FTC Guide on Native Advertising

The U.S. Federal Trade Commission has guidelines for Native Advertising that help businesses avoid crossing the line into deceptive advertising. The FTC defines Native Advertising as:

“Native Advertising is content that bears a similarity to the news, feature articles, product reviews, entertainment, and other material that surrounds it online.”

The question for deceptive advertising is whether consumers are able to differentiate advertising from other content.

The Guide “summarizes the consumer protection principles that serve as the foundation for the Enforcement Policy Statement.”  Examples to explain how effective disclosure can help prevent deception are included in the 2nd part of the Guide.

Finally, “The third part features staff guidance on how to make clear and conspicuous disclosures within the format of native advertising.”

The FTC goes on to say, “Of course, this Guide can’t cover every issue associated with native advertising.  Nor does it provide a safe harbor from potential liability under Section 5 of the FTC Act.  These examples are only general guidance for advertisers. https://www.ftc.gov/tips-advice/business-center/guidance/native-advertising-guide-businesses

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