The FTC updated its Endorsement Guides in June 2023 — the first major update since 2009. The changes expanded and clarified requirements in ways that directly affect affiliate marketers: clearer standards for what “clear and conspicuous” means, new rules for social media, and explicit guidance on AI-generated content.
This guide breaks down exactly what the current FTC rules require for affiliate marketers, what specifically changed in 2023, and what compliance looks like in practice for different types of affiliate content.
This article provides general educational information, not legal advice. For specific compliance guidance, consult a licensed attorney.
The Short Answer
The FTC’s current rules (as updated in 2023) require that any affiliate relationship that could influence a consumer’s decision must be disclosed clearly, conspicuously, and in close proximity to the recommendation. “Close proximity” means before the first link or recommendation in the content — not in the footer. “Clearly” means in plain English, not legal jargon. The 2023 updates added explicit rules for social media, platforms, and intermediaries, making brands and networks also potentially liable for non-compliant affiliate content.
What the FTC Endorsement Guides Actually Require
The FTC’s guides are not laws — they’re guidance on how the FTC interprets Section 5 of the FTC Act (which prohibits deceptive trade practices). Violations can result in civil penalties of up to $50,120 per violation for knowing violations.
The Core Principle
A “material connection” between an endorser and a brand must be disclosed when the connection could affect how consumers evaluate the endorsement. Being paid an affiliate commission is unambiguously a material connection.
What “Clear and Conspicuous” Means (2023 Definition)
The 2023 update provided the clearest definition yet:
A disclosure is clear and conspicuous when:
- It is easy to notice, read, and understand
- It appears in the same font size, color, and style as the surrounding content (not smaller)
- It appears before the first affiliate link or recommendation it applies to
- It stays on screen long enough to be noticed and read (for video/social)
- It is not hidden among other text or in a “terms and conditions” page
A disclosure is NOT clear and conspicuous when:
- It is only in the footer of a long-form review article
- It appears after all affiliate links in the article
- It uses vague language like “this post may contain links” without specifying compensation
- It is only available on a separate “disclosure policy” page
What the Disclosure Must Say
The disclosure must communicate the nature of the financial relationship — that you receive compensation. Specific required elements:
- You earn money or compensation from the links or recommendations
- The type of relationship (affiliate commission, free product, paid partnership)
Sufficient language:
- “I earn commissions from affiliate links on this page.”
- “Affiliate disclosure: I may earn a commission if you buy through the links on this page, at no extra cost to you.”
- “As an Amazon Associate, I earn from qualifying purchases.” (Amazon-required language)
Insufficient language:
- “This post contains links.” (doesn’t specify compensation)
- “Partner content.” (ambiguous)
- “Sponsored by [brand]” without indicating financial relationship (if not actually sponsored)
2023 Updates That Affect Affiliate Marketers
1. Platform and Network Liability
The 2023 updates explicitly noted that “advertisers, networks, and platforms share responsibility for ensuring disclosures are made.” This doesn’t directly change what individual affiliates must do, but it means affiliate networks (ShareASale, CJ, Impact) have increased incentive to enforce compliance in their publisher agreements.
Practical implication: Affiliate programs are more likely to audit their publishers for FTC compliance and terminate non-compliant affiliates.
2. AI-Generated Content Disclosure
The FTC stated that AI-generated endorsements carry the same disclosure requirements as human-generated ones. If an AI writes a product review that you publish on your site, and you earn affiliate commissions from it, the same disclosure requirements apply.
AI writing the content doesn’t eliminate the disclosure obligation — because the financial relationship (your affiliate commission) still exists and could influence whether you publish positive vs. negative content.
3. Social Media Disclosures
The 2023 update clarified social media disclosure standards:
- Disclosures must appear in the post itself, not just in the bio or below the fold
- “Ad” or “#ad” at the beginning of a post is sufficient for social media
- For stories: disclosure must be on-screen long enough to read (not just a quick flash)
- Disclosures in a list of “#hashtag #ad #affiliate #sponsored” are insufficient — “ad” must be prominent
4. Negative Reviews Under Affiliate Programs
New guidance clarified that paying an affiliate commission for reviews constitutes a material connection even if the brand doesn’t control the review content. An affiliate who earns commissions from a product’s sales has a financial incentive to write positive reviews — this must be disclosed regardless of whether the brand has editorially influenced the content.
