Influencers In US Must Say If They Are Being Paid

Influencers could be punished for lack of disclosure

The Federal Trade Commission in the US has warned both brands and social media influencers that they must fully disclose when a company pays an influencer for a product promotion. It has released new rules that say that any influencer endorsing a product must “clearly and conspicuously” state if they have been paid to make an endorsement, if they have been sent a sample for free, or if they have a family or business relationship with the product owner. Anyone who does not give such a disclosure may be guilty of “disguised advertising”, and may face punishment from the Federal Trade Commission. In its guidelines, it says that a disclosure such as “Company X sent me [this product] to try, and I think it’s great” is sufficient.

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