|
 The Federal Trade Commission, chief enforcer of
truth-in-advertising rules, has sent dozens of letters to
companies and stars over the issue, including one to Vergara for
touting bracelets on Instagram.
Vergara's post on Instagram received more than 75,000 "likes"
while Klum got 37,000 likes for a photo of herself with a
Dunkin' Donuts coffee. Scott Disick, ex-boyfriend of Kourtney
Kardashian, received 118 "likes" for praising teeth-whitening
strips, according to letters the FTC sent to the celebrities in
March.
Reuters obtained copies of the letters after filing a Freedom of
Information Act request with the government.
The letters prodded the stars to disclose when they are paid to
compliment products on Instagram or other social media.
Actresses Lucy Hale, Shay Mitchell, Troian Bellisario and Ashley
Benson, stars of the hit teen show "Pretty Little Liars," also
received FTC letters for praising clothing such as
pineapple-print leggings, potato chips and facial scrub.
Letters went to more than 35 celebrities and more than 40
companies, including Adidas, Cabela's, Chanel USA, Johnson &
Johnson, Dunkin Brands Group, Hasbro, Inc and Yves Saint Laurent
North America.
None of the celebrities or companies contacted by Reuters for
this story had any comment.
The FTC did not accuse the celebrities of accepting money or
products in exchange for the Instagram boosts but it noted in
the letters, which were largely similar, that
truth-in-advertising laws mandate any payments must to be
disclosed.
As advertising has migrated from television and print
publications, it has become increasingly difficult to
distinguish from non-advertising content. On social media, the
demarcation line blurs when stars post family photos sometimes
interspersed with products that they are paid to sell.
[to top of second column] |
David Weintraub, owner of DWE Talent Management, helps celebrities
make money selling products on Instagram. "Probably 40 percent of my
roster makes a healthy part of their living via the Instagram
endorsement business model," he said.
Someone with 20 million followers on Instagram, Twitter and other
social media can earn up to $75,000 per post, Weintraub said.
"There is always a discussion about disclosure" in creating a post,
he said, adding that putting #ad or #promotion hashtags in a post
was adequate, in his view, to prevent any FTC problems.
The FTC appears to agree. In its endorsement guides, the agency said
starting a social media post with #ad "would likely be effective" in
disclosing that a star as been paid.
Dan Jaffe, head of the government relations office for the
Association of National Advertisers, said the FTC letters were a
"warning shot ... that something more prescriptive is coming. That's
my guess."
The FTC settled with Lord & Taylor in 2016 over social media posts
by select "fashion influencers" who put up photos of a paisley
dress. As part of the settlement, Lord & Taylor agreed to ensure
that future paid posts would be identified.
(Reporting by Diane Bartz; Editing by Kevin Drawbaugh and Bill Trott)
[© 2017 Thomson Reuters. All rights
reserved.] Copyright 2017 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed. |
