As more and more companies voluntarily implement measures to enhance transparency among their user base, this month, YouTube introduced the option for creators to feature paid promotion disclosures on video content.

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The disclosure may be added to existing or new videos and features visible text on the video for the first few seconds as viewers watch the content, informing them of a paid promotion. The company acknowledges that “viewers appreciate transparency when brands and creators collaborate on paid promotions such as product placements, sponsorships or endorsements.”

YouTube is no stranger to native advertising. Last year, the video-sharing platform unveiled TrueView Cards and Shopping Ads – interactive spins on its skippable pre-roll ad format that let brands include information about a product featured in an ad as well as links to a brand’s website.

TAKEAWAY: Transparency with users is essential in the world of online native advertising, where the line between editorial content and paid advertising may be blurred. Before running native ads, companies should ensure ads clearly and conspicuously disclose any material connections between the speaker and the advertiser that could affect consumers’ judgment as to the objectivity of the speaker.