Nowadays one of the more commonly used types of advertisement is through the use of influencers by brands on social media. There is no doubt about social media’s – and therefore the influencers’ – potential to reach a wide range of global consumers. Accordingly, such reach makes this global, newly-emerging group of tastemakers very valuable to brands. However, there is a catch: when content about a product is generated by influencers e.g. on their Instagram account, how do the consumers know whether the influencer genuinely used and liked that product, or whether there is a commercial relationship between the brand and the influencer, and such relationship is the real reason the influencer is posting about that product?
Business Law Review