How does an Influencer Contract Work?

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How Do Influencer Contracts Work?

January 7, 2021         Phillip Salakas

An influencer contract is a legally binding contract which governs the relationship between a content creator and a brand. Their role essentially outlines the key aspects in engaging an influencer in social media campaigns (aka influencer marketing), and are being frequently used in this space.

What Does an Influencer Contract cover? 

There are some key clauses to include in your contract when drafting your influencer agreement.

Duration of the Post 

Deciding how long a post will stay on an influencers social media account is vital. This is a common issue, as brands expect maximum exposure for their money. Defining a clear date within your influencer agreement is a good way to ensure you as a brand get the exposure you have paid for. Also on the influencers side of things it sets out clearly what the company you are working with expects. Keep in mind, an influencer agreement can also outline how consistently an influencer must post about your brand. 

Payment and the Quality of Work 

The ways in which you pay an influencer needs to clear. Whether you pay per post or give a lump some for general promotion of the brand. It is important to set out clearly what you want. It’s up to your brand or business to specify a payment method and it will be a key clause in any influencer agreement. 

It’s also encouraged that you set a clause in your influencer agreement for the quality of work expected. This could be ensuring photos or content is kept to a specific resolution or ensuring certain details you have asked for are in the influencers post. 

Copyright Issues 

Influencers and content creators can sometimes have issues with copyright. Whether this be a piece of background music or an unauthorised use of a logo. It is highly recommended that there is a clause in your influencer agreement which protects you in these situations. 

Also deciding who owns the content the influencer creates is something that is worth addressing from the get go. It is critical that the brand and the influencer agree on the assignment of rights and ownership. Some brands want to own the content so they can distribute across multiple platforms and mediums. Also some brands like to reuse content they have paid for months or sometimes years later after the original campaign. 

This is something you should consider when drafting your influencer agreement. This is because dealing with copyright problems brought by an influencer can be time consuming and costly. 

Exclusivity 

Whether your influencer will work exclusively for you and not for other competitors is something you need to discuss. 

Can an influencer produce and post content on their page of a competitor’s product? Do you want your product posted alongside another brand?

These are questions that your influencer contract can address.

However, keep in mind, it is uncommon for influencers to operate on this basis. They are most likely going to post other products on their page. As long as you keep your requests reasonable your content creator can work with you.

Influencer Marketing Laws 

It is worth making note of following changes to advertising laws that have taken place over the last couple of years. Just to keep businesses and content creators who advertise in the social media space up to date. 

The laws around influencer advertising have changed recently. The Australian Association of National Advertisers Code of Ethics now requires influencers to disclose that a post is a paid endorsement. Instagram has adopted this onto its platform as well. Brands are now actively using the disclosure feature showing their audiences when they have paid an influencer. 

It is worth noting, that while this is not the law. The law will still consider someone not disclosing a paid campaign with an influencer an example of misleading and deceptive conduct. 

To Sum Up

  • Influencer contracts are a great way to ensure your business is protected when working with an influencer
  • They also outline for both parties a legal structure for an influencer marketing campaign
  • This actively helps avoid disputes between businesses and influencers

If you need any assistance in drafting your influencer contract or need more information our contract lawyers are here to help. Just call us at 1300 337 997, or complete the form on this page. 

About Phillip Salakas

Phillip is completing his law degree at the University of Technology (Sydney). He worked previously with Lawpath, and Justice Action. His interests are with construction and technology law.