Working with influencers and content creators can introduce your business to new audiences. But when a post is paid for or rewarded, followers have a right to know. The ACCC has made influencer marketing and online reviews a focus of its compliance work. This guide explains the essentials for businesses in plain language. It isn't legal advice.
This guide is general information written in our own words, based on the official sources listed at the end. Laws, regulator guidance and platform rules change, and how they apply depends on your business, so check the official source and get legal or professional advice where you need it. We don't recommend particular agencies, tools or platforms, and we never promise results.
Why disclosure matters
People trust recommendations from people they follow. If a post looks like an independent opinion but is actually paid for, followers may be misled. The ACCC says the Australian Consumer Law applies to social media advertising in the same way as other types of advertising, and that businesses must not make false or misleading claims when promoting themselves.
What counts as a commercial relationship
A commercial relationship isn't limited to cash. It can include:
- payment for a post,
- free products, services or gifts,
- discounts, commissions or affiliate payments,
- trips, event tickets or other benefits, and
- an ongoing ambassador or brand relationship.
If any of these apply, the relationship should be disclosed.
How to disclose
Disclosures should be clear, prominent and upfront, so a follower sees them before or as they see the content. Plain labels that clearly say the post is an ad or sponsored are better than vague or hidden ones. Disclosures buried among hashtags, hidden behind "more", or only in a profile bio may not be clear enough. Use any platform tools for labelling paid partnerships as well.
Businesses share responsibility
The ACCC's sweep of influencer marketing looked at influencers, and it has said it will also consider the role of brands, advertisers, marketing firms and platforms in facilitating undisclosed advertising. As the business commissioning the content, you should:
- require clear disclosure in your agreements,
- check posts before or after they go live,
- ask for corrections if disclosure is missing, and
- keep records of what you agreed and provided.
Honest content
Disclosure alone doesn't fix misleading content. Claims an influencer makes about your product must be accurate and backed up, just like your own ads. Don't ask influencers to misrepresent their experience, and don't script fake testimonials. See our advertising law guide.
Reviews and gifting
If you send free products in exchange for reviews, the same principles apply as for incentivised reviews: the incentive should be disclosed. The ACCC found that undisclosed incentivised reviews were a widespread issue in its review sweep. See our online reviews guide.
Choosing creators
Choose creators whose audience matches your target customers and whose values fit your business. Look at the quality of engagement, not just follower counts, and be cautious of accounts with suspicious audiences.
Measuring results
Agree in advance how you'll measure a campaign, such as tracking links, discount codes or enquiries, and compare results against your goals.
A simple agreement checklist
Agreements with creators should cover what you'll provide, what they'll create, how and where the commercial relationship will be disclosed, approval or review of content, timing, usage rights, and what happens if disclosure is missing or claims need correcting. Keep a copy of the agreement and the published posts.
Affiliate links
If people earn a commission when followers buy through their links, that's a commercial relationship too and should be disclosed clearly near the link. The same applies to your own website if you use affiliate links.
Try the email marketing checker
Our free email marketing checker asks six quick questions about consent, identifying your business, contact details and unsubscribing, based on ACMA's guidance on the Spam Act 2003. It shows what to fix if anything is missing. It runs entirely in your browser, and nothing you answer is sent anywhere.
Where our information comes from
Factual statements in our guides are based on official sources, including the ACCC, the Australian Communications and Media Authority (ACMA), the Office of the Australian Information Commissioner (OAIC), business.gov.au and Google Search Central. We link to each source at the end of the page and write everything in our own words. We don't publish invented statistics, benchmarks, case studies or testimonials.
Rules and platforms change
Consumer, spam and privacy rules are reviewed from time to time, regulators update their guidance, and digital platforms change their features and policies often. Treat our guides as a starting point, and check the official source, or get legal or professional advice, before making decisions that matter for your business.
Free official help
business.gov.au publishes free guidance and templates on marketing, advertising and online reviews, and can be contacted on 13 28 46. The ACCC, ACMA and OAIC each publish plain-language guidance for businesses on their websites. State small business commissioners and small business development centres also offer information, workshops and, in some cases, low-cost advice.
Marketing on a small budget
You don't need a big budget to market well. Many of the most effective activities for small businesses cost little except time: a clear, helpful website; accurate local listings; genuine reviews; a simple email list built with consent; consistent social media on one platform; and great service that earns word of mouth. Start with these, measure results and invest more where you see returns.
Working with agencies and freelancers
If you hire help, be clear about your goals and budget, ask for examples of similar work, agree what will be delivered and how results will be reported, and make sure you keep ownership of your website, accounts and customer data. Be wary of anyone promising guaranteed results. Remember that you remain responsible for what is published on your behalf.
Accessibility helps everyone
Making your marketing accessible helps more people use it. Use clear headings and plain language, add descriptive alt text to images, make sure text contrasts well with backgrounds, caption videos, and check that your website and emails work well on phones and with screen readers. Accessible marketing is usually clearer marketing for everyone.
Consistency builds recognition
Use the same business name, logo, colours and tone across your website, listings, social media, emails, signage and printed material. Consistency makes your business easier to recognise and remember, and helps customers trust that they've found the right business. A simple one-page style guide can help anyone who creates content for you.
Look after existing customers
It's often easier to win more business from existing customers than to find new ones. Thank customers, follow up after a sale, ask for feedback, and give them reasons to come back, such as useful updates or offers for regulars. Happy customers also tend to recommend you to others, which is some of the most valuable marketing there is.
A quick checklist
If you remember only a few things from our guides, make them these: know who your customers are; set goals you can measure; be helpful rather than salesy; make every claim accurate and provable; get consent before emailing or texting; never fake or manipulate reviews; disclose paid partnerships; and review what's working regularly.
Corrections and feedback
We review our guides against their sources and show the date each page was last checked. If you notice something out of date or incorrect, please tell us through our contact page. We read every message and correct mistakes promptly.
Key points
- Paid, gifted or otherwise rewarded posts should be clearly disclosed.
- Commercial relationships include free products, discounts, commissions and trips.
- Disclosures should be clear and upfront, not hidden.
- Businesses share responsibility for disclosure and accuracy.
- Disclosure does not make misleading claims acceptable.
Frequently asked questions
Do influencers have to disclose paid posts?
The ACCC expects commercial relationships, including payment, free products and other benefits, to be clearly disclosed.
Is the business responsible, or just the influencer?
The ACCC has said it will consider the role of brands, advertisers and marketing firms, not just influencers.
What wording should be used?
Clear, upfront labels that make the commercial relationship obvious. Vague or hidden labels can be misleading.
Can I tell an influencer what to say?
You can brief them, but content must not be false or misleading, and their views should be genuine.
Sources and further reading
Facts on this page were checked against these primary and official sources. Conditions change — confirm before you travel or buy.
