Internet Guru Ghouls: Marketing Vultures Feeding Off Of The Dead

internet-guru-vulturesI want to share with you an example of the utter lack of Internet marketing ethics and integrity that I encountered in the past week. In a certain info product niche (that shall remain nameless for now), respected Guru A passed away this month. This is someone who spent many decades teaching his particular expertise and is well-known in the industry.

Now the thing that normal people would do is offer condolences to family and business partners of Guru A. That’s what people who aren’t sociopaths or psychopaths do when a peer dies. But apparently that was simply too much to ask of certain gurus within the same field. After all, there was money to be made on the Internet by kicking the corpse.

Yes, we’re talking pay-per-click (PPC) ads that started running using the name of Guru A to drive traffic to the sites of competitors Guru B and Guru C even though Guru A’s business still existed despite his recent death. The typical reader of the PPC ads would mistakenly think they were for Guru A’s products.

Now what was the response of Gurus B and C when it was brought to their attention that (1) they were violating a federally registered trademark owned by Guru A’s business; and (2) misusing the name of a dead person to make money when the body isn’t cold yet.

Guru B at first attacked the messenger for delivering the message, denying the existence of the PPC ads run for his business using Guru A’s name. Guru B then claimed he had nothing to do with it even after being presented with a copy of one of the ads. As part of this, Guru B claimed it was an affiliate promoting for him, denied responsibility for an affiliate’s misconduct, wouldn’t disclose the affiliate’s identity, and only agreed to take any action when he was facing litigation.

In contrast, Guru C took down the ads when requested. Whether motivated by shame or simply acknowledging what it would do to his public image if it became known what he was doing, at least Guru C had the common sense utterly lacking in Guru B to do the right thing after the fact.

As for Gurus B and C, I’ll be watching their conduct to see if they stray again. If they do, they’ll be tried and convicted in the court of public opinion. And that’s not counting what the legal system will do to them. Early retirement will become the greener pasture.

Some people wonder why the Federal Trade Commission (FTC) is cracking down on deceptive Internet marketing and sales practices. My take on it is that there are amoral gurus who will take advantage of anyone (including the dead) to make a fast buck online. If info product marketers do not develop their own rules of professional conduct and police themselves, the government is going to step in with rules no one likes and do it for them.

Religious or not, let’s at least start with an Internet Marketing Golden Rule: Treat Others How You Want To Be Treated.

Share

Seth Godin Jumps the Shark

seth-godinFrom permission marketing fame to cyber greenmail shame, Seth Godin has finally jumped the shark. Spinning it as SEO reputation management is a kind way of describing this scam. What Godin has done is launched Brands in Public. Sounds innocent enough? Hardly.

Godin has put together hundreds of Squidoo pages for companies with major brands. A complimentary service? Done with permission? No. The aggregated content on these pages are determined by Godin/Squidoo…unless your company is willing to pay $400 per month in “greenmail” to control the content and spin it.

“If your brand wants to be in charge of developing this page, it will cost you $400 a month.” – Seth Godin

Because Squidoo pages rank high in the search engines, Godin is essentially telling these companies to fork over the money or have their online reputation interfered with by him because he’s using their keywords/brands to drive a lot of traffic to Squidoo.

From an ethical standpoint, there’s little separating what Godin is doing from cybersquatters who sit on domain names filled with the companies’ brands demanding unreasonable sums. Morally, it is similar to competitors  using the companies’ brands as keywords in pay-per-click (PPC) campaigns to drive traffic elsewhere. The main difference is the dollar amounts involved. Let’s say that 500 companies give in to Godin’s demands and fork over $4800 a year. That’s an additional $2.4 million in revenues generated simply using the “pay me or else” method of marketing.

Is this legal? I’m sure a few of the companies will be discussing the matter with their Internet and trademark attorneys.

Is it ethical? No.

I’m disappointed in Seth Godin.

You should be too.

Recommended Reading: Seth Godin Tries Out Brandjacking

Share

Website Attorney: Group Think – Why Some Gurus Break Internet Laws

website attorney group thinkIf you want to know why some Internet info product marketers break the law and think they can get away with it, take a look at the Eight Symptoms of Group Think. As a Website attorney,  believe these 8 symptoms cover most situations.

1. Illusion of Invulnerability. The marketers take unnecessary risks because they’ve never been caught by the government or sued. Combined with the ego stroking of having cult-type followers, there’s a sense that nothing can touch them even when they break Internet laws.

2. Collective Rationalization. Anyone who warns against misconduct is discredited by the Internet marketers and their followers. The attacks are personal and designed to distract from what actually occurred.

3. Illusion of Morality. Morality is based on whether a launch is profitable to the product’s creator and the affiliates. Something is “wrong” only when a launch flops.

4. Excessive Stereotyping. Anyone who doesn’t believe that “money = morality” is stereotyped as unsuccessful, jealous, or a loser regardless of the underlying facts.

5. Pressure for Conformity. Those who don’t go along with deceptive and fraudulent Internet marketing tactics are considered traitors. Pressure is applied by blacklisting or threats of blacklisting. Commonly this takes the form of refusing to do business with those who rock the boat or encouraging those with large e-mail lists not to promote as an affiliate.

6. Self-Censorship. Fear of blacklisting causes some Internet gurus to keep quiet when they see others engaging in unethical or illegal online marketing practices.

7. Illusion of Unanimity. Because no one publicly dissents, some large Internet marketers that promote for each other assume that everyone agrees with hidden continuity, deceptive billing, false earnings claims, and other illegal Internet marketing practices.

8. Mindguards. The big Internet kahunas serve as the filter for the lesser gurus for information as to how things should work pre-launch, launch, and post-launch. As if handing down the 10 Commandments in stone, these gurus define what’s acceptable in online marketing regardless of legality.

The dangers of group think are exposing cracks in the foundation of Internet marketing cliques as Congress, the FTC, and various law enforcement agencies are beginning to take a dim view of Internet scams that hurt consumers, particularly those involving health or biz opp. If you’re practicing group think in your online business (your Website attorney can help you with feedback), re-evaluate the long-term prospects for your ventures. If you can’t do business legally and ethically, chances are you won’t be around in five years. Whether it is the government or a lawsuit, karma has a way of taking down those who score big at the expense of others.

To your success!

-Mike the Website attorney

Share