Y2K? Y 2 Care: Communicating Product Compliance to Your Customers

The Y2K problem...the Y2K glitch...the millennium bug.... If you're in business, chances are you're familiar with it — the inability of some computers and computerized systems to correctly recognize dates after 1999. Y2K problems exist because many computer programs and computer chips recognize only the last two digits of a year on the assumption that the first two digits are 1 and 9. As a result, 98 is read as 1998. This approach works fine until the Year 2000, when 00 may be read as 1900 instead of 2000.

News stories about the Y2K problem are prompting consumers to wonder how — or even whether — certain products will function in the new millennium. Products containing microchips may have Y2K problems if the microchips are programmed to use dates. Among the consumer products that use microchips are some small and large appliances, heating and cooling equipment, home entertainment audio/video products, photographic equipment, wristwatches, calculators, pocket electronic organizers, thermostats, security systems, programmable lawn sprinklers, personal computer (PC) hardware, and home-office products. Software also may be affected.

If your business manufactures consumer products that contain microchips or publishes software for personal computers, the Federal Trade Commission (FTC) urges you to communicate their Y2K status to your customers — that is, which models or versions are not affected by Y2K and which are, the nature of the problems, and what to do about them. Communicating this kind of information can have bottom line benefits for your company: when you address consumers' questions and concerns about existing products, it strengthens their confidence about buying your products as the year 2000 approaches.

The Internet is one efficient way to disclose the Y2K status of your products. Consider creating an easy-to-find Y2K section on your Web site with the following information:

• a complete list — by version, or model number and year — of your products that consumers still may be using, along with the Y2K status of each product;
• your definition of "Y2K compliant" and a description of any Y2K problems your products may have;
• for some products, you may also want to tell consumers about steps they can take to fix or reduce the impact of any Y2K problems, such as manually setting the date on a VCR.
• any remedies offered to consumers who own a product with a Y2K problem. If you say a product is "obsolete," "no longer supported," or something similar, it's a good idea to give the basis for the designation.

For your customers who don't use the Internet or have additional Y2K questions, consider providing Y2K compliance information through a toll-free telephone number with operators trained to handle such questions or a fax-back system. The information can be based on material from your Y2K Web site.

The FTC is working to make as much information about the Y2K compliance status of consumer products and software available to consumers as possible. Through its publications, Web site and Consumer Response Center, the FTC can help you reach your customers.