Part 3: The FTC Learns The Free Trial Scam Business Model


The Federal Trade Commission (FTC) is busy learning the business model behind the widespread free trial scams that are costing American Taxpayers billions of dollars each year.

In a recent press release, the FTC created this infographic to outline how affiliate networks (aka performance marketing networks), merchants, and affiliates profit from affiliate marketing schemes:

You’ll notice that “service providers” are not listed on this list.   The FTC is starting to understand the role of service providers and how they are often the ring-leaders behind the merchants, enjoying points of profit from every aspect of these free trial advertisements.

More stories to follow in this investigative series.   Please be sure to read Par 1 and Part 2 below:

Part 1: “Free Trial” Scams and The Main Operator Behind Them

Part 2: FTC Sues RevGuard Founder Blair McNea