Instagram Giveaway Rules In New Zealand

Running an Instagram giveaway can be a great way to build your audience, reward loyal customers and get your products in front of new people.

But once you offer a prize, your post is doing more than creating buzz. You're making promises to your audience, collecting personal information and asking people to follow a set of rules.

The good news is that your giveaway doesn't need to be complicated. You just need clear promotional giveaway terms and conditions that explain who can enter, how the winner is chosen, what the prize includes and how you'll use entrant details.

Do You Need Terms And Conditions For An Instagram Giveaway?

Yes, you should have written terms and conditions before you publish your Instagram giveaway. They don't need to be long, but they do need to be clear enough that someone can understand the rules before they enter.

Your giveaway terms help you avoid arguments about things like late entries, duplicate entries, unavailable prizes, fake accounts and delivery costs. They also help you comply with New Zealand laws such as the Fair Trading Act 1986, the Privacy Act 2020 and, for some prize draws, the Gambling Act 2003.

For a simple social media giveaway, your terms will usually cover:

• Who can enter: for example, New Zealand residents aged 18 or over.
• When entries open and close: include the date, time and time zone.
• How to enter: for example, follow your account and comment on the giveaway post.
• How many entries are allowed: one per person, one per comment, or another clear rule.
• How the winner is chosen: by chance, by judging, or a mix of both.
• What the prize is worth: include any limits, exclusions or expiry dates.
• How the winner will be contacted: and what happens if they don't respond.
• Privacy details: what personal information you collect and why.

Templates can be a useful starting point, but giveaway terms work best when they're tailored to your promotion. A clause that makes sense for a $50 skincare pack may not be enough for a holiday prize, alcohol promotion or collaboration with another brand.

What Eligibility Rules Should You Include?

Your eligibility rules should say exactly who can enter and who can't, because unclear eligibility is one of the easiest ways for a giveaway to turn messy.

Start with location. If your giveaway is only for New Zealand customers, say so. If you accept entries from overseas, think carefully about shipping costs, customs issues, local promotion laws and whether you're prepared to manage overseas winner communications.

Then consider age. Many Instagram giveaways are limited to people aged 18 or over, especially where the prize involves alcohol, beauty treatments, supplements, travel, events, fitness services or anything that may be unsuitable for minors. If your product is age-restricted, your promotion terms and conditions should reflect that.

You should also exclude people who are too closely connected to the promotion. For example:

• your employees, contractors and directors;
• immediate family members of your team;
• agencies or influencers helping run the promotion; and
• anyone using fake, duplicate or automated accounts.

Say you run a Wellington candle brand and you're giving away a $180 gift box. Your eligibility clause might say the giveaway is open to New Zealand residents aged 18 years or over, excluding your employees and anyone involved in running the promotion. That keeps the promotion focused on genuine customers and reduces the risk of someone claiming the result was unfair.

If your giveaway involves an influencer, be clear whether the influencer and their team can enter. Usually, they shouldn't.

How Should Entry Mechanics Work On Instagram?

Your entry mechanics should be simple, measurable and allowed by Instagram's rules. If people can't tell whether they've entered properly, you'll spend the giveaway answering DMs instead of growing your audience.

Common entry steps include asking entrants to:

• follow your business account;
• like the giveaway post;
• comment on the post;
• tag a friend, if the tagging is genuine and not misleading; or
• share the post to their story, if you can actually verify it.

Be careful with tagging rules. Instagram's promotion guidelines say you shouldn't inaccurately tag content or encourage people to inaccurately tag content. For example, asking entrants to tag themselves in a photo they're not in is risky. Asking them to tag a friend in the comments can be acceptable if it's genuine, but don't make the tagging misleading or spammy.

Also be realistic about proof. If you say entrants must share to their story, private accounts may not be visible to you. If you can't check it fairly, don't make it a condition of entry.

You should also decide how you'll handle multiple entries. For example, if each comment counts as one entry, say whether someone can comment 50 times. If that would skew the giveaway, set a limit.

Worked Example

Jess runs an Auckland ceramics business and wants to give away a $250 mug set. Her post says entrants must follow her account and leave one comment naming their favourite glaze. Entries open at 9:00am on 1 May and close at 5:00pm on 7 May, New Zealand time. One comment equals one entry, with a maximum of three entries per person.

