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US warns trade groups, influencers to disclose social media advertising

Published 11/15/2023, 05:10 PM
Updated 11/15/2023, 05:16 PM
© Reuters

WASHINGTON (Reuters) -The U.S. Federal Trade Commission said on Wednesday it has warned two trade associations and 12 dieticians and online influencers about social media posts promoting the artificial sweetener aspartame or sugary products without disclosing that they had been paid.

Online influencers are required to disclose on their posts when they are paid to promote products.

In letters to the American Beverage Association and Canadian Sugar Institute, the FTC said it was concerned influencers the groups had hired to post on Instagram and TikTok did not properly identify their posts as advertising.

"It’s irresponsible for any trade group to hire influencers to tout its members' products and fail to ensure that the influencers come clean about that relationship," Samuel Levine, director of the FTC's Bureau of Consumer Protection, said in a statement.

A spokesperson for American Beverage said the group had taken "proactive, prudent and meticulous steps" to be transparent about its partnership with experts.

"We will continue our ongoing commitment to disclose the relationship between dietitians and American Beverage and we appreciate the FTC’s guidance on how to best ensure transparency," the spokesman said in a statement.

The Canadian Sugar Institute had no immediate comment.

 

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