Alex is Sprintlaw's co-founder and principal lawyer. Alex previously worked at a top-tier firm as a lawyer specialising in technology and media contracts, and founded a digital agency which he sold in 2015.
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Advertising can fuel incredible growth for your business. Whether you’re running Google Ads, partnering with influencers, sending email campaigns or promoting in-store, your marketing is how you connect with customers and build trust.
But in Australia, advertising comes with clear legal guardrails. The rules are designed to make sure marketing is honest, fair and not misleading – and regulators are increasingly active in this space.
The good news? With a simple compliance framework and the right documents, you can market confidently while protecting your brand. In this guide, we walk through the core rules that apply to most businesses, highlight higher‑risk areas (like promotions and endorsements), and point you to practical steps to stay compliant.
Why Advertising Compliance Matters In Australia
Getting your marketing right isn’t just about avoiding penalties. It’s about building credibility with your audience and protecting your long‑term brand value.
Regulators such as the Australian Competition and Consumer Commission (ACCC) actively monitor advertising across traditional and digital channels. Recent enforcement trends include cracking down on misleading environmental claims, unclear pricing practices and unsubstantiated performance statements.
If your campaigns don’t comply, you could face:
- Court orders, penalties and corrective advertising under consumer law
- Public complaints and determinations by industry bodies (which can trigger reputational damage and commercial consequences)
- Customer complaints, refund claims and competitor challenges
The flip side is powerful: clear, compliant advertising helps you stand out for the right reasons and reduces the risk of disputes down the track.
Core Rules You Must Follow
Most Australian advertising rules sit under the Australian Consumer Law (ACL), which applies to almost every business that promotes or sells to Australian consumers. Here are the pillars to build into your review process.
Misleading Or Deceptive Conduct
Your ads, website copy, sales scripts and social posts must not mislead or deceive, or be likely to do so. This covers what you say, what you leave out, how information is presented and the overall impression on a reasonable consumer.
- Don’t exaggerate features, performance or savings.
- Don’t bury material conditions in fine print or disclaimers that contradict the headline message.
- Make sure images, testimonials and comparisons fairly reflect reality.
If you’re unsure where the line is, it’s worth revisiting the principles in section 18 of the ACL on misleading or deceptive conduct.
False, Unsupported Or “Too Good To Be True” Claims
You must hold evidence for factual claims at the time you make them – not later. That includes performance claims (“removes 99% of stains”), environmental statements (“plastic‑free packaging”), health benefits and superiority claims (“Australia’s best”).
General “puffery” may be tolerated, but anything specific should be backed by robust, current substantiation. If your claim relates to product characteristics or pricing, section 29 of the ACL on false or misleading representations is especially relevant.
Pricing And Savings Representations
Be transparent and accurate with prices. “Was/now” comparisons, percentage discounts and “from” pricing all have strict requirements to avoid creating a false impression about the genuine saving or the usual price.
Ensure any mandatory fees are clearly disclosed upfront, and keep comparison data up to date. For practical guidance, review the rules around advertised prices.
Reviews And Online Reputation
Published reviews and star ratings must be genuine and not misleading. Don’t post fake reviews, suppress negative feedback unfairly, or fail to disclose when reviews are incentivised. If you’re dealing with fraudulent or defamatory reviews, there are clear steps businesses can take regarding fake Google reviews.
Promotions, Influencers And Testimonials
Promotions and endorsements are powerful – and closely watched. A few simple rules go a long way.
Competitions, Giveaways And Trade Promotions
Promotions must be run transparently with clear terms. Depending on the format (game of chance vs game of skill) and where you run it, you may need permits or to meet specific state or territory requirements.
Always set out eligibility, entry steps, judging criteria, prize details, key dates, how winners are contacted and any publication requirements in writing. Many businesses use dedicated Competition Terms and Conditions to manage this properly, and follow good practice for giveaway laws.
Influencers, Affiliates And Endorsements
If content is paid, gifted or otherwise incentivised, make it obvious. Disclosures should be clear, prominent and easy to understand on the platform where the content appears. Endorsements must reflect real experiences and must not be misleading.
Set expectations with creators in writing. An Influencer Agreement can cover deliverables, approval rights, disclosure wording, IP use and compliance with platform and legal requirements.
Testimonials
Testimonials should be honest, representative of typical experiences (or clearly qualified), and consistent with other claims you make. If a testimonial includes a specific result, make sure you can substantiate it.
Digital Marketing And Online Advertising
Digital campaigns must meet all the same ACL standards – and then a few extras.
