Advertising

2019 A.D. – The post-influencer age?

Social media influencers have become a key weapon in the armoury of advertisers and can be successfully used to drive consumer engagement with a product offering.  However, are we entering a ‘post-influencer age’? Only recently, the Australian Federal Government announced that they would no longer use influencer marketing for any government department campaigns after it came to light that influencers working with the government had previously endorsed alcohol and “extreme dieting” products. Similarly, with a number …

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Online marketing and trade marks: To infringe, or not to infringe?

…Whether ’tis nobler in the mind to suffer The slings and arrows of poor searchability, Or to take arms against a sea of competitors (with SEO and Adwords) As online visibility becomes essential for connecting with consumers, businesses are increasingly investing in measures to improve traffic on their websites. Some of these include acquiring strategic domain names, using search engine optimisation services, and paid search engine advertising. However, in employing these measures, it is important …

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Don’t believe the hype: Online ratings and reviews under the microscope

Online ratings and reviews are perceived as a low cost, transparent and real-time way for consumers to make informed purchasing decisions and can therefore be highly influential. Over the past year, there have been a number of enforcement actions successfully brought by the ACCC for businesses manipulating reviews or ratings that appear on their website, or third party review platforms. There has been much media focus on online ratings and reviews both in Australia and …

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When a Fyre starts to burn: A cautionary tale in marketing

A private island in the Bahamas, an ‘immersive’ music festival experience, return flights on a private jet, luxury eco-friendly villas, world-class gourmet food and partying with supermodels… These were just a few of the representations that organisers made to entice approximately 5,000 ticket holders to attend the Fyre Festival in 2017. This high profile (and extreme!) example of a product or service not matching the marketing hype is a perfect case study for a hypothetical …

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Returning faulty gifts: New year, new product returns?

There’s always that one present under the tree. It doesn’t quite fit right or maybe doesn’t work once plugged in…Remember to not only remain calm, but both consumers and retailers should also ensure that they are fully aware of their rights and obligations under the Australian Consumer Law (ACL). According to the ACCC website, the Australian competition watchdog received nearly 34,000 contacts about consumer guarantee related issues in 2018 alone – an increase of more …

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Digital marketing update: Shoppable content, unreal and nano influencers, virtual home assistants and ads in messaging apps

In a world of exponential technological growth, consumers make purchasing decisions across an array of media platforms. When developing new methods of delivering a personalised and convenient consumer experience across these platforms, businesses should therefore factor in the risks involved including the application of the Australian Consumer Law (ACL). In this update, we take a look at some of the predicted tech trends for 2019 and flag the associated legal issues you should bear in mind. …

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Marketing warfare series – Part III: Guerrilla marketing

What is guerrilla marketing? Guerrilla marketing involves unconventional or interactive campaigns that take consumers by surprise and typically attract social media attention for being so unexpected. These tactics allow businesses to repurpose their consumers’ environment to include their brand and are particularly attractive to small businesses looking for greater reach and impact at a lower cost than traditional marketing. This type of marketing can take many forms, including: publicity stunts (e.g. flash mobs or world record …

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A Christmas credit carol: Advertising consumer credit

As we move into the festive season, personal finance such as credit cards and loans become increasingly attractive to consumers so they can spread the Christmas cheer. Offering finance options are a great way to get customers through the door, however, businesses should be aware of requirements that apply to advertising consumer credit under the National Credit Code (NCC), which is contained in Schedule 1 of the National Consumer Credit Protection Act 2009 (Cth). Applicability …

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Marketing warfare series – Part II: Comparative advertising

A strategy often used by competing brands is comparative advertising. With numerous cases brought in the Federal Court of Australia each year and the potential for considerable pecuniary penalties, businesses should approach this strategy with caution. What is comparative marketing? Comparative advertising is, as its name suggests, an advertisement that compares a product or service with the equivalent offering of a competitor. This is usually done to highlight limitations of the competing offering and demonstrate …

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Food Standards Code: Mandatory Warning Labelling Update

On 26 May 2018, products containing the legume Lupin became subject to mandatory allergen warning requirements under the Australia New Zealand Food Standards Code (the Code).  It’s inclusion is a timely reminder for businesses to ensure that their product labelling includes warnings required by the Code. Mandatory Warnings By operation of Standard 1.2.3 of the Code (the Standard), food manufacturers must label their products with a warning when a designated allergen may be present as an …

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Social Media Marketing and Advertising Update: The Rising Star of the ‘Micro Influencer’

Businesses are increasingly questioning the value of “celebrity” social media influencers and appear to be favouring partnerships with “micro influencers” as a more cost effective marketing strategy. A “micro influencer” is a social media user with between 1,000 to 90,000 followers who, like a traditional influencer, makes posts promoting products.  Their key advantages include use of products out of real loyalty to a brand (in some cases), smaller and more intimate followings and, as a result, the …

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Full Federal Court provides further insight into the use of ‘natural’ in product branding and advertising

Natural skin care products, natural beauty products, natural cosmetics…the list goes on.  These so called ‘natural’ products are on-trend and are in high demand in the Australian and Asia Pacific retail market.  The rise of consumer demand for natural products is a result of its association with health and wellness and as the Australian Competition and Consumer Commission (ACCC) described it, ‘Suggests that a product is superior because it has certain natural characteristics’. However, any business thinking …

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Be careful – consumer law penalties are set to increase!

Recently, the Treasury Laws Amendment (2018 Measures No. 3) Bill 2018 (Cth) passed both houses of parliament, implementing changes to the maximum financial penalties for breaches of the Australian Consumer Law.   This gives effect to the proposals set out in the final report on the Australian Consumer Law Review conducted by Consumer Affairs Australia and New Zealand in April 2017. This means that the current financial penalties of a maximum $1.1 million for companies will be increased …

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Digital Marketing Update – FAQ using Direct Messages, Outstream Videos and Chatbots

The modern consumer makes purchasing decisions using a multitude of media platforms, and often considering more than one platform at a time.  As businesses embrace new technologies to create a seamless experience across these platforms, they should be aware of the risks involved and how the Australia Consumer Law (ACL) applies in novel contexts. FAQ using Direct Messages – direct messaging has traditionally been used to isolate dialogue with consumers and minimise public relations issues. …

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Country of Origin Labelling: Complementary Healthcare Products

The Australian Competition and Consumer Commission (ACCC) released a guide earlier this year on country of origin labelling in relation to complementary healthcare products.  However, unlike the labelling requirements for food products (see our post from July on the commencement of the Country of Origin Food Labelling Standard available here), it is not compulsory for the healthcare industry to label their complementary healthcare products with county of origin information. ‘Complementary healthcare products’ is a term used by …

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