Influencer Marketing and Disclosure in Australia: What You Need to Know

An overview of why disclosure matters, how to do it and the unexpected benefits of disclosure in Influencer Marketing in Australia.

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Influencer marketing has become one of the most powerful tools for brands looking to reach their target audiences. In recent years, influencer marketing has come of age, but with this growth comes greater responsibility for brands and influencers alike. It’s not enough to just work together in a transactional way; it’s important for both parties to have an ongoing relationship based on trust and mutual respect. In Australia, there are also specific requirements around disclosure of commercial content, so let’s take a look at what you need to know.

Why Disclosure Matters

For Influencer marketing and disclosure in Australia, it is mandatory to be transparent about any commercial relationships between brands and influencers. Under the Australian Consumer Law, misleading or deceptive advertising is prohibited. If an influencer fails to disclose sponsored content on their profile, it could be considered a violation of this law and this could result in the influencer being held liable for fines as a result of the misleading or deceptive conduct. It is therefore crucial for influencers to be transparent and disclose any sponsored content to avoid any potential legal issues. Right now, it’s also a key focus area of the ACCC.

When it Comes To Disclosures, Transparency is Key to build trust

It is important for brands and influencers to be clear and transparent about their relationships with each other. In today’s digital age, consumers are savvier than ever and can easily spot when an influencer is being paid to promote a product or service. This can lead to mistrust and a negative perception of the brand. However, when brands work in partnership with influencers and are transparent about their commercial relationships, they can build trust and credibility with their audience.

What is considered a commercial relationship

A commercial relationship between influencers and brands refers to any type of partnership where the influencer is promoting or endorsing a product or service in exchange for something of value. This can include, but is not limited to, monetary compensation.

In addition to being paid money, other forms of compensation that could be considered part of a commercial relationship include receiving products for free, attending events or experiences, or being sent gifts. In other words, when an influencer is receiving something of value in exchange for promoting a brand, it is considered a commercial relationship.

How to disclose

Using the platform’s native disclosure tool such as the paid partnership on Instagram or including #ad or #sponsored hashtags in a clearly visible location makes it clear for followers that what they are seeing is sponsored content.


Paid partnership disclosure example



Additionally, if the relationship between brand and influencer goes beyond a single post or campaign, then disclosure should be made every time that particular influencer promotes the brand’s products or services. This will help ensure transparency and prevent any confusion among followers about the nature of the relationship between brand and influencer.

Influencer Partnerships Are More Important Than Ever

Working with influencers in partnership is more important than ever before because it offers brands an opportunity to build trust over time with their customers. Creating positive long-term relationships ensures loyalty from customers who appreciate being kept informed by their favourite influencers throughout their journey with your brand. Additionally, working with influencers in partnership allows you to create engaging content which reaches your target audience more effectively than traditional advertising techniques alone can do.

It’s clear that when done correctly, working with influencers can be incredibly beneficial for brands looking to reach new audiences and increase customer loyalty over time. However, when engaging in influencer marketing activities in Australia there are strict disclosure rules which must be adhered too – failure to do so could result in serious consequences for both brand and influencer alike! By ensuring all disclosures are made clearly, openly and consistently throughout your campaigns you can ensure that your brand remains transparent while still building strong relationships with its customers through effective partnerships.


Sharyn Smith

CEO & Founder – Social Soup

Current AiMCO Chair