Consumers benefit from visually salient standardized commercial disclosures on social media

Social media have become an essential part of our everyday lives. More than 85 pct. of the Danish population from the age of 12 and up are active users of social media1. However, commercial vs. social content is difficult to discern on social media and many consumers, especially children, are unable to identify advertisements on these platforms.

Disclosure of commercial intent is mandatory by law on social media. In practice, this disclosure can take many different forms, but to be compliant with the law this should appear clear to the consumer.

This analysis shows that whereas more than 90 pct. of consumers clearly recognize TV-like commercials, only around 50 pct. consumers correctly identify influencer advertisements on social media with the current disclosure practices. Standardized disclosure formats improves this, but visual salience is key