Trade Promotion Lotteries
A trade promotion means a lottery conducted with a view to promoting the sale of goods or services.
Entry into a trade promotion lottery must be free except that:
the participant may be required to purchase any goods or services which are the subject of the promotion; and
the cost of entry by fixed (landline) telephone must not exceed 55 cents including GST; and
the cost of entry by mobile telephone cannot exceeds the cost of the telephone call and the amount received by the holder the trader promotion lottery licence must not exceed 50 cents; and
the cost of entry by post must not exceed the normal cost of postage.
The winners must be determined by lot or drawing, using any method whatsoever, or by chance (ie instant win).
A competition in which the winners are determined by skill (e.g. any tipping competitions including footy tipping competitions) is not considered a lottery under the Lottery and Gaming Act 1936 ('the Act'), and therefore does not require a trade promotion lottery licence.
There are two classes of trade promotion lotteries which require a licence under the Lottery and Gaming Regulations 2008 ('the Regulations'):
Major Trade Promotion Lottery Licence
A major trade promotion lottery has either of the following characteristics:
the total value (nationally) of all prizes in the lottery exceeds $5,000; or
the prizes include both instant prizes and drawn prizes (regardless of the value of the prizes).
Instant prizes are a prize to be won on a ticket:
that has on it a number, letter or symbol giving rise to a winning chance; and
that is realisable (without being drawn) immediately after its acquisition by the participant in the lottery,
and includes a prize to be found within the packaging of goods that are the subject of a trade promotion lottery.
Trade Promotion (Instant Prize) Lottery Licence
All trade promotion (instant prize) lotteries require a licence regardless of the total prize value.
If a trade promotion lottery only contains instant prizes but includes an unclaimed prize draw in the terms and
conditions, it is still considered a trade promotion (instant prize) lottery.
If a trade promotion lottery only contains instant prizes but in the terms and conditions includes a second
chance or major draw, it is considered a major trade promotion lottery.
The conditions under which a major trade promotion and trade promotion (instant prize) lottery licence is granted
are set out in the Conditions Leaflet.
Minor Trade Promotion Lotteries do not require a licence , however they must comply with the minor trade promotion
lottery rules set out in the minor trade promotion lottery conditions.
No trade promotion lottery (including a minor trade promotion lottery) can be drawn electronically unless the
system has been approved by the Minister. Application must be made on the Application for Approval of an
Electronic Drawing System.
Forms, Fees and Fact Sheets
Please refer to the Forms, Fees and Fact Sheets page.
Contact
Lottery Licensing contact information
Interstate Links
Visit the websites below to find information on fundraising lottery legislation in other States and Territories
Page Last Updated: 1-10-2009
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