Last July, the ACCC Chair Rod Sims delivered a timely speech ‘Companies behaving badly?’ According to the increasing number of compliance breaches, the ACCC found that many businesses had indeed been behaving badly. The answer to this quandary? Sims offered, “from our point of view, stronger penalties are a key part of the answer.” New legislation now in effect means that consumer breaches could amount to fines of more than $100 million for some companies. And the ACCC won’t be playing coy.
With the ever-changing landscape of today’s marketplace, regulatory bodies are constantly reviewing and updating advertising guidelines to protect consumers. Just this year, the ACCC announced it would be ramping up its efforts to penalise businesses that were found guilty of misleading conduct or data breaches.
According to an ABC report: “Under new laws before Parliament, the penalty for consumer breaches by a company will rise from $1.1 million to $10 million, or 10 per cent of turnover.”
The change in laws will affect all brands that are non-compliant. Nonetheless, businesses in highly regulated industries will need to go the extra mile to ensure their marketing efforts are in line with industry standards. After all, if a breach is discovered, your brand not only faces larger fines, it will also take a hit to its reputation.With this, here’s our best practices for maintaining your marketing compliance in a tightly regulated industry.
The Dilemma and The Fix Series - Part 2
Matt is part of a Legal team for a big brand. His likes include legal protocol, tennis and home-made burritos. His dislikes include anything to do with motorsports and compliance issues.
Unfortunately, marketing compliance is getting harder for Matt’s team to manage with Marketing sending harried, last-minute approval requests. Last month, Legal was missed altogether in the sign off process for a major campaign – a major headache for Legal in the fallout! Now Matt’s team is trying to keep tabs on marketing projects with very little transparency. Twice already, Matt and another colleague have doubled-up on reviewing artwork. Matt is seriously considering a tree change.
Are you in a Legal or Compliance role where your brand’s reputation is on the line because of clunky marketing processes and tools? Do you feel Matt's pain? Well, here’s our fix for your marketing compliance issues.
With regulatory bodies and consumers (think social media) monitoring brands more closely for their marketing practices, marketing compliance should be top of mind again this year. After all, the alternative isn’t a desirable one, with hefty fines being doled out to brands that don’t comply and reputations on the line.