Instagram[3] Sponsored Posts are a method of online advertising[1] where popular celebrities or influential individuals promote a brand[4] or product on their Instagram accounts. This form of promotion is highly effective due to the large number of followers these influencers have. Brands pay these accounts to feature their content, with some top influencers charging substantial fees for these posts. However, this form of advertising[2] has been criticized for its lack of regulation and transparency, prompting the Federal Trade Commission to intervene. In response, Instagram has launched a new tool that clearly discloses sponsored content. Despite these efforts, the platform has faced accusations of limiting post visibility to a small percentage of followers.
Sponsored post, also known as a promoted post, is a post to any community-driven notification-oriented website which is explicitly sponsored as an advertisement by a particular company in order to draw a large amount of popularity through user promotion and moderation to the most active or most viewed page on the website. The model has become adopted by various ad-supported but community-driven websites as an addition, substitute or replacement of other pay-per-click advertisement formats, such as web banners, text and rich media. Sites and services which utilize sponsored posts include Digg, Reddit, Twitter, and Instagram.
Specifically referring to context of blogs, "sponsored posts" were defined by Mutum and Wang (2010) as "promoted blog entries or posts that contain links that point to the home page or specific product pages of the website of the sponsor for which the blogger receives compensation in the form of money, products, services or in other ways". They are also known as paid posts or sponsored reviews.
Sponsored posts can also serve as a means of curtailing the possibility of companies paying individuals to moderate a submitted link or media to the front page of the website, which often violates the spirit or letter of a site's Terms of Service.