CollectionsMar 12, 2026
Jessica McCormack Sends Gold, Gemstones Into ‘Orbit’McCormack looked to the 19th century’s “golden age” of astronomy when designing her new celestial-themed collection.
Policies & IssuesAug 11, 2016
FTC to Crack Down on Sponsored Internet Posts
The Federal Trade Commission will be tougher on paid endorsements and how they are disclosed, according to one recent report.
New York--Paid content is hardly something new, yet with the increasing influence of the digital world, a different set of issues has come to light.
As celebrities and “influencers” take to social media channels and Internet platforms in larger and larger numbers to best reach their audiences and fans, the lines between getting paid to post content and giving proper disclosure are blurring.
But the Federal Trade Commission has noticed and now is trying to crack down on sponsored posts, according to a Bloomberg report.
The latest includes an FTC complaint filed against Warner Bros. Home Entertainment, which charges that the entertainment company deceived consumers during a marketing campaign for its video game Middle Earth: Shadow of Mordor by failing to adequately disclose that it had paid online influencers to post positive videos online and didn’t tell influencers to include sponsorship disclosures clearly and conspicuously on the videos.
In addition to prohibiting the company from misrepresenting the paid video reviews as coming from impartial players, the FTC also specified the minimum steps that Warner Bros. must take to ensure it’s complying with the final order, including educating influencers on sponsorship disclosures, monitoring videos for compliance, and terminating or withholding payment when they see non-compliance.
The FTC did not respond to a request for comment from National Jeweler by press time but the Bloomberg report indicates that social media in particular seems to be a bit of a gray area when it comes to paid content and disclosure.
The FTC says it’s OK if #ad is at the beginning of a post, but not #sp and #spon, hashtags indicating a “sponsored” post.
“If consumers don’t read the words, then there is no effective disclosure,” Michael Ostheimer, a deputy in the FTC’s ad practices division, is quoted as having told Bloomberg. “If you have seven other hashtags at the end of a tweet and it’s mixed up with all these other things, it’s easy for consumers to skip over that. The real test is, did consumers read it and comprehend it?”
Earlier this year, the commission also brought a complaint against Lord & Taylor, charging that it “deceived consumers by paying for native advertisements,” including a seemingly objective article in Nylon magazine and on its Instagram that weren’t disclosed as paid content.
Lord & Taylor also allegedly paid fashion influencers to post a dress on Instagram, without disclosing that it had paid
them or given them the dress for free. Any compensation, including free products, must be disclosed, the FTC says.
Cecilia Gardner of the Jewelers Vigilance Committee said that though they don’t see too many paid sponsorships from jewelers that are not clearly labeled as ads online, any that did still would be subject to the same scrutiny as other advertisers.
“Jewelers should be aware of the rules governing online advertisements--it should be clear that ads are paid and not unsponsored testimonials,” she said.
In a 2014 column on National Jeweler addressing similar issues, the JVC’s Sara Yood said, “Consumers are savvy, so it is important to be transparent. This advertising should not be about tricking the consumer, but clearly providing the source of the content of the advertising.”
The JVC website also specifies that “a misrepresentation is material if it is likely to affect consumer’s choices or conduct regarding an advertised product or the advertising for the product.”
When it comes to social media, the FTC says if a post is “part of a sponsored campaign or you’re being compensated … then a disclosure is appropriate.”
While there is no special wording for how to do this, “the point is to give readers the essential information.” A simple disclosure, such as “Company X gave me this product to try …” would do. Or starting a Tweet with “Ad:” or “#ad” also would be effective.
Guidance on digital endorsements and testimonials as well as additional questions regarding social media and endorsements can be found on the FTC’s website.
Cecilia Gardner of the Jewelers Vigilance Committee said that though they don’t see too many paid sponsorships from jewelers that are not clearly labeled as ads online, any that did still would be subject to the same scrutiny as other advertisers.
“Jewelers should be aware of the rules governing online advertisements--it should be clear that ads are paid and not unsponsored testimonials,” she said.
In a 2014 column on National Jeweler addressing similar issues, the JVC’s Sara Yood said, “Consumers are savvy, so it is important to be transparent. This advertising should not be about tricking the consumer, but clearly providing the source of the content of the advertising.”
The JVC website also specifies that “a misrepresentation is material if it is likely to affect consumer’s choices or conduct regarding an advertised product or the advertising for the product.”
When it comes to social media, the FTC says if a post is “part of a sponsored campaign or you’re being compensated … then a disclosure is appropriate.”
While there is no special wording for how to do this, “the point is to give readers the essential information.” A simple disclosure, such as “Company X gave me this product to try …” would do. Or starting a Tweet with “Ad:” or “#ad” also would be effective.
Guidance on digital endorsements and testimonials as well as additional questions regarding social media and endorsements can be found on the FTC’s website.
More on Policies & Issues
The Latest
Events & AwardsMar 12, 2026
Johnny Nelson Wins David Yurman Gem Awards GrantNelson will be honored as the inaugural grant winner at the Gem Awards gala on Friday.
