Time to read – * min

The Role of Regulation In Influencer Marketing

The call for regulations to ensure transparency & protect consumers in influencer marketing is getting louder. Find out what you should be doing here.

Andrea Neira
April 2024
Influencer Marketing


“Being an influencer is a real job, thus there should be regulations around it as well” - Sebastian Wulff, Director of Influence, Brandwatch.

The clarion call for regulation in influencer marketing is the loudest it has ever been. As an industry that is expected to expand to $24 billion at the end of 2024, industry leaders and regulatory bodies worldwide emphasize the need for clear guidelines to ensure transparency, protect consumers, and maintain the integrity of online advertising. In the blog post, we listen in to insights from Sebastian, and other industry figures, to explore the multifaceted regulatory landscape of influencer marketing.

The content we consume on social media influences our decision-making process, which is why the regulation of influencer activities on social media and the transparency of promotional activities have become paramount, to safeguard consumers. Sebastian underscores this necessity, stating, “It is almost the same thing as corporations that interact with their consumers and their regulations around that interaction to protect consumers. There has to be some accountability somewhere.”

Globally, national authorities are stepping up, delineating sponsored content clearly and transparently for consumers. For example, in France and Spain, influencers must use disclaimers such as “#ad” or “#sponsored” to make their sponsored posts visible to their audience.

Many publications and influencer marketing blogs complain about the lack of seriousness of some creators: “Influencer marketing is riddled with potential pitfalls, notably the blurry lines around paid partnerships and misleading endorsements.” - Makerly Blog. 

Audiences seek authenticity. Transparency is a strategic asset that enhances the credibility of the influencer as well as the brand. The Advertising Standards Authority (ASA) in the United Kingdom (UK) has been offering guidance to ensure influencers visibly disclose when their content is sponsored. In collaboration with the Competition and Markets Authority (CMA), they developed a guide to influencers on how to disclose paid advertising. Such initiatives underscore the critical need for influencers to be forthright about sponsored content, enhancing consumer decision-making.

Influencer marketing regulations will continue to evolve as the industry continues to grow. What remains is the need for companies and the influencers themselves to adhere to ethical standards, and comply with legal requirements, to foster trust and achieve sustainable growth. 

If you liked this blog post, subscribe to our newsletter, and don’t miss out on our publications! Watch the full interview with Sebastian here on YouTube, or listen to it on Spotify.

Ready to start using Gigapay?