* Last Edit on this Article – Do I need a Competition Permit in Australia – March 2016.
Running a competition in Australia can be a daunting task – especially when you consider that Australian states tend to operate independently of each other when it comes to competition permit. Well, we’re here to clear the air a little!
When searching the web for rules regarding running a trade promotion in Australia, there seem to be few sources that aggregate State’s positions on trade promotions and applying for a competition permit so we went called and emailed each state (August 2012) and put together this handy guide.
Competitions aimed at promoting a brand or business are classified in most Australian States as trade promotions. For instance – if you’re a marketing manager or an advertiser and you’re looking to promote a brand through a competition, you need to be assessing how you’re going to be running your competition as it impacts on whether or not you’ll be needing to apply for a trade promotion permit.
Raffles, club competitions or charitable competitions may be subject to different rules.
As a rule of thumb, Games of Skill – competitions that require a user to answer a question or submit something (Showing ‘Skill’ in order to win) – don’t require Trade Permits within Australia. These competitions are selected by a judge through a selection process where the best or most skilful entry decides the winner.
Games of Chance are competitions where chance or probability is taken into account following an entry will require a trade permit pending what State the promotion is open to and the total value of the prize. These trade promotions have an element of chance – like a lottery.
Currently, Trade Promotion Permits for Tasmania are not required, although certain conditions may apply.
So in summary, if you are conducting a national draw online or offline and there is an element of chance, you’ll need a permit in the ACT and NSW regardless of Prize Pool. If your trade promotion offers and Instant Prize (not drawn later or at the end of a competition period) you’ll also need a permit in SA. If there is No Element of Chance you do not need a permit in Australia. Note: We recommend seeking up to date legal advice and publishing clear terms and conditions to every promotion if it is a consumer (non-internal office draw) competition.
If you have any questions regarding running a trade promotion within Australia, please contact the respective Government bodies accordingly.
If you would to run a trade promotion as a digital campaign online, as either a random draw or game of skill you can contact us. More information on using AndMine for your campaign and our Competition / Random Draw Permit can be found here.
We are a leading Digital Agency helping our clients dominate in digital.
We decided to make the commitment and drop Traditional Marketing like Yellow pages and trial AndMine's Website Development, Design and Email Marketing Services. We never looked back and business is always booming. We certainly would not have been able to grow our business to where it is today without AndMine. Monika & Ellen, The Depskin CentreMore Testimonials