TechnologyMar 12, 2026
Caratwise Launches, Names Former Signet Exec CEO The new smart design software allows jewelers to configure, price, and confirm a custom engagement ring in real time for in-store customers.
Brought to you by
Is This You? Every Jeweler Has This Problem; We Have the Solution.Every jeweler faces the same challenge: helping customers protect what they love. Here’s the solution designed for today’s jewelry business.
SourcingMar 12, 2026
Grandview Klein Opens New Factory in South Africa The 10,000-square-foot diamond manufacturing facility officially opened in late February and employs 50 people.
Weekly QuizMar 05, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
Events & AwardsMar 12, 2026
MJSA ‘Future of Jewelry Making’ Scholarship Applications OpenThe MJSA Education Foundation’s scholarships support students pursuing jewelry careers.
AuctionsMar 11, 2026
‘Spectacular’ 26-Carat Diamond Going Up for Auction in London The largest white diamond to come to market in the U.K. in more than a decade, the VVS1, I-color stone is expected to top $1 million.
Brought to you by
DCA Enters a New Chapter in Jewelry EducationWith refreshed branding, a new website, updated courses, and a pathway for growth, DCA is dedicated to supporting retail staff development.
TechnologyMar 11, 2026
Cast Jewelry’s Rachel Skelly on Coming Back Online Only Skelly shares her plans for reimagining the fine jewelry retailer she re-acquired after it faltered last year.
CollectionsMar 11, 2026
Pyrrha Highlights ‘The Space Between’ In New CollectionThe collection takes inspiration from the emotional space between people, moments, and experiences.
IndependentsMar 11, 2026
From the Jazz Age to the Information Age: London Jewelers Turns 100In 2026, the jewelry retailer is celebrating a milestone only a small percentage of family-owned businesses survive to see.
IndependentsMar 11, 2026
Virginia Jewelers Raise Nearly $30K for Children’s HospitalThe group of jewelers held a jewelry raffle in support of the Children’s Hospital of Richmond at VCU.
FinancialsMar 10, 2026
Signet Jewelers’ Q4 Sales Fall Flat The jewelry giant released preliminary results for the fourth quarter and full year on Monday, with final results slated to come next week.
MajorsMar 10, 2026
Saks Global to Close 15 More StoresThe retailer also gave an update on its vendor partnerships.
TrendsMar 10, 2026
Messika Names Julianne Moore as AmbassadorThe award-winning actress is the “epitome of modern allure,” the brand said.
CollectionsMar 10, 2026
Gemstones ‘Bloom’ in Sorellina’s New CollectionThe “Bloom” collection draws from the flower power movement of the 1960s and ‘70s with inlay pendants offered in eight colorways.
Events & AwardsMar 10, 2026
Diamond-Studded Painting Shines at RJO Foundation AuctionThe unique piece was one of the custom works offered at the foundation's recent silent art auction, which garnered nearly $15,000 in total.
TrendsMar 09, 2026
Jake Gyllenhaal Is Bulgari’s Latest AmbassadorBulgari named Gyllenhaal as its brand ambassador for his embodiment of artistic depth, intellectual curiosity, and warmth.
Events & AwardsMar 09, 2026
TJS Announces 2026 Scholarship WinnersAwards were given to four students, one apprentice, and an emerging jeweler.
AuctionsMar 09, 2026
Joanna Carson’s Jewels Lead White-Glove SaleThe top jewelry lot of the late model’s estate sale, hosted by John Moran Auctioneers, was an Oscar Heyman & Brothers for Cartier necklace.
GradingMar 06, 2026
Tom Moses Leaving GIA After Nearly 50 YearsMoses, who started at GIA’s Santa Monica lab in 1976, will leave the Gemological Institute of America in May.
Lab-GrownMar 06, 2026
Charles & Colvard Files for Bankruptcy, Citing Price PressuresIncreased competition, falling lab-grown diamond and moissanite prices, and the rising cost of gold took a toll on the moissanite maker.
CollectionsMar 06, 2026
Zome’s ‘Solara’ Earrings Embody Celestial BeautyThe earrings, our Piece of the Week, feature pink tourmalines as planets orbiting around an aquamarine center set in 18-karat rose gold.
MajorsMar 06, 2026
Pomellato’s 2026 IWD Campaign Spotlights Economic Abuse“The Price of Freedom” campaign video for International Women’s Day confronts the quiet violence of financial control.
CollectionsMar 05, 2026
Common Era Honors ‘Difficult Women’ in CollectionThe ever-growing collection, which just expanded with the addition of Olga of Kyiv, features cameos of 12 women from history.
TrendsMar 05, 2026
Engagement Ring Trends 2026: What’s In, and WhyWe asked a jewelry historian, designer, bridal director, and wedding expert what’s trending in engagement rings. Here’s what they said.
Events & AwardsMar 05, 2026
AGS Announces Conclave 2026 Speaker LineupThe annual event will be held in Orlando, Florida, from Sept. 14-17.
