Social media has brought about abundant opportunities for businesses to market themselves and reach potential clients in new ways, and with the many innovative ways influencers are using content online, you could say the internet is your oyster. But where there is new technology with seemingly few laws or regulations, there is usually a preceding rulebook that applies by default. At least, that’s the case for running competitions online.
In Australia, each state and territory has its own governing body and restrictions on promotions and competitions. While these were initially set in place for physical competitions such as local raffles, they also apply, by default, to any online promotions you run in the area.
Further to your local consumer competition requirements, the platform you use will likely impose its own restrictions too. For example, did you know that ‘tag a friend to win’ competitions are actually prohibited by Facebook’s terms and conditions? While those running such competitions might not immediately be caught or held accountable for the breach, it’s worth exercising caution. After all, being banned and labelled a rule-breaker is certainly not going to positively impact your business reputation, nor is it worth taking the risk if the prize turns out to be invalid or revoked from a new client of yours.