DSSRC Refers Health-Related Product and Earnings Claims for Gano Excel to FTC
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McLean, VA – January 13, 2021 – The Direct Selling Self-Regulatory Council (DSSRC) of BBB National Programs today referred certain product performance and income claims made by Gano Excel USA, a direct selling company that sells comfort beverages and personal care products, to the Federal Trade Commission (FTC) for possible enforcement action after Gano Excel failed to provide substantiation for the claims.
At issue in DSSRC’s inquiry are earnings and health-related product performance claims disseminated by salesforce members implying that Gano Excel’s products can prevent and/or treat several serious health-related conditions, including COVID-19. In addition, Gano Excel salesforce members have made egregious representations in social media posts about income that can be earned as a member of the Gano Excel salesforce.
The following representative claims were brought to Gano’s attention by the DSSRC as part of its ongoing independent monitoring of the direct selling marketplace.
Gano Excel salesforce member deceptive product performance claims found on social media include, but are not limited to:
- “Help boost your immune systems especially now with this Coronavirus it will help your body to fight this virus…”
- “Boost the immune system, detoxifies the body from toxins and reduces the risk of hypertension, diabetes and cancer.”
- Youtube video titled “I HAVE THE BEST SOLUTION FOR CORONA VIRUS” – “HEALTHY IMMUNE SYSTEM WINS IN A TIME WHEN A VIRUS IS SPREADING OUT OF CONTROL - A HEALTHY DIET INCLUDES SUPER FOODS SUCH AS REISHI MUSHROOM A.K.A ‘GANODERMA’”
Gano Excel salesforce member deceptive earnings claims found on social media include, but are not limited to:
- “Are you ready to own your own business? Do you want to make $1,000.00 to $20,000.00 extra a month passive income?”
- In a video titled “WHO NEEDS SOME MONEY?” the claim “Lett’s Help People All Over the U.S. abroad Earn and Become Healthier…If You Know 2 people Who Love Coffee and Tea Or Know Someone Who Wants to Make An extra $500-$50,000 a Month”
In October 2020, DSSRC commenced a self-regulatory inquiry involving these and other claims. Gano Excel initially responded to this inquiry and made assurances that they would contact salesforce members responsible for these social media posts to address DSSRC’s concerns. Unfortunately, despite repeated efforts, Gano Excel did not substantiate these claims or provide a substantive response indicating actions taken to have them removed from social media. In November 2020, after being alerted that their case was being referred to the FTC, Gano Excel communicated that it had contacted its salesforce to have those social media posts removed. Although several posts were removed, several unsupported claims remain public.
In accordance with DSSRC’s Policies and Procedures, in the event the company whose marketing is the subject of a DSSRC inquiry fails to provide a Company Statement to DSSRC indicating that it will adhere to the recommendations made in DSSRC’s final decision, DSSRC may refer the matter to an appropriate government agency for review and possible law enforcement action. In this case, that government agency is the FTC.
About BBB National Programs: BBB National Programs is where businesses turn to enhance consumer trust and consumers are heard. The non-profit organization creates a fairer playing field for businesses and a better experience for consumers through the development and delivery of effective third-party accountability and dispute resolution programs. Embracing its role as an independent organization since the restructuring of the Council of Better Business Bureaus in June 2019, BBB National Programs today oversees more than a dozen leading national industry self-regulation programs, and continues to evolve its work and grow its impact by providing business guidance and fostering best practices in arenas such as advertising, child-directed marketing, and privacy. To learn more, visit bbbprograms.org.
About the Direct Selling Self-Regulatory Council: The Direct Selling Self-Regulatory Council (DSSRC), a division of BBB National Programs, provides independent, impartial monitoring, dispute resolution, and enforcement of false product claims and income representations made by direct selling companies and their salesforce members across digital platforms. The DSSRC seeks to establish high standards of integrity and business ethics for all direct selling companies in the marketplace.