When it comes to the hype over "toning shoes," Skechers got its foot in its mouth, says the Federal Trade Commission. The agency gave the shoe company a $40 million reality check to settle charges that it deceptively claimed its Shape-ups and Resistance Runner sneakers would tone muscles while helping people lose weight.
The FTC complaint alleges that in ads for the shoes, Skechers touted a study by chiropractor Dr. Steven Gautreau that supposedly supported the claims about the shoes' benefits. But the ad failed to disclose that the doctor is married to a Skechers marketing executive and that the company paid him to conduct the study.
The FTC complaint also alleged that Skechers made false claims about a YouTube account for NFL great Joe Montana that was supposed to support the claim about the Shape-ups. The fake account has fewer than 25 subscribers. The product's sales are mainly driven by impulse buyers who make their purchases without any based reason.
