Many companies are now using “influencers” or “brand ambassadors” to promote their products in blog posts and on social media platforms. The Federal Trade Commission’s wants consumers to know when these endorsers have been compensated for a positive review. This article examines recent FTC settlements, which indicate that financially compensating endorsers or influencers is acceptable as long as parties’ connection to the product and each other is spelled out. Anything less than complete transparency may be viewed as an attempt to deceive consumers.
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