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BizReport : Advertising archives : March 06, 2017

Third of publishers still falling foul of FTC native ad guidelines

Native ads, designed to mimic editorial, are seen as the way forward for advertising. However, new research from MediaRadar reveals that a third of publishers are failing to label such sponsored content correctly.

by Helen Leggatt

MediaRadar's research found that demand for, and adoption of, native advertising continues to rise. Approximately 610 new advertisers adopt the format each month, usually as part of digital packages rather than as a standalone campaign.

However, of the thousands of ads reviewed by MediaRadar from nearly 13,000 brands, 37% of publishers were found to be flouting Federal Trade Commission guidelines on native advertising and were not clearly labeling native ads as paid-for content.

The main culprits are smaller publishers. Only 5% provided no label on native advertising, the rest were found to be mislabeling content using terms such as "sponsored" (74%) or "promoted" (11%) rather than the FTC recommendation of "sponsored content".


However, things have improved since the FTC released its native advertising guidelines in late 2015. At that time, only 29% of publisher websites were compliant. That number has increased by 119% YoY, with 63% of digital publishers having since modified their native advertising to adhere to the FTC guidelines.

Tags: advertising, native ads, publishing, trends

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