Perfect Balance: An Advertising Law Podcast
Episode 25: Examining the FTC’s Final Updates to the Endorsement Guides: What Marketers Need to Know – Part 1 of 2
Sep 8, 2023
Explore the FTC's final revisions to the Endorsement Guides and its accompanying FAQs, highlighting changes in the definition of endorsements and social media tags. Learn about differentiating between endorsements and non-endorsements with a focus on clear and conspicuous disclosures. Understand the definition of 'significant minority' and its implications, along with the importance of material connections and unexpected disclosures. Discover the disclosure requirements and liability for endorsements, including the responsibility of advertisers and intermediaries in influencer marketing. Lastly, learn about the significance of clear disclosures and wise endorsement choices, especially on electronic devices.
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Quick takeaways
- The FTC's updated Endorsement Guides now explicitly include virtual influencers and fake endorsements, expanding the definition of endorsements in marketing and promotional messages.
- The FTC emphasizes the importance of clear and conspicuous disclosures, requiring them to be easily noticeable and understandable on screens without the need to scroll, and holds advertising agencies and intermediaries responsible for deceptive endorsements without proper disclosures.
Deep dives
Expanded Definition and Examples of Endorsements
The Federal Trade Commission (FTC) has updated its endorsement guides, expanding the definition of endorsements to include marketing and promotional messages. The guides now explicitly mention virtual influencers and fake endorsements. The FTC also emphasizes that an endorsement can take many forms, such as verbal statements, social media tags, demonstrations, and organization seals.
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