576 Influencers Were Spot-Checked by the EU. 97% Were Running Ads — Only 20% Honestly Disclosed Them

I was scrolling recently and came across a data point that startled me.

Influencer Marketing Hub's 2024 report says the global influencer marketing market has reached $24 billion. $24 billion. More than 85% of brands and PR firms say they plan to use or are already using influencer marketing, and a quarter of them intend to pour 40% or more of their marketing budget into it.

What does that mean?

Television ad budgets are migrating en masse — into the phones of ordinary people.

Why the move? Because brands discovered that the same amount of money invested in an "everyday creator" with tens of thousands of followers yields far better results than spending it on a TV station. Viewers can no longer tell — and don't care — whether it's an ad or not. It feels like the girl next door who loves photography recommending something she genuinely likes.

Sounds lovely.

But in 2024, the EU did something. The European Commission, together with consumer protection authorities from 22 member states plus Norway and Iceland, combed through every post from 576 influencers across seven major platforms: TikTok, Instagram, YouTube, Facebook, X, Snapchat, and Twitch.

And the result?

97% were posting commercial content. Only about 20% dutifully disclosed "this is an ad."

Nearly four in ten wouldn't even use the platform's built-in "paid partnership" tag, opting instead for vague language like "collaboration" or "thanks to the brand." 36% hadn't registered as traders in their country. Three in ten didn't even list their company information.

I'm not exaggerating. This is the state of things.

When an Influencer Doesn't Disclose an Ad, Whose Fault Is It?

You might say: well, that's obviously the influencer's problem.

Not so simple. First, think about why they don't disclose.

Let me tell you about a very real mindset. Many influencers genuinely believe one thing: the moment they tag something as an "ad," likes, comments, and shares all drop — and with them, their market value. So if they can avoid disclosing, they will. If they can be vague, they will.

But here's the interesting part — what does the research say? Some studies say that disclosure actually has little impact on engagement metrics; the drop comes from the fact that it's an ad and audiences just don't love ads. Other studies say that once rules kick in, the numbers do dip. The evidence is contradictory.

You see, at the end of the day, these are people making choices between algorithms and livelihoods.

And here's what makes it more complicated: it counts as advertising even without a contract. A brand gives you a free trip, sends a box of free products — even without a contract in black and white, the moment you post, it's commercial content. But most influencers don't see it that way. They think, "I didn't get paid" or "I genuinely like this myself" — why should they have to disclose?

Viewers are even more confused. They can't tell whether it's a genuine recommendation or a paid placement.

Platforms Are Playing Dumb

There's a third suspect here: the platforms.

Someone studied TikTok and found a very clever move: TikTok calls all its users "creators." You post a cat video — you're a creator. You take a brand deal — you're still a creator. One word, and the line between "regular person" and "business operator" is completely erased.

But who gets to turn on monetization, and what content gets pushed — that's the platform's call.

Equal in name. Wildly unequal in the wallet.

The EU had had enough. In May 2025, the European Commission issued a preliminary finding against TikTok: ad content, who paid for it, and who it was targeted at — TikTok hadn't provided enough of that information. In October of the same year, they came for Meta: users wanting to report illegal content or appeal content moderation decisions weren't given an easy way in.

What Else Is Hiding in a $24 Billion Market?

Not disclosing ads is just the appetizer.

The fake. A crop of up-and-coming influencers will pretend they have brand deals to build credibility, waiting for real contracts to come knocking. Another group simply buys fake followers, fake likes, fake views. A 2023 study uncovered an underground market where you could shop by quality, delivery speed, country, and even the gender of the fake accounts. Consumers get duped. Brands get duped. And here's the weird part: research found that even when audiences suspect the followers are fake, the mere appearance of being popular still drives up perceived influence.

The ugly. Beauty and fitness influencers go wild with filters, photo editing, and lighting — shooting themselves into flawlessness: slim, toned, muscular, with a perfect set of white teeth. What happens when you consume this content constantly? A 2022 study linked Instagram use to decreased body satisfaction. A 2025 study was even more blunt: frequently viewing beauty influencer content leads to more self-objectification, greater body dissatisfaction, and a stronger feeling of "everyone looks like this, so I should too." A 2024 study even connected this type of content to eating disorder symptoms.

But there's a twist here. In recent years, a wave of counter-movement influencers has emerged, posting under the #NoFilter tag and advocating for body acceptance. Research says people who watch this content actually find emotional comfort.

The harmful. In the EU's 2024 sweep, one in five influencers was pushing junk food, alcohol, cosmetic procedures, gambling, or cryptocurrency. Some specialized in pushing counterfeits — a study conducted in the UK across two rounds of investigation estimated that among active social media users aged 16 to 60, 22% bought counterfeit goods because an influencer recommended them. Fakes are cheap, but the wages and working conditions in the factories behind them — you can imagine.

Another kind of fake. In 2024, UNESCO surveyed content creators across 45 countries. 63% of creators admitted they don't verify information before posting. And among those who claimed "I do fact-check," quite a few cited methods like: checking whether the original post had a lot of likes, or whether they'd had a similar personal experience.

Good Lord.

The smallest victims. Then there's the term "child influencer" — in English, "kidfluencer." Some are kids filming themselves, but more often it's the parents pulling the strings. Content, business deals, income — all controlled by the parents. A 2024 study of child influencers aged 7 to 12 in the Netherlands, the UK, and Belgium found that these accounts present nothing like the children's real lives — they present "what the parents want the children to appear to be." A 2025 study was even sharper, directly defining the phenomenon as "a new form of child labor" that turns children's play into work. Privacy violations, economic exploitation, psychological harm — all of it. And the money these children earn often doesn't end up in bank accounts under their own names.

