Can Kids Tell What’s an Ad? Why Clear Boundaries Matter in Children’s Advertising

As advertising formats evolve, it’s become harder—especially for children—to tell the difference between entertainment and advertising. From YouTube videos and games to social media posts and branded content, ads are increasingly integrated into content in ways that may not be obvious to young viewers. 

The responsibility for advertisers and marketers is to ensure that advertising is properly disclosed and easily identifiable as advertising. Children should never be left guessing. 

At BBB National Programs’ Children’s Advertising Review Unit (CARU), the guidance is clear. When advertising is directed to children under 13, the lines between ad and content must not be blurred. 
 

Why Children Struggle to Identify Ads 

Children do not always understand persuasive intent; that a message is commercial in nature and not just information or entertainment. They may assume a popular character is recommending something just because they like it. They may not recognize that a branded game or influencer video is actually an ad. This will become increasingly challenging as more and more influencers are not actually human, but AI-generated personas. Without clear signals, children can mistake marketing for content and interpret advertising messages as trustworthy facts. 

That’s why transparency is essential—and why advertisers must take extra care to disclose when a message is promotional. 
 

Best Practices for Keeping Advertising Clear 

To help children recognize advertising, marketers should: 
  1. Design Ads So They Stand Out: Use visual cues, borders, shading, or other design elements that make it obvious that the content is an ad. Consider how colors, fonts, and formatting can help differentiate an ad from educational or entertainment content. 
  2. Use Clear Language: Plain, direct language like “This is an ad” or “I am getting paid by [Brand]” helps children understand what they’re seeing. Avoid ambiguous or overly technical terms. 
  3. Consider the Platform: Whether an ad appears in a video, game, app, or website, its presentation should reflect the context of the medium. What works to differentiate an ad on TV might not be enough on YouTube. 
 

Special Caution for Characters, Shows, and Digital Experiences 

Some content requires even more diligence. CARU cautions advertisers against practices like: 
  • Using a character from a children's program to promote a product during or adjacent to that program. (This is illegal for children’s shows on linear television.)
  • Advertising products directly tied to a show within that show’s own programming. (This is illegal for children’s shows on linear television.) 
  • Embedding ads within games or apps in ways that make it hard to tell they’re ads. 

In all cases, if a child would reasonably assume the content is part of a show, game, or story—and not realize it’s an advertisement—then clearer distinctions must be made. 
 

Why It Matters 

Blurring the line between entertainment content and advertising can lead children to accept marketing messages as genuine or unbiased. This compromises their ability to make informed choices and can erode trust in media and brands. Worse, it can encourage purchasing decisions or brand loyalty based on a misunderstanding. 

By clearly labeling advertising and respecting children’s developing media literacy, advertisers: 
  • Uphold ethical standards 
  • Support parental trust 
  • Empower children to better understand the media they consume 
 

Set the Right Example 

The takeaway is simple: if it’s an ad, make sure kids know it’s an ad. The responsibility falls on advertisers—not children—to make the difference obvious. 

Want to make sure your advertising meets the highest standard in children’s media? Explore CARU’s Advertising Guidelines or set up a consultation with CARU’s Pre-Screening team. From concept to final cut, CARU offers pre-screening services to help businesses and agencies spot and correct advertising and privacy issues before ads, contests, and promotional websites go live.