FTC releases Guide for Influencers

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A guide detailing the proper practices for Influencer disclosures

Influencers are a great way for businesses to promote their products or brand without doing it directly. Influencers have become so common that users almost expect brand promotions from those in the limelight. It’s so prevalent in fact that the FTC (Federal Trade Commission) has released a guide to help inform those that have such an influential platform.  

The influencer industry isn’t something new that was born out of social media. Social Media Today touches on a prominent example of a clever potter profiting from a Royal Influencer. In 1760 a potter named Wedgwood made a tea set for the Queen of England, and due to this product promotion, the “Royal Approved” brand stands today.   

While social media has brought people together, it’s also created a platform for some. To prevent the genuine promotion from being confused with paid promotion, the FTC has drafted the “Disclosure 101 for Social Media Influencers.”  

The FTC’s job is “to protect consumers and promote competition.” Part of this job is protecting consumers from ads that are disguised as a p2p promotion of a product. Additionally, this guide can protect influences from legal action if they aren’t properly informed. The FTC’s guide is complete with videos and could be seen as preemptive protection for consumers. Though the guide has the potential to prevent consumers from falling for an ad.  

The FTC now requires any relationship with the brand to be disclosed in the description of promotional materials. “Telling your followers about these kinds of relationships is important because it helps keep your recommendations honest and truthful, and it allows people to weigh the value of your endorsements,” explains the FTC.  

A good place to start when disclosing a sponsorship is adding #ad #Sponsor or #paid

Knowing the guidelines provides influencers with the information to avoid legal action while also being transparent with their audience.  

1 reply
  1. James
    James says:

    This is good news. I’m glad that the regulations and guidelines for this sort of marketing effort are being made more clear. I think this will protect both the influencers and the companies that are paying them.

    Reply

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