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Changes to lotteries and trade promotions in SA


Many community organisations use lotteries as a way to raise funds and for businesses to promote their goods and services. The changes aim to ensure these activities are supported and remain viable, by finding the right balance between meeting community expectations around the conduct of lotteries, without placing unnecessary regulatory burden on those who conduct them.


Advertising of lotteries and trade promotions have been simplified. The requirements are…

Advertising or promoting any lottery MUST include:

  • enough information for people to understand the chances of winning when the lottery ends

  • how often a prize or prizes can be won.

Advertising or promoting any lottery MUST NOT:

  • be aimed at people aged under 18 years old or demonstrate them gambling

  • suggest that the lottery can fix personal or financial problems or to cover expenses

  • imply that the lottery can increase social, sexual or employment opportunities

  • exaggerate the prizes or suggest the chance of winning is better than it is

  • suggest that someone’s skill means a better chance of winning

  • link the lottery with drinking too much alcohol

  • exaggerate the connection between the lottery and how the proceeds will be used.

Major lottery advertisements MUST state:

  • the lottery licence number

  • the nature and value of the prizes to be won

  • how to locate a copy of the full terms and conditions

  • the total number of tickets available.

Incentives

An organisation can encourage lottery ticket sales by offering:

  • bonus tickets - for example, buy ten tickets and get one free. A number of bonus tickets must be included in the total amount of tickets available. Details of the offer must be included on each ticket and apply for the whole time that tickets are on sale

  • gifts and rewards - for example, the ticket seller who sells the winning ticket receives a gift or reward. However, alcohol can’t be offered to encourage people to participate in the lottery.

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