Dive Brief:
- The marketer behind "As Seen on TV" products like the Snuggie, the Perfect Brownie Pan, and the Perfect Bacon Bowl has agreed to pay $8 million to settle charges alleging it deceived consumers.
- The FTC has charged Allstar Marketing Group with deceitful practices that promised two-for-one deals that ended up charging higher fees.
- Consumer refunds from the FTC will take up $7.5 million of the settlement, and $500,000 will go to the New York attorney general's office.
Dive Insight:
According to the New York attorney general, one customer who wanted to buy two $19.95 Perfect Brownie Pans was charged $105 for six of them after a confusing automated phone call. Allstar said it has already made changes to avoid confusion about costs for consumers.
