FTC Cracks Down on Fake Followers with New Rule
The Federal Trade Commission (FTC) has introduced a new rule aimed at curbing the practice of purchasing fake followers on monetized social media accounts. This move is part of the agency’s efforts to address deceptive indicators of influence that could potentially mislead consumers.
Under the new regulation, both creators and brands are prohibited from buying fake engagement to boost their perceived popularity. The rule specifically targets those who misrepresent their influence or importance for commercial purposes, aligning with the FTC’s mandate to protect consumers against deceptive advertising and harmful practices.
Katherine Armstrong, a former FTC attorney, explained that while the rule doesn’t establish new principles, it provides the agency with a stronger framework for enforcement and monetary relief in cases of violations. “This new rule offers an additional enforcement mechanism for the FTC,” Armstrong stated.
The FTC has defined fake followers as including bots, hijacked real user accounts, and accounts imitating real people without consent. To remain compliant, influencers and brands must avoid engaging with these types of accounts.
Robert Freund, an advertising and e-commerce lawyer, noted that even organic posts featuring fake followers could be considered commercial content and subject to FTC scrutiny. “Brands that purchase fake followers or likes to appear more popular are at risk of FTC action,” Freund warned.
It’s important to note that the rule does not target social media users who buy fake followers for personal clout without commercial intent. Personal accounts not used for monetization are exempt from the new rule’s enforcement.
This regulatory action aims to create a fairer and more transparent social media environment by targeting deceptive practices. As the digital landscape continues to evolve, both influencers and brands must exercise caution to avoid engaging in activities that could mislead consumers and attract regulatory action.