The Federal Trade Commission (FTC) has introduced updated rules for influencer video marketing in 2025, focusing on transparency and accountability for both influencers and brands. Here's what you need to know:
- Clear Disclosures: Influencers must disclose any material connections (e.g., payments, free products, affiliate links) in a way that's easy to understand and visible at the start of video content.
- Shared Responsibility: Both influencers and brands are liable for non-compliance, with fines up to $53,088 per violation.
- Platform Limitations: Built-in disclosure tools on social media platforms may not meet FTC standards. Explicit disclosures are required.
- Ongoing Compliance: Regular audits, training, and updated contracts are essential to avoid penalties.
These rules aim to protect consumers and ensure honesty in influencer marketing. Failure to comply can lead to steep penalties for all parties involved.
New FTC Guidelines & Disclosures that Brands, Agencies and Influencers Need to Know
Key Disclosure Requirements for Influencer Video Content
The FTC's 2025 rules emphasize the importance of being upfront about any connections that might influence an influencer's opinions. Below is a breakdown of the key requirements to help ensure influencer video content stays compliant.
Understanding Material Connections
A material connection refers to any relationship between an influencer and a brand that could sway how viewers interpret the content. This includes financial ties like sponsorships, affiliate commissions, or payments, as well as non-financial perks such as free products, discounts, or exclusive access. If the partnership is ongoing, that must also be disclosed clearly.
Clear and Visible Disclosure Standards
Disclosures need to be obvious and easy to understand. Use straightforward phrases like "paid partnership" or "sponsored content" so audiences immediately grasp the nature of the relationship. These disclosures should appear before any promotional content begins, ensuring viewers are informed right from the start.
Platform-Specific Tool Limitations
While many social media platforms provide built-in tools for disclosures, relying solely on these tools doesn’t always meet FTC requirements. For instance, hashtags or on-screen labels offered by platforms might not fully convey the nature of a material connection. To stay compliant, influencers should include explicit disclosures in their content, particularly when reposting or adapting videos for platforms with differing disclosure features. These extra steps align with the FTC's broader push for transparency.
Expanded Scope and Applicability of FTC Guidelines
Shared Liability for Influencers and Brands
The updated 2025 FTC guidelines place shared responsibility for disclosure failures on influencers, brands, agencies, and even platforms. If an agency or platform instructs influencers to skip proper disclosures, they can now face penalties. The FTC has set the maximum civil fine at $53,088 per violation, and each individual post or ad can count as a separate offense. Platforms aren’t exempt either - if their tools prevent clear disclosures, they can also be held accountable. This shift emphasizes the importance of strict compliance measures in every influencer partnership.
Brands are also exposed to greater risks when they encourage or allow non-compliance. For example, companies that advise influencers to hide sponsorships, rely on misleading hashtags, or obscure disclosures are opening themselves up to hefty fines and shared liability. A 2025 Social Standards Report revealed that 82% of U.S. brands have now updated their influencer contracts to include detailed FTC compliance terms, a significant rise from just 60% three years ago. This trend highlights how seriously businesses are taking the financial and legal consequences of failing to meet these guidelines.
Enforcement and Penalty Framework
Types of Violations and Penalties
The Federal Trade Commission (FTC) has a structured approach to dealing with violations related to influencer marketing. These include instances where influencers fail to disclose sponsored content, make misleading claims, or share unverified information. Similarly, brands and agencies are held accountable when they neglect to properly oversee their partnerships. Penalties can range from issuing warnings and requiring compliance training to imposing fines or mandating corrective advertising. This framework highlights the seriousness of adhering to the rules and provides context for recent enforcement actions.
Recent FTC Enforcement Actions
The FTC has stepped up its efforts to enforce disclosure guidelines. In recent cases, they’ve sent warning letters and levied penalties for unclear disclosures or misleading statements. These actions serve as a clear reminder for influencers, brands, and agencies to regularly review and improve their compliance practices to avoid potential consequences.
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Best Practices for Influencer Video Compliance
Adding Compliance to Campaign Workflows
Making FTC compliance a core part of your campaign workflow can save both time and potential headaches. Start by specifying clear disclosure requirements in all influencer contracts and campaign briefs. Outline exactly where disclosures should appear, the language to use, and how long they need to stay visible on screen.
To stay on track, create a pre-production checklist that covers everything from disclosure placement to timing and visibility. For video content, this means ensuring disclosures appear within the first few seconds of the video and remain visible long enough for viewers to read them. Many brands now require influencers to submit drafts for review before posting, giving teams a chance to resolve compliance issues early.
A dual-review process involving both legal and marketing teams is another smart step. This ensures compliance while also aligning with campaign goals. Document these processes to create a clear roadmap for your team.
Don’t forget to invest in regular training sessions for your marketing team and influencers. FTC guidelines change over time, so staying updated is essential. Many agencies conduct quarterly workshops to keep teams informed about the latest rules and expectations.
Next, let’s look at common compliance pitfalls you’ll want to avoid.
Common Mistakes to Avoid
Even with a solid workflow, some common mistakes can derail your compliance efforts. One of the biggest issues is hiding disclosures in video descriptions or relying on platform tools that don’t display uniformly across all devices. For example, hashtags like #ad or #sponsored in Instagram captions won’t cut it for video content, as viewers might not even see the caption.
Another frequent error is using vague language that leaves room for interpretation. Phrases like "Thanks to [brand]" or "Loving this product" fail to clearly disclose a sponsorship. The FTC requires clear and unambiguous language that makes the business relationship obvious to viewers.
