Permit Requirements for Social Media Promotions
If your business plans to run a national promotion in Australia with a random prize draw on social media platforms like Facebook or Instagram, you may need to apply for trade promotion lottery permits in certain states (subject to the value of the prize pool).
As a guide:
Permits for games of chance style promotions are not required in Victoria, Tasmania, Queensland or Western Australia.Other States:
New South Wales (NSW)
A permit is required to conduct a promotion with a random prize draw when the prize pool exceeds $10,000.
Australian Capital Territory (A.C.T)
A permit is required if the prize pool exceeds $3000.
South Australia (SA)
A permit is required if the prize pool exceeds $5000.
Northern Territory (NT)
If you have a permit for NSW, SA, or A.C.T (one of these states) you don't need to apply for a permit. (N.T require permit approval if the promotion is only running in N.T and no other state has issued a permit).
Other Questions that may arise...
Q. We are not an Australian registered business; can we still apply for permits to run a Trade Promotion?
A. Promoters must have a registered Australian Business Number (A.B.N).
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Q. Can we do an electronic - automated random prize draw?
A. All electronic prize draws require an approved Electronic Drawing System in S.A.
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Q. How long can I run a Trade Promotion?
A. A Trade Promotion cannot exceed 12 months (prize draw must also take place within this time limit).
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Q. Where do we include the Permit Numbers?
A. Permit numbers must be included an online Terms and Conditions page. A social media post can link to the online Terms and Conditions.
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Q. Can I advertise the promotion before the start date or before we have the relevant State(s) approval?
A. No, you cannot start advertising until the start date of the promotion and until you have received permit numbers.
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Q. How long does the application process take?
A. Lead times vary by state (contact us for information on current lead times).
For more information, we have another article: 30 Second Guide to Australian Permit Requirements for Promotions.
SAM provide a consultancy service to help marketers to obtain permits for Australian Promotions.
Please contact Peter McKinnon - peter@samsales.com.au / (03) 9646 5644
