TikTok Advertising & Sponsorship Violations
Let’s get this out of the way – Tiktoker, TikTok’r, Tiktocker? Honestly, we’re going with TikToker, because that’s what we’ve seen a lot online. Anyway…
It’s hard to imagine the world without TikTok. For many, it started as a joke or a good way to kill boredom and pass the time. But TikTok has since garnered over 2 billion downloads and is now one of the most popular apps in the world. A video-sharing social networking service used to create short videos of nearly everything - dance routines, recipes, tutorials, travel, music, and more - TikTok has enabled nearly everyone to become a creator, to relate to others, or simply to serve as a distraction.
Along with TikTok’s rise to the forefront, the application has most apparently sparked controversy regarding its legal policies. The app’s advertising loopholes and FTC regulations on influencer marketing is one to discuss and further inquire about, especially as you as an influencer deal with FTC disclosures, releases, and licenses.
In an article posted on CNBC from December 2019, potential FTC violations ensue as the creator does not properly label these videos as ads or promoted posts. This oftentimes occurs because the TikToker is brand new to the business side and is unfamiliar with the laws. The app presents numerous cases in which influencers failed to follow FTC regulations and have had their videos taken down as a result. Mae Karwowski, CEO of an influencer marketing agency, approximates that almost 75% of all brands looking to add advertisements are now focusing on TikTok to increase eyeballs. With more and more brands and opportunities for influencers to affiliate with brands, there is more risk that an influencer might fall short of the specific FTC regulations.
Take for instance the clothing boutique Princess Polly. A search of the company on the TikTok app makes clear that the brand has recruited influencers in order to attract more customers. A “Princess Polly” search will have your screen filled with videos of models dressed in the brand’s latest apparel and TikTok famous influencers’ captions reading “Princess Polly haul coming soon” and “Here are some of my favorite outfits from Princess Polly.” In fact, many of these videos include a discount affiliate code and its partners receive commission on the store’s clothing… yet they don’t explicitly state that these videos are commercials. According to the FTC’s Endorsement Guides, the relationship between the endorser and the advertiser should be blatantly stated and influencers/marketers must ‘clearly and conspicuously disclose their relationships to brands when promoting or endorsing products through social media.’
If you are an influencer or creator on TikTok, it is vital that you educate yourself about the FTC guidelines that govern TikTok. Whenever you agree to sponsor a product or affiliate with a brand, you must properly disclose your partnerships. We know that FTC laws for apps such as TikTok are oftentimes confusing and ambiguous. Kahn Media Law has the expertise in these contracts and in the representation of all creatives working in the fashion, media, and entertainment industries. We are here for you and we are committed to helping you understand each and every regulation in order to ensure FTC compliance.
In educating yourself and entrusting Kahn Media Law, you’re not only saving yourself from potential FTC violations, but you’re saving your videos from being taken down and your TikTok fame from dwindling. There’s a reason you became TikTok famous and it’s your time to shine and to continue entertaining all of us TikTok-obsessed fans.