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New CAP Code for Advertising & Sales Promotion for September 2010

CAP - Committee of Advertising Practice, have this week announced the new set of rules which will come into force on 1st September 2010.

Whilst there may not be any fundamental changes to the existing legislation governing Advertising, Direct Mail and Sales Promotion, there is a warning that the rules may be enforced more stringently in the future. So you can expect dawn raids from the promo police; visits from mystery cop-shoppers; stop and search of suspected account 'handlers'. You have been warned!

Rules are rules after all, and with the major TV vote-rigging scandals that brought the whole concept of promotions in to disrepute in 2007, just beginning to fade from consciousness, the industry is keen to avoid future incidents.

So, it makes sense to acquaint yourself with the latest edition of the code. Whilst they do not post exhaustive lists (why not?) the information on current legislation is available on www.asa.org.uk or www.cap.org.uk. You can also check out recent adjudications on these sites which can help with specific examples.

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Are there any major changes for promotional marketers to concern themselves with?

Specific areas of the code which are worth noting from a sales promotion point of view are provided below.

Section 3.23 - 3.26 - Use of the word FREE in marketing communications

No product may be described as free if:

  • the consumer has to pay anything to take receipt of the product
  • if the consumer has to pay for packing, packaging, handling or administration charges
  • the Cost of responding, or purchasing a 'qualifying' product, has been increased to cover the free item (Any increase in cost must be unrelated to the cost of running the promotion)
  • the quality of the qualifying product has been reduced

If the free product is an element of a package of products, it may not be described as free unless the previous package price remains unchanged.

Further, a 'Satisfaction or your Money Back' style offer must not be described as a 'Free Trial' neither can offers for which a non-refundable purchase is required.

Section 8.17.6 - Prizes and Gifts

Promoters must specify the number and nature of prizes or gifts available that can be won. If the exact number cannot be pre-determined, a reasonable estimate of the number and a statement of their nature must be made.

Promoters must distinguish which prizes can be won (including estimated prize funds) from those prizes that will be won during the promotional period.

Section 8.25 - Instant Win promotions

Participants in instant-win promotions must receive their winnings at once or must be informed immediately what they have won and how to claim without any delay, cost or admin barriers. Instant-win mechanics must be distributed on a fair and random basis. Verification must take the form of an independently audited statement that all prizes have been distributed or made available for distribution in that manner.

Section 10.15 - 10.16 - Database Practise in relation to Children

Marketers must not knowingly collect personal information from children under 12 for marketing purposes without parental consent.

Marketers must not knowingly collect personal information relating to other people from children under 16.

Posted at 16:53
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1 Comments:

Raafiq said...
how to win the shirt and where to enter your code
June 17, 2012 06:09

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