WHAT ARE THE CONTRACTUAL FEATURES OF A BRAND AMBASSADOR AGREEMENT?
A brand ambassador is an individual hired by a brand to promote and recommend a certain product or shed positive light on a particular brand to their network to increase sales. Following the rise of social media, brand ambassadors, (also known as brand representatives or social media influencers), have become increasingly central to the marketing tactics of companies.
The core characteristics brands look for in a Brand Ambassador include:
- Knowledge of and appreciation for marketing:
- An established online presence:
- High level of professionalism:
- Natural leadership skills: and
- A passion for building and growing relationships.
The responsibilities the brand ambassadors are mandated to undertake include:
- Representing the brand positively in a multitude of settings;
- Assisting in content creation (i.e. writing blogs, newsletters, product reviews, etc.);
- Participating in event marketing;
- Generating brand awareness through word-of-mouth marketing;
- Being an opinion leader in his/her community;
- Providing feedback and insight on new products/services; and
- Promoting the brand via his personal social media accounts.
A brand ambassador agreement thus records the terms of the agreement between the ambassador and company in a formal manner. It clearly outlines the terms of the agreement between the parties – including the rights and responsibilities of each party – and serves as an important point of reference should there be a dispute between the parties during the contract.
The salient features of a brand ambassador contract include:
- Recitals – introducing the parties to the agreement.
- Brand guidelines – these should specify the voice, tone, and style of language to be used when making communications or representing the brand. This section should specify how frequently the posts should be made and whether certain statements or words should be explicitly mentioned – this might include a requirement to include a slogan or motto.
- Brand Ambassador Duties – A brand ambassador agreement should specify all the duties, that the ambassador is to fulfill under the contract.
- Exclusive Rights – This clause usually states that a brand ambassador is not allowed to work for other brands that are in direct competition or within the same/similar industry.
- Approval process – To maintain brand consistency, many companies require that any content or communication created by their brand ambassadors are vetted before they go live. This process helps the company maintain a consistent and clear brand message.
- Payment terms – A brand ambassador contract should specify clear payment and compensation terms.
- Timeline – A clear timeline should be included in the brand ambassador agreement outlining when each deliverable should be produced by the ambassador.
- Termination – It is therefore important that a brand ambassador agreement specifies how the contract can be terminated. In this respect, it is common for brand ambassador agreements to include a clause stating that either party can terminate the agreement without cause with 30 days’ notice to the other party.
- Intellectual Property (Copyright and Trademark)– Brands often allow ambassadors to use their trademarks and copyright to promote their brand more effectively. It is important to clearly define the extent of this permission. Usually, brands will only allow ambassadors to use trademarks and copyright to promote the brand.
The foregoing are general terms (but not exhaustive) of the brand ambassador contract that are enforceable in law. The following template detail a number of these general clauses however it can always be edited to reflect each party’s contractual wishes.