Lord & Taylor will settle federal charges that it deceived customers when it paid for Instagram posts and a website article to promote a new clothing line without disclosing that they were advertisements.
The department store chain gave 50 popular trendsetters on Instagram a free dress and paid them as much as $4,000 to post a picture of them wearing it, the Federal Trade Commission said Tuesday. The posts reached more than 11 million Instagram users and the dress sold out, according to the FTC.
