January 8, 2019
Find out more on why influencers should clearly and conspicuously disclose their relationships to brands when promoting or endorsing products through social media.
The Federal Trade Commission staff occasionally reminds influencers and marketers that influencers should clearly and conspicuously disclose their relationships to brands when promoting or endorsing products through social media (http://www.ftc.com, 2018). Their endorsement guides reflect the principle that endorsements must be honest and not misleading.
As their have been cases where brands received a fine for collaborating with social creators silently; we advise you to have your creators include transparency on advertisement. This can be done by adding a hashtag that says #ad, #sponsored or #sp. More brands and creators seem to understand the importance, as we see a drop in the amount of fines in the last couple of years. In for instance the fashion industry, the amount of fines given to influencers by the FTC for violations was zero. Let's keep this up, as the FTC has been clear that brands have a responsibility for the social creators they engage on their behalf.
If you prefer, your account manager will be looking at every piece of content produced by creators on your behalf - via our content approval section in your dashboard. We're looking for FTC compliance but also compliance with the brief and contract we've set with the social creator.