Following the news that the FCA will bring in new guidance for buy now, pay later, Klarna has set up an ‘Influencer Council’.
In Brief:
Social media influencers are becoming a key method of advertising for many brands.
However, this comes with a lot of risk especially in a highly regulated industry like financial services.
The Council aims to deliver clarity for consumers, brands, influencers and advertising bodies on what’s acceptable.
What does this mean?
The move has probably been brought about not only by the move to regulate BNPL but also the increasing rules an regulations over influencer marketing that have come into place over the past few years.
Some guidelines are clear, such as notifying consumers when a product has been #gifted or when a social post is a paid #ad, but mistakes are often made and with financial services products the implications of what is being sold can carry even more risk.
Klarna has commissioned research into consumer attitudes to money management and how a consumer would engage with money guidance offered by an influencer.
