CollectionsApr 08, 2026
Hearts On Fire Celebrates 30 Years By Asking a QuestionThe “What’s Your Signature?” campaign invites women to think about how they see themselves.
Policies & IssuesAug 11, 2016
FTC to Crack Down on Sponsored Internet Posts
The Federal Trade Commission will be tougher on paid endorsements and how they are disclosed, according to one recent report.
New York--Paid content is hardly something new, yet with the increasing influence of the digital world, a different set of issues has come to light.
As celebrities and “influencers” take to social media channels and Internet platforms in larger and larger numbers to best reach their audiences and fans, the lines between getting paid to post content and giving proper disclosure are blurring.
But the Federal Trade Commission has noticed and now is trying to crack down on sponsored posts, according to a Bloomberg report.
The latest includes an FTC complaint filed against Warner Bros. Home Entertainment, which charges that the entertainment company deceived consumers during a marketing campaign for its video game Middle Earth: Shadow of Mordor by failing to adequately disclose that it had paid online influencers to post positive videos online and didn’t tell influencers to include sponsorship disclosures clearly and conspicuously on the videos.
In addition to prohibiting the company from misrepresenting the paid video reviews as coming from impartial players, the FTC also specified the minimum steps that Warner Bros. must take to ensure it’s complying with the final order, including educating influencers on sponsorship disclosures, monitoring videos for compliance, and terminating or withholding payment when they see non-compliance.
The FTC did not respond to a request for comment from National Jeweler by press time but the Bloomberg report indicates that social media in particular seems to be a bit of a gray area when it comes to paid content and disclosure.
The FTC says it’s OK if #ad is at the beginning of a post, but not #sp and #spon, hashtags indicating a “sponsored” post.
“If consumers don’t read the words, then there is no effective disclosure,” Michael Ostheimer, a deputy in the FTC’s ad practices division, is quoted as having told Bloomberg. “If you have seven other hashtags at the end of a tweet and it’s mixed up with all these other things, it’s easy for consumers to skip over that. The real test is, did consumers read it and comprehend it?”
Earlier this year, the commission also brought a complaint against Lord & Taylor, charging that it “deceived consumers by paying for native advertisements,” including a seemingly objective article in Nylon magazine and on its Instagram that weren’t disclosed as paid content.
Lord & Taylor also allegedly paid fashion influencers to post a dress on Instagram, without disclosing that it had paid
them or given them the dress for free. Any compensation, including free products, must be disclosed, the FTC says.
Cecilia Gardner of the Jewelers Vigilance Committee said that though they don’t see too many paid sponsorships from jewelers that are not clearly labeled as ads online, any that did still would be subject to the same scrutiny as other advertisers.
“Jewelers should be aware of the rules governing online advertisements--it should be clear that ads are paid and not unsponsored testimonials,” she said.
In a 2014 column on National Jeweler addressing similar issues, the JVC’s Sara Yood said, “Consumers are savvy, so it is important to be transparent. This advertising should not be about tricking the consumer, but clearly providing the source of the content of the advertising.”
The JVC website also specifies that “a misrepresentation is material if it is likely to affect consumer’s choices or conduct regarding an advertised product or the advertising for the product.”
When it comes to social media, the FTC says if a post is “part of a sponsored campaign or you’re being compensated … then a disclosure is appropriate.”
While there is no special wording for how to do this, “the point is to give readers the essential information.” A simple disclosure, such as “Company X gave me this product to try …” would do. Or starting a Tweet with “Ad:” or “#ad” also would be effective.
Guidance on digital endorsements and testimonials as well as additional questions regarding social media and endorsements can be found on the FTC’s website.
Cecilia Gardner of the Jewelers Vigilance Committee said that though they don’t see too many paid sponsorships from jewelers that are not clearly labeled as ads online, any that did still would be subject to the same scrutiny as other advertisers.
“Jewelers should be aware of the rules governing online advertisements--it should be clear that ads are paid and not unsponsored testimonials,” she said.
In a 2014 column on National Jeweler addressing similar issues, the JVC’s Sara Yood said, “Consumers are savvy, so it is important to be transparent. This advertising should not be about tricking the consumer, but clearly providing the source of the content of the advertising.”
The JVC website also specifies that “a misrepresentation is material if it is likely to affect consumer’s choices or conduct regarding an advertised product or the advertising for the product.”
When it comes to social media, the FTC says if a post is “part of a sponsored campaign or you’re being compensated … then a disclosure is appropriate.”
While there is no special wording for how to do this, “the point is to give readers the essential information.” A simple disclosure, such as “Company X gave me this product to try …” would do. Or starting a Tweet with “Ad:” or “#ad” also would be effective.
Guidance on digital endorsements and testimonials as well as additional questions regarding social media and endorsements can be found on the FTC’s website.
More on Policies & Issues
The Latest
SourcingApr 08, 2026
Sale of 42-Carat Blue Diamond Gives Petra a Boost in Q3The big diamond’s sale added to the company’s revenue though the market remains “challenging” overall, particularly for smaller goods.
