In the ever-changing world of social media, influencers wield significant power to shape trends, promote products, and engage with a vast audience. 

But, as Peter Parker was once famously told, with great power comes great responsibility.

Today’s influencers have a major responsibility to be transparent with their followers, especially when recommending or endorsing products on a brand’s behalf.

To maintain transparency and trust, the Federal Trade Commission (FTC) revised its guidelines for influencers to ensure that their audiences are fully aware when they’re engaging with sponsored or affiliate content.

If you’re an influencer who works or plans to work with brands, you’re probably wondering: “What are these guidelines and how can I follow them?” That’s where BrandCycle comes in! 

In this blog, we’ll break down the FTC, its disclosure guidelines, platform-specific nuances, and special considerations that can help your affiliate and  sponsored content to stay compliant. 

What’s the FTC and why should it matter to influencers?

The FTC is a U.S. government agency that protects consumers by preventing unfair business practices, false advertising, and monopolies. In other words, the FTC serves as eyes and ears for consumers, promoting market fairness and ensuring consumers aren’t deceived when buying goods or services.

Influencer marketing’s rise has highlighted the need for these protections as more consumers flock to influencers for product recommendations, research, and discovery. In fact, 54% of younger consumers say influencers impact their purchasing decisions either a lot or a little.

As an influencer, it’s up to you to help your audience understand the difference between your organic and paid posts — which makes the FTC guidelines crucial to follow! 

Failure to comply with FTC guidelines can result in serious consequences, including legal action, fines, damage to reputation, and brand partnership losses – so don’t risk it!

Disclosures for sponsored posts

Disclosures are at the center of the FTC’s guidelines for influencers. But which influencers need to make disclosures? If you have a “material connection” with a brand, then you need to.

A “material connection” refers to the relationship an influencer has with a brand, whether it’s a personal, family, employment, or financial relationship. So any influencer who receives free products, gets paid for a post or review, or earns commission from sales has a “material connection” with a brand. 

Disclosing your “material connection” to a brand keeps your sponsored content honest and your audience informed that they’re being marketed to. After all, the FTC notes that, “As an influencer, it’s your responsibility to make these disclosures, to be familiar with the Endorsement Guides, and to comply with laws against deceptive ads. Don’t rely on others to do it for you.”

So, is there a right or wrong way to make a disclosure? The answer is yes.

The rights and wrongs of sponsored post disclosures

When making a disclosure, it’s important that your audience can see and understand it. In particular, disclosures must be:

Disclosures for specific platforms

Different platforms may have their own disclosure guidelines for sponsored content. Make sure your disclosures comply with each platform you post on in addition to following FTC disclosure regulations.

Instagram

Facebook

Website/Blog

TikTok

YouTube

Livestream:

Disclosures for affiliate posts

Even affiliate links require proper FTC disclosures since you may earn money off of every purchase.

Where to place affiliate disclosures:

Which terms to use for affiliate disclosures:

How to clearly phrase affiliate disclosures:

Industry-specific disclosures

Knowing FTC’s disclosure guidelines for specific industries is also important, especially since some have additional considerations for influencers to stay compliant. BrandCycle works with over 700 brands, which means we have lots of industries to cover! Here are the ones you should know:

Health, Nutrition, and Wellness

Food and Beverages

.

Baby

Kids

Maternity

Apparel

Sports, Fitness, Outdoors, and Gear

Travel

Finance

Pets

Beauty and Skincare

Education

Home and Furniture

Wedding

Technology

E-commerce

Trademarks

Books

TV, Internet, and Streaming Services

Sensitive Content

Entertainment

Keep endorsements honest

The main goal of FTC disclosures is to keep influencers honest with their audiences. But disclosures aren’t the only way influencers should remain honest; they should also keep their endorsements honest. In particular, influencers shouldn’t:

Final thoughts

FTC disclosure guidelines are crucial to keep audiences informed and influencers transparent when working with brands. Being transparent is a non-negotiable – your audience values authenticity, so make sure you’re upfront about any partnerships or endorsements in order to keep your content genuine. For more details on FTC guidelines, head to its website or reach out to the BrandCycle team