that apply to established businesses
apply to you, too, and violations can be costly. In addition,
satisfied users may be your best form of marketing.
Breaking into the business with an app that delivers on its
promises is key to your long-term success.
Of course, theres no one-size-fits-all approach. Every app
is different. Still, there are some general guidelines that all
app developers should consider.

Truthful Advertising
Tell the truth about what your app
can do.
Once you start distributing your app, you become an
advertiser. Under the law, an ad isnt just a multimillion
dollar TV campaign. Its pretty much anything a company
tells a prospective buyer or user expressly or by
implication about what a product can do. Whether its
what you say on a website, in an app store, or within the
app itself, you have to tell the truth. False or misleading
claims, as well as the omission of certain important
information, can tick off users and land you in legal hot
water. One rule of thumb: Look at your product and your

advertising from the perspective of average users, not just


software engineers or app experts. If you make objective
claims about your app, you need solid proof to back them
up before you start selling. The law calls that competent
and reliable evidence. If you say your app provides
benefits related to health, safety, or performance, you
may need competent and reliable scientific evidence. For
example, the FTC recently took action against developers
who said their apps could treat acne, but who didnt
have scientific evidence to back up their claims. Visit the
BCP Business Center at business.ftc.gov for more on
keeping your claims compliant.

Disclose key information clearly and


conspicuously.
If you need to disclose information to make what you
say accurate, your disclosures have to be clear and
conspicuous. What does that mean? That theyre big
enough and clear enough that users actually notice them
and understand what they say. Generally, the law doesnt
dictate a specific font or type size, but the FTC has taken
action against companies that have buried important terms
and conditions in long licensing agreements, in dense
blocks of legal mumbo jumbo, or behind vague hyperlinks.
Clear and conspicuous disclosures make good business
sense. Most people react negatively if they think a company
is trying to pull a fast one by hiding important information.
Users are more likely to continue to do business with a
company that gives them the straight story up front.

Privacy
Build privacy considerations in from
the start.
The FTC calls this privacy by design. What does it mean?
Incorporating privacy protections into your practices,
limiting the information you collect, securely storing
what you hold on to, and safely disposing of what you
no longer need. Apply these principles in selecting the
default settings for your app and make the default settings
consistent with what people would expect based on the
kind of app youre selling. For any collection or sharing
of information thats not apparent, get users express
agreement. That way your customers arent unwittingly
disclosing information they didnt mean to share.

Be transparent about your data


practices.
Even if you need to collect or share data so your app can
operate, be clear to users about your practices. Explain
what information your app collects from users or their
devices and what you do with their data. For example, if you
share information with another company, tell your users and
give them information about that companys data practices.

Offer choices that are easy to find and


easy to use.
Give your users tools that offer choices in how to use your
app like privacy settings, opt-outs, or other ways for
users to control how their personal information is collected
and shared. Its good business to apply the clear and

conspicuous standard to these choice mechanisms, too.


Make it easy for people to find the tools you offer, design
them so theyre simple to use, and follow through by
honoring the choices users have made.

Honor your privacy promises.


But we dont make any promises. Think again and reread
your privacy policy or what you say about your privacy
settings. Chances are you make assurances to users about
the security standards you apply or what you do with their
personal information. At minimum, app developers like
all other marketers have to live up to those promises.
The FTC has taken action against dozens of companies
that claimed to safeguard the privacy or security of users
information, but didnt live up to their promises in the dayto-day operation of their business. The FTC also has taken
action against businesses that made broad statements
about their privacy practices, but then failed to disclose
the extent to which they collected or shared information
with others like advertisers or other app developers.
What if you decide down the road to change your privacy
practices? Youll need to get users affirmative permission
for material changes. Just editing the language in your
privacy policy isnt enough in those circumstances. And
while youre taking another look at your privacy promises,
read them with users in mind. Is the language clear? Is
it easy to read on a small screen? Are you using design
elements color, fonts, and the like to call attention to
important information?

Protect kids privacy.


If your app is designed for children under 13 and collects
personal information, you have additional requirements
under the Childrens Online Privacy Protection Act (COPPA)
and the FTCs COPPA Rule. But COPPA compliance
doesnt end there. Regardless of the kind of app you
sell, if you know youre collecting personal information
from children under 13 or if you know youre collecting
personal information from another website or online service
(including another app) thats designed for kids under 13
COPPA applies, too.
What does COPPA require? Under COPPA, you have to
clearly explain your information practices, provide direct
notice to parents about those practices, and get parental
consent before collecting personal information from kids.
These obligations apply to you when third parties (like ad
networks or plug-ins) collect personal information through
your app. COPPA also requires that you keep personal
information collected from children confidential and
secure. The rule defines that term to include a first and
last name, an address, a telephone number, online contact
information, a screen name or user name that functions
like online contact information, geolocation information,
or a persistent identifier that can be used to recognize
a user over time and across different websites or online
services (such as device identifier, cookie identifier, serial
number, or IP address). Visit the FTCs COPPA page at
business.ftc.gov for compliance advice.

Collect sensitive information only with


consent.
Even when youre not dealing with kids information, its
important to get users affirmative OK before you collect
any sensitive data from them, like medical, financial, or
precise geolocation information. Its a mistake to assume
they wont mind.

Keep user data secure.


At minimum, you have to live up to the privacy promises
you make. But what if you dont say anything specific about
what you do with users information? Under the law, you
still have to take reasonable steps to keep sensitive data
secure. One way to make that task easier: If you dont have
a specific need for the information, dont collect it in the first
place. The wisest policy is to:
1. collect only the information you need;
2. secure the data you keep by taking reasonable
precautions against well-known security risks;
3. limit access to a need-to-know basis; and
4. safely dispose of data when you no longer need it.
These principles apply both to information you ask users
to give you and to any information your software collects.
If you work with contractors, make sure they abide by the
same high standards. The FTC has free resources to help
you develop a security plan appropriate for your business.
One place to start: Protecting Personal Information:
A Guide for Business and the accompanying
online tutorial.

About the FTC


The FTC works for the consumer to prevent fraudulent,
deceptive, and unfair practices in the marketplace
and to provide information to businesses to help them
comply with the law. To file a complaint or to get free
information on consumer issues, visit ftc.gov or call toll-free,
1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261.
Watch a video, How to File a Complaint, at
www.ftc.gov/video to learn more.
The FTC enters consumer complaints into the Consumer
Sentinel Network, a secure online database and
investigative tool used by hundreds of civil and criminal law
enforcement agencies in the U.S. and abroad.

Opportunity to Comment
The National Small Business Ombudsman and 10 Regional
Fairness Boards collect comments from small businesses
about federal compliance and enforcement activities.
Each year, the Ombudsman evaluates the conduct of
these activities and rates each agencys responsiveness
to small businesses. Small businesses can comment to
the Ombudsman without fear of reprisal. To comment,
call toll-free 1-888-REGFAIR (1-888-734-3247) or go to
www.sba.gov/ombudsman.

Federal Trade Commission


business.ftc.gov
April 2013

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