Compliance Checklist for Affiliate Sites
| Requirement | Compliant Implementation |
|---|---|
| Page-level disclosure | Visible at the top of every article with affiliate links, before first link |
| Disclosure language | Explicitly mentions commissions or earnings |
| Email disclosure | Before the first affiliate link in every email |
| Social media | ”#ad” or “ad” at the beginning of posts with affiliate links |
| Amazon Associates | Verbatim language: “As an Amazon Associate I earn from qualifying purchases” |
| AI content | Same disclosure requirements as human content |
| Video content | On-screen text disclosure at start of video, verbal mention |
Practical Disclosure Implementation
WordPress implementation: Create a custom shortcode or block that inserts the disclosure text automatically at the top of every post with an “affiliate” tag. This prevents forgetting to add it manually.
Astro/static site implementation:
Add a conditional disclosure component to your article layout that renders when a frontmatter field hasAffiliateLinks: true is present.
Email implementation: Add a standardized disclosure line to your email template, before the first content section. Something like: “This email may contain affiliate links. If you purchase through these links, I earn a commission.”
Social media: On Instagram: “Ad | Commission earned on purchases” in the first line of the caption. On TikTok: “#ad” in the first line of description + verbal mention in the first 5 seconds.
Common Mistakes
1. Single sitewide disclosure page treated as sufficient A standalone “affiliate disclosure” page linked from the footer satisfies nothing on its own. Every page with affiliate content needs its own disclosure that appears before the first link.
2. Disclosures that sound like they might be affiliate links but don’t confirm it “This post contains links to products I love” is unclear about whether you earn from those links. Use explicit language: “I earn commissions from purchases made through links on this page.”
3. Assuming international = no FTC rules The FTC’s jurisdiction applies to US commerce. If you target US consumers (US-based affiliate programs, US-currency pricing), FTC rules apply regardless of where you’re based.
4. Not disclosing free products received for review Free products are a material connection. If an affiliate program sent you a product to review, and that review contains affiliate links, disclose both: “I received this product for free. This review contains affiliate links.”
5. Using “as always, this post contains…” phrasing “As always” is a disclosure red flag — it implies the disclosure is routine and not specific. Each disclosure should be direct and present-tense: “This post contains affiliate links. I earn from qualifying purchases.”
FAQ
Has the FTC ever fined an individual affiliate blogger?
Rarely and almost never for small publishers — FTC enforcement has focused on celebrities, major influencers, and brands. However, Amazon Associates and other programs actively terminate affiliates for non-compliance. The immediate enforcement risk is program termination, not FTC fines.
Do I need to disclose if I only link to Amazon without any direct affiliate relationship with the brand?
Yes — the affiliate relationship is with Amazon (as an Associate), and that relationship must be disclosed regardless of what you’re reviewing. Amazon even requires specific language: “As an Amazon Associate I earn from qualifying purchases.”
Is a banner ad the same as affiliate marketing for disclosure purposes?
Display ads paid by impression or click (like Google AdSense) typically don’t require the same level of disclosure as affiliate recommendation content. The FTC guidance is more stringent when you’re actively endorsing or recommending a specific product.
What should I do if I receive an FTC complaint about my disclosure?
Add immediate compliant disclosures to all affected pages. Document the change. Respond to the FTC complaint promptly and cooperatively if you receive formal correspondence. First complaints typically result in warning letters and requests to correct the issue, not immediate civil penalties.
Are affiliate link cloaking and FTC compliance related?
They’re independent. Cloaking doesn’t eliminate the disclosure requirement — the disclosure is about the financial relationship, not the appearance of the link. You must disclose even if the link is cloaked.
Get the Full System
Legal compliance is part of the technical setup module in AI Affiliate Marketing Mastery. The full course covers disclosure templates, privacy policy implementation, and compliance monitoring.
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Related
- AI Affiliate Technical + Advanced — Module 6 pillar
- Legal Disclosures for Affiliate Sites 2026 — all required legal documents
- WordPress Affiliate Stack 2026 — where to implement disclosures
- AI Affiliate Marketing Mastery Course — course hub