Note: This advice is given by the CAP Executive about non-broadcast advertising. It does not constitute legal advice. It does not bind CAP, CAP advisory panels or the Advertising Standards Authority.
Scratchcards are often distributed as free inserts in newspapers and magazines and usually involve recipients having to scratch off one or more panels to see whether they have "won" a "prize". Recipients are often encouraged to phone a premium-rate number to see what they have "won". Those types of promotion have generated many complaints in the past and promoters should ensure they comply with the law and the Sales Promotion section of the CAP Code.
Promoters should distinguish clearly between prizes and gifts (Rule 8.19). If all, or most, participants in a promotion are entitled to a gift it should not be described as a prize; it can be described as a "gift", "award", "reward" or similar (see ‘Sales Promotions: Prizes v. Gifts’).
Promoters should neither exaggerate consumers’ chances of winning prizes (Rule 8.20) nor imply consumers are luckier than they are by, for example, implying they have won or are likely to win a prize. They should not imply recipients are lucky to receive a gift (often wrongly described as a "prize") if almost everyone who participates qualifies for it (Rule 8.21) (see ‘Sales Promotion: Implying Recipients Are Luckier Than They Are’).
Promoters should not imply that prize money or a voucher for a stated amount will be awarded as a lump sum if the award comprises many prizes or vouchers of lesser value (GR8 Games Ltd, 18 January 2006). Promoters offering vouchers as prizes or gifts should ensure that significant conditions attached to their use are stated clearly (Thus plc, 2 April 2003).
Promoters should not describe their promotion as "competitions" if no skill is involved to attain an award (Thus plc, 2 April 2003).
Some promoters have used the technique of distributing two scratchcards together and ensuring that one card is a “winner” and one a “loser”. Although half the cards are “losing” ones, promoters should not describe the others as “winning” cards or state that recipients are lucky to receive them, because all recipients nonetheless receive a “winning” card.
Promoters who require so-called “winners” to phone a premium-rate line to claim their prize or gift should offer a “free entry” or ”no purchase necessary” (NPN) route that enables winners to find out what they have won and how to claim it without incurring a cost. That route should be publicised in a way that is going to come to the attention of all potential participants. In the past, the ASA has asked promoters to give the free-entry route prominence equal to that given to the premium-rate entry route (GR8 Games Ltd, 18 January 2006) but at a minimum promoters should ensure the free-entry route is clear and prominent (Abstract Games Ltd, 30 April 2008). See ‘Sales Promotion: Free-entry routes’.
Some promoters have encouraged participants to pay by, for example, charging for the “cost” of posting prizes. Promoters should seek legal advice if their promotions might encourage participants to pay either to enter chance-based promotions or to collect their prizes or gifts (Mediaprom Ltd, 19 April 2006).
Promoters who require respondents to send a text message to a premium-rate number should state clearly if the respondents are entering into a subscription service (Morgan Import 1964 Ltd, 25 October 2006).
Most scratchcards found to breach the Code do not offer a legitimate, well-publicised and clearly explained free-entry route; the layout and description of the prizes and gifts and how the mechanic works are often confusing.
That advice is designed to be read in conjunction with the Sales Promotion section of the CAP Code and the other entries in this advice section, particularly ‘Prize Draws’ and ‘Free-entry routes’. Also, promoters might want to seek legal advice.
Last modified : 10 January 2012