The EU's Legal Toolbox Isn't Actually Empty

At this point you might ask: doesn't the EU regulate this at all?

It does. But in fragments.

The EU doesn't have a dedicated "influencer marketing law." Influencer marketing is governed by a pile of horizontal regulations: consumer protection law, the Audiovisual Media Services Directive (AVMSD), the Digital Services Act (DSA), and the Digital Markets Act (DMA).

Each hammer hits a few nails, but none of them was forged specifically for this one.

For example, Article 7(2) of the Unfair Commercial Practices Directive (UCPD) defines "failing to disclose commercial intent" as a misleading omission. Point 11 of Annex I prohibits failing to identify paid promotion in media content. Point 22 prohibits pretending to be an ordinary consumer. Point 28 prohibits directly exhorting children to buy things or pestering their parents to buy.

Then there's the DSA. Article 26 requires online platforms to give users the ability to declare commercial content, so users can recognize ads in real time. Article 28 prohibits targeted advertising to minors. Article 30 requires platforms to collect identifying information from influencers operating as traders.

The DMA doesn't directly regulate influencers, but it governs those gatekeeper platforms, preventing them from combining personal data across services for targeted advertising. Some analysts believe this may actually make brands more willing to invest in influencers, because influencers allow brands to reach audiences precisely, bypassing the platforms' own advertising systems.

The European Commission also set up an "Influencer Legal Hub," providing training videos, research reports, national guidelines, and EU court cases for influencers, brands, and agencies. Behind this Hub are five principles set by the Consumer Protection Cooperation network:

1. Clearly disclose the commercial nature in the language of the post.
2. Disclosures must be prominent and distinguishable from other content.
3. Disclosures must be placed where viewers can see them at a glance.
4. Businesses should also study how audiences actually perceive different disclosure formats.
5. When content may be seen by children, disclosures must be understandable to children.

France, Spain, and the Netherlands Moved First

EU law is a floor, not a ceiling. Several member states have already added their own layers.

France was the first EU country to pass a dedicated influencer law. Law n° 2023-451 of June 2023, amended several times since. Sponsored or paid posts must clearly carry a "commercial content" label. Retouched images must carry the notation "images retouchées" (retouched images). AI-generated images must carry "images virtuelles" (virtual images). There are also entire categories that influencers are simply prohibited from touching: cosmetic surgery, pseudo-medical treatments, nicotine products, certain wildlife, some financial services, sports betting advisory, and gambling. Foreign influencers targeting the French market must designate a legal representative within the EU and carry liability insurance.

Spain issued Royal Decree 444/2024 in April 2024. The threshold: annual income over €300,000, or more than 1 million followers with at least 24 videos posted in the previous year. Influencers above this threshold are brought under Spain's audiovisual communication regulatory framework — they must register, disclose commercial content, and may not push inappropriate content to minors.

The Netherlands took the industry self-regulation route. The Social Media and Influencer Advertising Code (updated July 2022) specifies disclosure methods for each platform: how to label video content, image-and-text content, podcasts, and livestreaming — all spelled out clearly. Using a single #ad tag is acceptable, but it can't be buried in a pile of other tags. Merely mentioning a brand name isn't enough. Ads targeting children must use disclosures that children can understand. The code also explicitly prohibits buying fake followers and fake likes. Accounts with more than 500,000 followers must additionally comply with the Dutch Media Act.

National guidelines are getting denser. The Belgian Advertising Council, the Finnish Consumer Ombudsman, and the Irish Competition and Consumer Protection Commission are all issuing detailed rules, examples, and telling influencers "this is how you disclose compliantly."

What Are the Three Sides Arguing About?

Whether to pass new legislation — the industry is fighting hard over this.

Consumer organization BEUC has been demanding that the EU pass hard rules. Back in 2023, they called for a legal definition of "influencer marketing," for a default presumption of commercial intent whenever there's consideration, for unified EU-wide disclosure rules, and for joint liability across influencers, agencies, and brands. Their December 2025 position paper went further: people under 15 should not be allowed to be influencers, nor should they appear in influencer marketing content.

The brand side, AIM (European Brands Association), says there should be a clear legal definition of "influencer" and shared responsibility across the chain — but argues that for responsible marketing in categories like food and alcohol, industry self-regulation is already sufficient.

The influencer industry's own coalition, EIMA, has a clear stance: no more new laws — give practical guidance and strengthen enforcement instead. They welcomed the Influencer Legal Hub.

TikTok's position: don't make me carry duplicate obligations — influencers and brands need to understand the rules themselves first. Don't prescribe rigid "must label exactly this way" hard rules. They actually suggest creating a centralized regulatory and enforcement body to go after large-scale violations.

A $24 Billion Industry, Waiting for a New Yardstick

What happens next? The European Commission's 2026 work plan includes, under the priority of "Protecting Democracy and Upholding Values," a legislative initiative: the Digital Fairness Act, planned for Q4 2026.

This act targets several things: misleading influencer marketing, dark patterns (using interface design to manipulate user decisions), addictive design in digital products, and personalized recommendations that exploit consumer vulnerabilities. The public consultation closed on October 24, 2025. In May 2024, the Council of the EU also issued conclusions calling on member states to promote responsible influencer behavior, strengthen audiences' media and digital literacy, and conduct deeper research into the situation of child influencers.

But this act arrives at an awkward moment.

Because right now, the EU simultaneously wants to protect consumers AND is calling for "cutting red tape and boosting competitiveness." The Digital Fairness Act will be a litmus test: can the EU protect consumers from hidden ads, fake followers, and over-retouched faces — without strangling a $24 billion industry in the process?

I don't know the answer. But this question is worth every person scrolling on their phone thinking about.

After all, of those 576 influencers, the 80% who didn't honestly label their ads — every post they publish might be in your feed right now.