FTC Native Advertising Guidelines

What Are the FTC Native Advertising Guidelines?

The FTC Native Advertising Guidelines are a set of regulations issued by the Federal Trade Commission (FTC) to ensure that native ads are clearly distinguishable from editorial content. These guidelines mandate, amongst other things, that advertisers disclose when content is paid for or sponsored.

The FTC Native Advertising Guidelines apply to native advertising in the U.S. but similar guidelines are in place across the world.

Examples of FTC Guidelines in Action

• Clear Labeling: An advertorial or sponsored article is clearly labeled with terms like "Sponsored" or "Advertisement" to distinguish it from organic content.
• Disclosure in Social Media Ads: A native ad in a social media feed includes a disclosure, such as "Ad" or "Sponsored by [Brand]," to inform users that the content is paid.

Key Points about FTC Guidelines

• The guidelines require that native ads must not mislead users by appearing as editorial content; clear disclosure is mandatory.
• Failure to comply with FTC guidelines can result in penalties and harm a brand’s reputation.
• Advertisers must ensure that disclosures are placed in a manner that is clear, conspicuous, and understandable to the average user.

FTC Guidelines Best Practices

• Use Clear Disclosures: Ensure that native ads are labeled with clear, prominent disclosures, such as “Sponsored” or “Advertisement.”
• Avoid Deceptive Practices: Do not attempt to obscure the fact that the content is a paid advertisement; be transparent with your audience.
• Follow Platform Rules: Each platform may have additional guidelines for disclosures, so ensure compliance with both FTC and platform-specific rules.

Considerations

• Legal Compliance: Non-compliance with the FTC Native Advertising Guidelines can lead to fines, penalties, and legal action.
• User Trust: Clear disclosure helps maintain trust with your audience, reducing the risk of backlash or negative brand perception.