Gen Z-favorite retailer Revolve is under legal fire as a $50-million class-action lawsuit alleges the brand’s influencer marketing strategy misled at least a million shoppers by disguising paid endorsements as authentic recommendations.
Influencer Marketing Under the Microscope The lawsuit, filed in California Central District Court, accuses Revolve of violating federal trade law by running an advertising “scheme” in which influencers promoted products without clearly disclosing their paid relationships. “For
many years, Revolve used its position, payments and free merchandise to entice influencers to endorse and promote its products while failing to disclose any material relationship with the brand,” the complaint states.
Lead plaintiff Ligia Negreanu claims she paid 10% to 40% more for Revolve items, believing influencer posts were genuine. “Had she known the influencers’ posts were sponsored, she would not have purchased Revolve’s products at the prices she paid,” the lawsuit alleges.
Revolve’s affiliate companies and three influencers are also named as co-defendants. FTC Disclosure Rules and Industry Pressure The suit argues that Revolve’s paid influencers often merely tagged the brand’s Instagram account, rather than using FTC-mandated disclosures such as the “paid partnership” label or #ad hashtag.
“The problem comes when you don’t disclose,” said Bogdan Enica, one of Negreanu’s attorneys, adding that Federal Trade Commission guidelines require influencers to disclose any “material connection” with the brand…
