A step toward compliance: the creator economy addresses disclosure and liability risks

"As the creator economy matures, falling foul of disclosure rules is an expensive risk for creators. Today, BBB National Programs is setting out to standardize disclosures, measurement and accountability across the creator economy - a move aimed at bolstering brand confidence while protecting creators. It is launching a creator certification program, through its non-profit foundation the Center for Industry Self-Regulation (CSIR), which serves as the organization's hub for new industry standards."

"The creator economy ad spend is set to rise to nearly $45 billion this year, and with more companies choosing to spread their budgets across the three main tiers of influencers, that means that not every creator will be well-versed in FTC regulations and how to remain compliant with them. ALO Yoga and a group of influencers found this out the hard way last summer, when consumer Alina Sulici filed a $150 million lawsuit claiming she was duped by undisclosed paid-for posts."

"It's a reminder that creators can't afford to ignore compliance and standards as the market matures. The CISR hopes to change that with its creator certification program through its new Institute for Responsible Influence (launching this spring, fees TBD), which will provide education on regulatory agency requirements, endorsement transparency and best practices. Creators who complete the program will be entered into an official, searchable database."

Creator economy growth raises legal and financial risk for influencers who fail to follow disclosure rules. BBB National Programs is launching a creator certification through its Center for Industry Self-Regulation (CSIR) to standardize disclosures, measurement and accountability. The program has backing from major ad associations and influencer agencies to close a compliance gap. The new Institute for Responsible Influence will offer education on regulatory requirements, endorsement transparency and best practices, with fees and a spring launch timeline. Certified creators will appear in an official searchable database, potentially steering brands toward certified talent and away from non-certified creators.

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