Events & AwardsApr 08, 2026
AGS Confluence Returns with AI, Sustainability SessionsRob Bates of The Jewelry Wire will also moderate a panel on the state of the jewelry industry during the virtual event.
Brought to you by
Protect Your Customers and Your BusinessYou deserve to know what you are selling–to protect your customers as well as your business and your reputation.
Events & AwardsApr 08, 2026
TJS to Honor 2 Longtime Former Stuller EmployeesThe Jewelry Symposium will honor two industry veterans with lifetime achievement awards at its upcoming May event.
Weekly QuizApr 02, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
TrendsApr 08, 2026
Amanda’s Style File: April’s Brilliant Birthstone With their durability, brilliance, and beauty, diamonds are the perfect stone for everyday birthstone jewelry.
MajorsApr 07, 2026
QVC Group’s Latest Filing Calls Its Future Into QuestionThe retailer failed to file its annual report on time and said it may issue a going concern warning.
Brought to you by
Is This You? Every Jeweler Has This Problem; We Have the Solution.Every jeweler faces the same challenge: helping customers protect what they love. Here’s the solution designed for today’s jewelry business.
ColumnistsApr 07, 2026
Peter Smith: A Tip to the Post Office on Workplace CultureSmith recounts a recent trip to the post office that included an uncomfortable, embarrassing, and public exchange between two employees.
GradingApr 07, 2026
GIA CFO David Tearle to Retire in June John Cowley, who has more than 30 years of experience, is succeeding Tearle as the lab’s chief financial officer.
CollectionsApr 07, 2026
Nerd Out Over Gemology Geek’s First Jewelry CollectionFounder Erica Silverglide has designed 35 colorful pieces set with fluorescing gemstones for the brand's first finished jewelry offering.
CollectionsApr 07, 2026
Ukrainian Jewelers Highlighted In New Book“Ukrainian Jewelry | Contemporary Jewelry and Art Jewelry from Ukraine” features 33 contemporary Ukrainian designers and studios.
CollectionsApr 06, 2026
Fope’s New Jewelry Debuts Are Golden“The Golden Now” campaign celebrates the here and now with the brand’s signature styles and a selection of its new pieces.
MajorsApr 06, 2026
Kecia Caffie, Corinne Bentzen No Longer With Signet JewelersSignet confirmed that Caffie, president of Zales and Banter, and Bentzen, who headed Blue Nile, have left the company.
CollectionsApr 06, 2026
Historian Tanzy Ward Pens Book on Black Victorians’ JewelryThe antique jewelry dealer talks about the importance of including Black Americans in jewelry history and preserving their stories.
SourcingApr 06, 2026
Gemfields Reports $51M Loss in 2025Both its mines faced challenges last year, from operational issues to disruptions in the market.
CollectionsApr 03, 2026
Taylor Swift’s ‘Elizabeth Taylor’ Video Puts Jewelry Front and CenterIconic pieces, like the Mike Todd Diamond Tiara, appear in the superstar’s new music video for her song inspired by the actress.
MajorsApr 03, 2026
Saks Global Says It Will Emerge From Bankruptcy This SummerThe luxury retailer, which went Chapter 11 in January, announced Thursday that it has secured $500 million in exit financing.
Events & AwardsApr 03, 2026
JCK Luxury, NouvelleBox Partner on New Designer BallroomThe NouvelleBox ballroom will feature independent jewelry designers, including Lene Vibe, Wyld Box Jewelry, and Kiaia Limited.
CollectionsApr 03, 2026
Buddha Mama Brings Its ‘Moon’ Locket To DallasThe one-of-a-kind locket, our Piece of the Week, opens to reveal three hidden images to keep close to your heart.
MajorsApr 02, 2026
Pandora Opens New Canadian Distribution Center Amid Tariff ConcernsThe new facility was also designed to better serve its growing customer base in Canada.
TrendsApr 02, 2026
Michelle Yeoh Fronts New Mikimoto Campaign The campaign is a tribute to the year 1893, when Kokichi Mikimoto created the world’s first cultured pearl.
GradingApr 02, 2026
GIA Debuts New Campus in TaiwanIt is the only GIA school to offer the GIA Graduate Gemologist program in Chinese.
MajorsApr 02, 2026
DCA Launches ‘Second Spark’ Workforce InitiativeThe initiative connects veterans and parents returning to the workforce with careers in jewelry retail.
MajorsApr 02, 2026
Hoover & Strong Names New National Sales RepresentativeThe wholesale manufacturer and precious metals refiner has appointed Michael Angelo as its new national sales representative.
MajorsApr 01, 2026
Foundrae Sues Pandora for Allegedly Copying Its Medallion DesignsFoundrae also accused the jewelry giant of copying its mood board style of marketing.
AuctionsApr 01, 2026
John Jacob Astor IV’s Titanic Pocket Watch Heads to AuctionA Patek Philippe for Tiffany & Co. timepiece owned by the American businessman who died on the Titanic will be offered at Freeman's Chicago.
