If you're planning a national or localised consumer promotion in Australia you may be required to obtain a trade lottery Permit. Trade lottery regulations are state specific and this guide provides a brief, 30-second overview of requirements.
There are two types of contests / promotions:
- Test of Skill - e.g. ‘In 25 words or less Tell us why you should Win..’
- Games of Chance – e.g. Instant Win, Prize Pool Sweepstakes.
Requirements for Test Of Skill Promotion…
You do not require a permit to conduct a test of skill promotion if there is no element of chance involved in winning. However you must ensure that:
- All entries are judged individually on their merit.
- One Winner is chosen at a judge’s decision based on skill or originality. Please
note that you cannot run a test of skill promotion where entrants can potentially submit the same answer or result. E.g. ‘Who won the 2007 Rugby World Cup?’
Requirements For Game Of Chance…
Permits are not required in Victoria, Tasmania, Queensland or Western Australia.
You do require a permit if the promotion is running in the Australian Capital Territory (A.C.T), New South Wales, or Northern Territory. Permits are required in South Australia if the prize pool is over $5000. A company cannot legally advertise a game of chance without a permit.
In the A.C.T, if the promotion is running solely online a permit is not required, unless the digital platform that is advertising the promotion is hosted in the A.C.T. If there is print advertising that refers to the online promotion you will need a permit if the prize pool exceeds $3000.
Instant Win promotions in South Australia have specific conditions too and SAM can elaborate on these as needed. You must also publish the names of competition winners on a website or in the relevant localised or state based newspaper. For national promotions, winners can be announced in The Australian.
Permit fees and Administration costs are based on the total prize pool and promotional mechanics.
SAM can help marketers to apply for permits provided that they have Australian Business Registration (A.B.N).
Since 1981 SAM have assisted corporations, independents, advertising agencies and specialist marketing firms to apply for permits. Our services are quoted up front and we are responsive and cost effective.
SAM can also assist marketers with any, or all of the following:
• Draft Terms and Conditions of Entry
• Promotion Creative (SAM has a state of the art graphic design studio)
• Insured Prize Promotions - insurance for high value prizes and prize pools.
• Point of Sale Display development, production & distribution
• Instant Win competitions
• Catalogue production
• On Pack Promotions
• Competition Websites and SMS lines to collect entry data
• Database Management (data is assigned to client at conclusion of the promotion)
• Prize Draws & Draw Scrutineering
• Prize Sourcing & Fulfillment
• Public Notices
For more information and free advice relating to Lottery regulation and obtaining permits, please feel free to contact SAM Sales and Marketing at any time.