Don’t fall into the trap of assuming that long-term partnerships exempt you from disclosure. The FTC mandates that every piece of content include proper disclosures, no matter how often you’ve worked with a brand or how established the partnership is.
Timing is another critical factor. Disclosures must appear right at the start of video content to ensure they’re visible and unavoidable. Waiting too long to show a disclosure - or making it easy to miss - can lead to compliance violations.
Finally, relying solely on platform-specific disclosure tools can create problems when content is shared across different platforms or viewed on various devices. What works on desktop might not be visible on mobile, and tools available on one platform may not even exist on another.
Fortunately, there are tools and resources available to help you avoid these pitfalls.
Tools and Resources for Simplifying Compliance
Platforms like Paracast.io offer built-in compliance features that make managing disclosures easier. For example, Paracast.io provides templates with pre-positioned disclosure areas, ensuring proper placement and timing. When creating videos from website URLs, you can customize disclosure text and positioning to meet FTC requirements while maintaining professional quality.
These standardized templates promote consistency across campaigns and reduce the risk of compliance errors. Plus, since Paracast.io generates videos in 1080p with customizable branding options, you can ensure disclosures are both clear and seamlessly integrated into your content.
Another helpful strategy is to create disclosure templates tailored to different content types and partnerships. Pre-approved language for scenarios like product reviews, unboxing videos, or tutorials can speed up the content creation process while ensuring compliance.
Consider using content management systems that flag potential compliance issues before publication. Shared documents or project management tools with built-in approval workflows can require compliance sign-offs before content goes live, adding an extra layer of protection.
Finally, schedule regular audits of published content to spot patterns and identify areas for improvement. Monthly reviews of influencer content can help ensure ongoing compliance and address any issues that might have been missed during the initial review process.
Conclusion and Key Takeaways
The FTC's 2025 rules are designed to prioritize transparency and protect consumers. With social media fraud losses totaling $2.7 billion since 2021, these regulations aim to address a pressing need for accountability and honesty in digital marketing.
To stay compliant, disclose every material connection - whether it's payment, free products, affiliate links, or even brand tags - both verbally and visually. The updated definition of "endorsement" now includes nearly any brand mention, making it safer to err on the side of over-disclosure rather than risk penalties .
Penalties for violations can be steep, with civil fines reaching up to $50,000 per infraction. Repeat offenses can result in six-figure penalties. The FTC's actions, such as the November 2023 warning letters sent to 12 health influencers, highlight their commitment to enforcement. Importantly, both influencers and brands are held accountable, emphasizing the need for collaboration throughout every stage of a campaign - from drafting contracts to reviewing final content. This makes integrating compliance into your workflow a non-negotiable step.
Avoid relying solely on platform disclosure tools, as these may not render consistently across different devices and viewing scenarios.
To simplify compliance, tools like Paracast.io offer solutions such as templates with pre-set disclosure areas and customizable text. These features are particularly useful for creating promotional videos directly from website URLs, ensuring your content aligns with FTC standards without sacrificing professionalism.
Ultimately, compliance should be treated as an ongoing process. Regular training, audits, and proper documentation not only help meet regulatory requirements but also build trust with your audience. Transparent marketing practices protect consumer trust and set a standard for accountability across the industry.
FAQs
What steps should influencers take to follow the FTC's 2025 rules for video marketing disclosures?
How to Stay Compliant with the FTC's 2025 Rules
To meet the FTC's updated 2025 guidelines, influencers need to be upfront about sponsorships or partnerships in a way that's easy for viewers to spot and understand. For example, start your video by saying something like, "This video is sponsored by [Brand]", and keep a visible text overlay throughout the video. Steer clear of unclear phrases like #partner or burying disclosures in captions or descriptions where they might be overlooked.
If you're hosting a live stream, make sure to include both verbal and on-screen disclosures at regular intervals. The bottom line? Be transparent. Your audience should never be left wondering whether your content is sponsored. Following these practices not only keeps you compliant but also helps maintain trust with your viewers.
What happens if brands or influencers don’t follow the 2025 FTC guidelines?
Failing to follow the 2025 FTC guidelines can lead to hefty penalties, including fines as high as $53,088 per violation. But the trouble doesn’t stop at financial losses - non-compliance can also result in legal battles, lawsuits, and a damaged reputation.
For influencers and brands alike, a damaged reputation can erode trust, diminish credibility, and shut the door on future business opportunities. Staying up to date and ensuring every campaign aligns with the FTC’s disclosure rules isn’t just a good idea - it’s essential to protect your business and your brand.
How can brands ensure their influencer marketing complies with FTC rules in 2025?
How to Stay Compliant with FTC Rules for Influencer Marketing in 2025
To align with the FTC's influencer marketing rules in 2025, brands need to prioritize clear and transparent disclosure of any material connections. This includes payments, free products, or other incentives provided to influencers. These disclosures should be easy to spot, simple to understand, and directly integrated into the content - no hidden or vague statements.
It's also essential to invest in training for influencers and internal teams. Everyone involved should have a solid understanding of the FTC's guidelines and know how to apply them consistently. This might involve sharing disclosure best practices, offering clear examples, and reviewing content before it goes live to catch any potential issues.
Lastly, streamline compliance by leveraging tools or workflows to monitor and verify adherence to the rules. Automated quality checks or pre-approved templates can simplify the process, ensuring your content stays compliant while reinforcing trust with your audience.
