Male personal care brand Dr. Squatch has voluntarily discontinued a selection of affiliate posts on TikTok Shop following a National Advertising Division (NAD) investigation.
This followed a complaint brought forward by Procter & Gamble (P&G), the consumer goods giant behind Pampers, Olay and Head & Shoulders.
NAD found issues with certain posts where influencers earned commissions on Dr. Squatch products sold through affiliate links.
Although these posts include a disclosure about commissions earned by influencers, Dr. Squatch also offered additional affiliate rewards.
This allowed influencers to earn incentives beyond the standard affiliate link commission.
NAD recommended that Dr. Squatch take steps to “ensure its paid affiliates clearly disclose their material connections in social media posts that promote its products”.
NAD said in a statement. “During the inquiry, NAD noted that Dr. Squatch voluntarily and permanently discontinued the subject advertising and has taken steps to ensure that the posts at issue comply with the FTC Guides Concerning the Use of Endorsements and Testimonials.
“Therefore, NAD did not review these claims on their merits and will treat them, for compliance purposes, as though NAD recommended they be discontinued.”
Dr. Squatch is set to be acquired by consumer giant Unilever.
The British consumer goods company announced in June that it had signed an agreement to purchase Dr. Squatch from private equity firm Summit Partners.
Although the financial terms of the deal were officially undisclosed, The Financial Times has since reported that the transaction is allegedly valued at around $1.5bn.
Founded in 2013, Dr. Squatch has become one of the most prominent direct-to-consumer male grooming brands in the US.
It offers a range of natural products across soaps, body washes, deodorants, hair care and skin care.