What is the primary legal distinction between sponsored content and advertorial content concerning disclosure?

The primary legal distinction between sponsored content and advertorial content concerning disclosure lies in the clarity and prominence of the disclosure statement. Both require clear and conspicuous disclosure that the content is paid for by a brand. However, sponsored content, often integrated more seamlessly into a publisher's existing content, requires an equally seamless yet unmistakable disclosure, typically labeled as 'Sponsored' or 'Advertisement'. Advertorial content, which is designed to resemble editorial content, demands an even more prominent disclosure, typically stating 'Advertisement' at the top to avoid any ambiguity. The key is ensuring the average consumer can easily recognize the paid nature of the content, regardless of its format. Failure to clearly and conspicuously disclose the paid nature of either sponsored or advertorial content can be deemed deceptive advertising under FTC guidelines, leading to potential legal consequences.