Email And SMS Marketing
Commercial messages require consent, correct sender identification and a functional unsubscribe. This is a core part of Australian email and email marketing laws.
If you’re collecting names, emails or analytics, you’ll also need a clear, accessible Privacy Policy explaining what you collect and how it’s used.
Websites, Landing Pages And Apps
Your website is part of your advertising footprint. Ensure product descriptions, price displays, comparison charts and claims align across all channels. Include platform rules that govern user behaviour and limit your risk with appropriate Website Terms and Conditions.
Social Media And User-Generated Content
Monitor your pages. If users post misleading claims in comments you control (for example, false results or untrue comparisons), you may need to remove them. Paid partnerships should use clear disclosure tools and native tags where available.
Images, Footage And Consent
Make sure you have the right to use photos, videos, music and logos. If your campaign features identifiable people, consider consent and privacy issues – particularly for minors. When capturing content in public or private spaces, check your obligations under photography consent laws.
Industry-Specific Rules And Advertising To Children
Some sectors carry extra requirements on top of the ACL. Here are the common ones small businesses ask about.
Therapeutic Goods And Health-Related Claims
The Therapeutic Goods Advertising Code applies to advertising for therapeutic goods (for example, medicines, vitamins and certain medical devices). Many everyday cosmetics are not “therapeutic goods” unless you’re making therapeutic claims (such as treating or preventing a condition). If your product falls into the therapeutic category or you’re making therapeutic claims, expect rules around mandatory statements, restricted representations and what endorsements are allowed.
Food, Nutrition And Environmental Claims
Food businesses must ensure that nutrition and health claims are evidence‑based and not misleading, and that packaging and labelling comply with applicable standards. Environmental (“green”) claims must be specific, accurate and capable of substantiation.
Alcohol Advertising
Alcohol marketing in Australia is governed by a mix of laws and self‑regulatory codes. Placement, audience targeting and content must be responsible and avoid appealing to minors. If you’re advertising in this space, start by understanding the framework around alcohol advertising laws.
Advertising To Children
Advertising to children is largely overseen by self‑regulatory codes administered by Ad Standards (for example, AANA codes), alongside platform and broadcaster rules. These codes limit the use of certain techniques (like undue pressure, unsafe behaviour or misleading premiums). While self‑regulatory determinations don’t typically carry statutory fines, the ACL still applies and serious issues can attract regulator attention and reputational risk. If you market products likely to appeal to kids, build a strict review process around placement, creative and disclosures.
Essential Legal Documents And Processes
Having a few core documents and controls in place makes day‑to‑day compliance much easier.
- Advertising Policy: An internal guide covering approval workflows, substantiation requirements, claim libraries, mandatory disclaimers and record‑keeping.
- Disclaimers: Short, clear statements that qualify offers or claims where needed, drafted to support (not contradict) your main message. Many businesses adopt a tailored Disclaimer they can adapt for campaigns.
- Competition Terms: Written terms and conditions for competitions and trade promotions, including eligibility, prize details, judging or draw mechanics, publication and permit references (if applicable).
- Influencer And Affiliate Agreements: Contracts that set deliverables, disclosure obligations, IP ownership, approval rights and termination, such as an Influencer Agreement.
- Website Terms & Privacy: Clear Website Terms and Conditions and a compliant Privacy Policy covering data collection, cookies, analytics and marketing communications.
- Approvals And Evidence File: A structured process for legal sign‑off, plus a central repository of substantiation (studies, test reports, screenshots, price histories) dated and linked to the campaign.
As your marketing evolves, keep your claim library and disclaimers up to date, and refresh your evidence whenever the product or offer changes.
Key Takeaways
- All marketing in Australia must comply with the ACL: don’t mislead, and hold evidence for factual claims, especially around performance, price and savings.
- Digital channels are subject to the same rules; build consent, identification and unsubscribe into your email and SMS programs in line with email marketing laws.
- Run promotions with clear written terms, obtain permits where required, and manage endorsements with robust contracts and clear disclosures.
- Industry‑specific standards may apply, particularly for therapeutic goods, alcohol and food; “cosmetics” only fall under therapeutic rules if you make therapeutic claims.
- A small set of documents – Competition Terms, Influencer Agreements, Website Terms and a Privacy Policy – plus a simple approvals process will streamline compliance.
- If you’re unsure about a campaign or claim, a short legal review early can prevent expensive fixes and protect your brand.
If you would like a consultation on advertising laws and compliance for your business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no‑obligations chat.
