What is FTC disclosure?

FTC disclosure refers to the requirement for influencers, creators, and brands to clearly disclose a material connection when promoting a product or service in the United States. The FTC (Federal Trade Commission) expects audiences to be able to recognize when content is influenced by a commercial relationship.

A material connection can include:

• Payment: An influencer receives money for promoting a product.
• Free products: A brand provides products or services at no cost.
• Discounts or incentives: The creator receives special benefits for promoting the brand.
• Affiliate commissions: The influencer earns money from purchases generated through their links or codes.
• Employment or other relationships: The creator has another significant connection with the company.

Common FTC disclosures

Influencers may use clear terms such as:

• #ad
• #sponsored
• Advertisement
• Paid partnership
• Sponsored by [Brand]

The disclosure should be clear, noticeable, and easy for the audience to understand. It should not be hidden where viewers are unlikely to see it.

Example:
An influencer receives payment from a skincare company to create an Instagram Reel. A clear disclosure such as “#ad” or “Paid partnership with [Brand]” helps viewers understand the commercial relationship.

In short: FTC disclosure is about transparency in influencer and advertising content, ensuring consumers know when an endorsement is connected to a brand or other commercial relationship.