Sep 12, 2017

FTC steps in to resolve social influencer chaos

The Federal Trade Commission filed its first-ever case against social media "influencers" last week. The FTC says that two popular gamers posted messages endorsing an online gaming service without disclosing that the two gamers owned the company. It also sent 21 warning letters to prominent social media influencers that it had previously warned about their potential violation of FTC standards.

Why it matters: The ambiguity around "influencers" hawking products on social media sites has created an advertising frenzy on social media, with no clear distinction between who is sponsoring what. FTC Acting Chairman Maureen Ohlhausen says the Commission's first-ever action against individual influencers, "should send a message that such connections must be clearly disclosed so consumers can make informed purchasing decisions."

  • Our thought bubble: Like the FTC's native advertising guidelines, these will be tough to enforce. A MediaRadar study earlier this year found that nearly 40% of media organizations don't comply with the FTC's standards for labeling and disclosing native ads.
  • Worth noting: Influencers have a unique relationship with consumers that brands would kill to leverage. This is why some media companies are letting their own talent hawk products as influencers on their personal social media accounts. With this in mind, some of the biggest tech companies are trying to get a part of the action.
  • Google & Microsoft are building software to identify influencers, according to CB Insights. "New patents aim to identify and encourage online experts and influencers — with implications for brands and content creators."

Go deeper

Pence aide says intel report of Russia helping Trump is "false information"

Marc Short. Screenshot: Fox News

Marc Short, chief of staff to Vice President Mike Pence, claimed on "Fox News Sunday" that the White House has not received intelligence that Russia is seeking to help President Trump win re-election, calling it "false information" that has been selectively leaked by Democrats on the House Intelligence Committee.

The big picture: Short and national security adviser Robert O'Brien both dismissed reports published in the Washington Post and New York Times last week about a briefing provided by top election security official Shelby Pierson, an aide to outgoing acting director of national intelligence Joseph Maguire.

Bernie's juggernaut

Sen. Bernie Sanders speaks in San Antonio last night with his wife, Jane. Photo: Eric Gay/AP

Sen. Bernie Sanders won so big in the Nevada caucuses that Democrats are hard-pressed to sketch a way he's not their nominee.

Driving the news: With 60% of precincts counted (slow, but better than Iowa!), Sanders is running away with 46% of delegates — crushing Joe Biden's 20%, Pete Buttigieg's 15%, Sen. Elizabeth Warren's 10% and Sen. Amy Klobuchar's 5%.

Clyburn: Sanders' "socialist" label will be "extra burden" in House races

Jim Clyburn with Speaker Nancy Pelosi. Photo: Mario Tama/Getty Images

House Majority Whip Jim Clyburn (D-S.C.) said on ABC's "This Week" Sunday that Sen. Bernie Sanders' identification as a democratic socialist may be an "extra burden" in down-ballot House races if he were to win the Democratic nomination.

Why it matters: Clyburn's comments echo fears from many establishment Democrats, who worry the House majority they won in 2018 by taking moderate seats carried by President Trump could be at risk with Sanders at the top of the ticket.