On social media, so-called influencers can be quite, well, influential, especially with their young audiences. But how much of what they recommend stems from being offered some sort of payment to do so, Denise Grech asks.
Social media application Instagram has become the new way of connecting with audiences and creating a loyal fan base. The feed of local online influencers is full of recommendations on the best products and places to eat. But how much of it is genuine?
According to industry insiders who spoke to The Sunday Times of Malta, hardly any of it is. Some of Malta’s major influencers are getting paid to post rave reviews of products and services, from skincare creams to ice cream parlours, often without disclosing they are getting paid to do so or that they have been given the product for free.
Brands can pay anywhere from €50 to €200 for influencers to post pictures with a product, industry stakeholders added.
The reluctance to disclose sponsorships could have potentially serious legal implications, they said. In the US, stars Kendall Jenner and Bella Hadid faced lawsuits after failing to disclose they were being paid to advertise a luxury music event that fell apart.
In Malta, authorities and influencers alike have been left scratching their heads over how to properly inform their young audience they are being paid to post about a product.
Lawyers in commercial practice said current regulations on comparative and misleading advertisements are already in place, however it is difficult to enforce them.
Brands can pay from €50 to €200 for influencers to post pictures
“It’s an unexplored area in terms of regulation, because the market is so new and has exploded so quickly that there was no reason to explore it before,” one lawyer said.
Also, regulators could hardly be expected to have someone scrolling through Instagram and phoning influencers up every time they suspect one of their posts is misleading.
The lawyers say a set of guidelines is needed to outline how and when to disclose sponsorships and paid product placement.
Influencers, however, have a moral responsibility to properly inform their audience when they are being paid to post about a product or when they are given a product for free, according to entertainer Chucky Bartolo, a social media personality in his own right and a former online journalist.
He warned it was “deceptive” and “irresponsible” not to disclose sponsorships, particularly because the audience on Instagram is made up of young teenagers who easily believe the influencers.
Adults can often see through posts being sponsored but young teenagers are susceptible to believing the recommendations are genuine, he explained.
A social psychologist who specialises in media literacy echoed his concerns.
“Followers of influencers feel they have come to know these people,” Mary Anne Lauri said.
“They feel that they are friends, and friends’ recommendations have a stronger influence on us than any advert,” Prof. Lauri noted.
The phenomenon is known as “parasocial interaction” – a phrase used to describe the illusionary experience where audiences see celebrities as friends. Brands have capitalised on this, with industry stakeholders admitting companies advise influencers that their posts should not look like an advertisement.
“It was an ad-hoc set-up, it happened overnight, and it blew up instantly. We didn’t have time to figure it out,” Mr Bartolo said.
Many influencers fear that disclosing sponsorships will lead to losing their audience. “My audience may get frustrated if they see my feed is full of advertisements, so I might lose support,” he said.
However, many were understanding enough to support their favourite social media darling being approached by large companies, he added.