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An Influencer Contract is a newer type of agreement for use by social media influencers and the brands or businesses that they promote.
The "advertiser" in this contract does not have to be a traditional advertiser or marketer; the advertiser can simply be a brand or company owner looking for promotional help from the influencer. This agreement is created for the specific situation of an online influencer promoting the advertiser's products or services through social networks.
The rise of the social media influencers has led to an uptick in these types of relationships, with many more brands and companies looking to hire influencers to grow their customer base.
This document can be used for a one-time campaign, where the advertiser hires the influencer to help with one specific campaign for a specific time period, or for an ongoing relationship, where the influencer will promote the advertiser's products or services over time.
How to use this document
This document establishes the terms the advertiser and influencer have agreed upon. The influencer has certain responsibilities regarding the promotion of the products or services and the advertiser has their own responsibilities, such as payment.
Here, the parties will decide upon things like:
When this document is complete, both parties should sign it and each keep a copy.
Influencers and the practice of social media marketing have received attention from the Australian Competition and Consumer Commission (ACCC) in recent years. The Australian Consumer Law sets out a number of general rules that are likely to apply to influencers, including a prohibition on misleading or deceptive conduct. In some cases, if influencers fail to adequately disclose to their followers that they are being paid to promote certain goods or services, then they might be found to have made false or misleading claims. This can result in significant penalties for the influencer.
Influencers and advertisers should be aware of the Australian Influencer Marketing Council Code of Practice which has been developed through consultation with a range of industry participants, and provides a set of best practice guidelines.
Influencers and advertisers should also be aware of the Australian Association of National Advertisers Code of Ethics which provides guidelines for Australian advertising and marketing generally (including influencer marketing).
When influencers and advertisers are operating online and across international borders, they will also need to consider applicable laws in other jurisdictions. For example, the UK Code of Non-broadcast Advertising, Sales Promotion and Direct Marketing, and the USA Federal Trade Commission's Guides Concerning Endorsements and Testimonials in Advertising may be relevant in the UK and the USA respectively.
If the influencer and/or the advertiser have any concerns, they should seek legal advice.
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