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VLP Partner Char Pagar Featured in the Inside Counsel Article “Social Media Influencers Are Being Watched by FTC”

Posted on Oct 4, 2017 in News by Charulata B. Pagar

VLP Advertising Partner Char Pagar sat down with Inside Counsel to discuss the issue of celebrity social media influencers for the article “Social Media Influencers Are Being Watched by FTC.”

The article noted that, due to the high financial stakes involved and the influencers’ ability to reach millions of consumers, the Federal Trade Commission (FTC) is keeping a very close eye on social media influencer posts.

The article reported that the FTC requires that commercial relationships between influencers and brands be clearly disclosed or otherwise known to consumers, noting that if there is a material connection between a brand and an influencer, such as celebrities, athletes and reality stars, then that connection must be disclosed or clear to consumers in materials where the influencer endorses the brand.

Ms. Pagar said, “My experience is that brands – both startups and established brands — are increasingly turning to social influencers to get the word out about their products and services.”

She explained, “As more brands spend more money in the space, I suspect the FTC wants to spend its attention in the space as well — so marketplace participants are aware that the traditional FTC rules that apply to material connections disclosures apply to endorsements made via this new technology as well.”

Ms. Pagar went on to share some best practices for social media influencers to protect themselves.

Click here to view the entire article.