- Izea and Halverson found that only 8% of B2B marketers reported being fully aware or fully understanding the FTC rules on sponsored content disclosure, compared to 67% of sponsored content creators.
- Thirty-three percent of respondents reported not even being aware sponsored content was under any regulation.
- This news comes at a time when a majority of marketers are expecting to increase content marketing spending.
Business marketers may be using sponsored content in their marketing activities, but according to research from Izea and Halverson they are woefully ill-informed on the Federal Trade Commission guidelines about publicly disclosing when sponsored content is compensated.
Although most of the surveyed marketers were aware of FTC rules, only 8% reported understanding those guidelines and about one-third said they weren’t aware of the regulations at all. Those marketers’ clients, creators of sponsored content, on the other hand had a better grasp of the government regulations with 67% reporting understand the rules and only 7% reporting not being aware.
This summer the FTC updated a portion of its FAQ page for endorsement requirements with more direct and detailed information on social media marketing, including “clearly and conspicuously” disclosing relationships between brands and endorsers.
The FTC guidelines outline how sponsored content compensation – in the form of cash, coupons, discounts, experiences, or free products or services – must be publicly disclosed.
Separate, additional research from the Content Marketing Institute (CMI)and Marketing Profs found 51% of B2B marketers in North America expect to increase their content marketing spending over the next year.