Running promotions in New Zealand
In the latest instalment of our country guides Jorja Knight, Head of Legal at PromoVeritas, takes a look at the legal considerations that need to be made when it comes to running promotions in New Zealand.
As much of the world sets about ramping up their vaccination programmes in an effort to combat the Covid-19 pandemic and hopefully put its darkest days behind them, there are some countries who are ostensibly already there. Australia is one, with fans returning to sporting events in late 2020 a symbol of this success, but it is neighbouring New Zealand who have been the envy of the world with the impact of their ‘Zero Covid’ approach.
Although New Zealand’s biggest city Auckland has just emerged from a strict week long lockdown there are signs that the swift health measures and aggressive tracking and border rules have kept the country in a good place both health and economy wise. In the first week of February, while many European states remained in lockdown, thousands of New Zealanders were out celebrating the Waitangi Day National Holiday – marking the country’s founding. This return to something resembling normality in the nation creates many opportunities for brands, with there being a noticeable appetite for engaging campaigns and promotions amongst the wider excitement New Zealanders are currently able to enjoy.
With this market providing such an appealing opportunity, it is important to consider what the legal obstacles and requirements are under New Zealand law for promotional activity.
One of the most popular promotional mechanics that brands like to run are ‘prize draws’ or ‘games of chance’, where the winner(s) is selected in a completely random way. Fortunately for brands, running these is uncomplicated under NZ law, once more highlighting the benefits of choosing this market.
However, for ‘gift with purchase’ promotions, there are some important restrictions that promoters need to be aware of. When it comes to giving away the gifts, some are not allowed to be offered under the law, such as Maori artefacts.
Falling foul of the rules and regulations does incur a penalty, which is why awareness of the legal details surrounding promotions is vital, with potential fines of NZ$50,000 (approx. £26,000) for guilty organisations and up to NZ$20,000 (approx. £7,000) for guilty individuals.
Although running promotions in New Zealand is a less complex and arduous process than in many other countries, there are clearly many aspects that require careful oversight from a legal standpoint. Luckily, PromoVeritas has a specialised legal team in-house to handle any of the problems that may be encountered, ensuring promoters can take advantage of this unique opportunity.
If you are interested in running a promotion in New Zealand, or anywhere across the world, contact us to speak to our Legal team or any of our promotions experts.