FTC Issues Much-Anticipated Guidance Regarding "Native" Advertising – January 4, 2016
Katten Muchin Rosenman
Description
so clearly commercial in nature that it will be unlikely to deceive consumers even without further disclosure. The more similar in
format and topic the sponsored content is to, and the less it is distinguished from, the non-sponsored content on the site, the more
likely that disclosure will be necessary. FTC points out that it is also necessary to take into account the target audience of the ad,
consumers’ ordinary expectations regarding with the type of media in which the ad appears, and how consumers consume content
in that media. Regarding the mechanics of disclosures, FTC’s new guidance reminds advertisers to follow its previously issued .com
Disclosures: How to Make Effective Disclosures in Digital Advertising.
Advertisers, and those who create ads, may find the Guide for Businesses document especially helpful.
It contains numerous examples of what may and may not be considered deceptive, and when a disclosure would or would not be required. For example, the Guide addresses thumbnail versions of native content (that are clicked on to lead to the full version of the content), abbreviated versions of native content in news feeds and “content recommendation widgets,” content integrated into entertainment programming and video games, and, of course, native content on social media. Finally, FTC made clear that its enforcement policy does not apply only to advertisers, but rather to “everyone who participates directly or indirectly in creating or presenting native ads,” including ad agencies and operators of affiliate networks. www.kattenlaw.com AUSTIN | CENTURY  CITY | CHARLOTTE | CHICAGO | HOUSTON | IRVING | LONDON | LOS  ANGELES | NEW  YORK | ORANGE  COUNTY | SAN  FRANCISCO  BAY  AREA | SHANGHAI | WASHINGTON,  DC Attorney advertising. Published as a source of information only.
The material contained herein is not to be construed as legal advice or opinion. ©2015 Katten Muchin Rosenman LLP. All rights reserved. Katten refers to Katten Muchin Rosenman LLP and the affiliated partnership as explained at kattenlaw.com/disclaimer. 12/28/15 2 .
It contains numerous examples of what may and may not be considered deceptive, and when a disclosure would or would not be required. For example, the Guide addresses thumbnail versions of native content (that are clicked on to lead to the full version of the content), abbreviated versions of native content in news feeds and “content recommendation widgets,” content integrated into entertainment programming and video games, and, of course, native content on social media. Finally, FTC made clear that its enforcement policy does not apply only to advertisers, but rather to “everyone who participates directly or indirectly in creating or presenting native ads,” including ad agencies and operators of affiliate networks. www.kattenlaw.com AUSTIN | CENTURY  CITY | CHARLOTTE | CHICAGO | HOUSTON | IRVING | LONDON | LOS  ANGELES | NEW  YORK | ORANGE  COUNTY | SAN  FRANCISCO  BAY  AREA | SHANGHAI | WASHINGTON,  DC Attorney advertising. Published as a source of information only.
The material contained herein is not to be construed as legal advice or opinion. ©2015 Katten Muchin Rosenman LLP. All rights reserved. Katten refers to Katten Muchin Rosenman LLP and the affiliated partnership as explained at kattenlaw.com/disclaimer. 12/28/15 2 .