That gives Jess a clear entry pool, a clear closing time and a fair way to remove extra entries if someone comments 20 times.

How Do You Choose And Announce The Winner?

You can choose the winner by chance or by skill, but your terms need to say which method you're using before the giveaway starts.

A chance-based prize draw is where the winner is picked randomly. This could be done through a random comment picker, spreadsheet number generator or another neutral method. Keep a record of the entries and the selection process, especially if the prize is valuable.

A skill-based competition is where the winner is chosen for the best answer, photo, caption or creative entry. If you're judging entries, say what the judging criteria are. For example, creativity, originality and relevance to the prompt.

New Zealand's Gambling Act 2003 can become relevant where prizes are awarded by chance and people provide consideration to enter. Many everyday brand promotions are structured as free-to-enter giveaways or sales promotion schemes, but the details matter. If people must buy something to enter, you should check whether the competition terms fit within the sales promotion scheme rules and whether there are any extra restrictions for your industry.

Your winner announcement process should cover:

• when the draw or judging will happen;
• how you'll contact the winner, such as by DM from your official account;
• how long the winner has to respond;
• what happens if the winner doesn't respond or is ineligible; and
• whether you'll publish the winner's name or Instagram handle.

For example, you might give the winner 72 hours to respond. If they don't, your terms can say you'll redraw or choose the next best eligible entry. Without that rule, you're left guessing what to do.

What Prize Conditions Should Be Clear?

Your prize conditions should describe the prize accurately and set out any limits, costs or expiry dates. This is where the Fair Trading Act 1986 really matters.

The Fair Trading Act prohibits misleading or deceptive conduct and false or unsubstantiated claims in trade. In practical terms, your giveaway post and terms shouldn't exaggerate the prize, hide key costs or suggest a benefit that isn't really available.

Be specific about the prize. Instead of saying win a luxury self-care bundle, say what is included. For example, one skincare set valued at $220, including cleanser, moisturiser, serum and reusable cosmetic bag.

You should also spell out conditions such as:

• whether the prize can be exchanged for cash;
• whether colours, sizes or product variants are subject to availability;
• whether delivery is included, and to which locations;
• any expiry date for vouchers or services;
• whether bookings are subject to availability;
• whether the winner must collect the prize; and
• what happens if the prize becomes unavailable for reasons outside your control.

If you're collaborating with another brand, make sure you have their written approval to use their name, logo and products in the giveaway. You should also agree who is responsible for supplying the prize, shipping it, dealing with winner questions and replacing anything that arrives damaged.

If your promotion includes influencer content, make sure sponsored posts aren't misleading. A post that suggests the influencer personally bought or independently recommends the prize may be risky if the arrangement is paid or gifted.

What Privacy Rules Apply When You Collect Entrant Details?

The Privacy Act 2020 applies if you collect personal information from entrants, including names, Instagram handles, email addresses, phone numbers, delivery addresses or photos that identify people.

You don't need to collect more information than you actually need. For many Instagram giveaways, you can collect entries through comments and only ask the winner for their delivery address after they're selected. That reduces the amount of personal information you hold and makes the promotion easier to manage.

When you collect personal information, you should tell entrants:

• what information you're collecting;
• why you're collecting it;
• who you'll share it with, such as a courier or prize partner;
• whether entry is conditional on providing it;
• how they can contact you about their information; and
• whether you'll use their details for marketing.

Be especially careful about marketing consent. Entering a giveaway doesn't automatically mean someone has agreed to receive ongoing promotional emails or texts. If you want to add entrants to your marketing list, ask for clear consent and make it easy to unsubscribe.

You should also think about public announcements. If you plan to post the winner's Instagram handle, say that in your terms. If you want to repost user-generated content, such as entry photos or videos, include a clear permission clause. For more sensitive content, get express written consent before reusing it in ads or on your website.

If privacy is a major issue for your promotion, get tailored advice before you launch.

What Should Your Promotion Terms Include?

Your promotion terms should be a short, practical document that matches the giveaway post. If the post says one thing and the terms say another, entrants may rely on whichever version is more favourable to them.

You can host the full giveaway terms and conditions somewhere easy to access and refer to them in your caption. For a very small giveaway, you might include the key terms in the caption, but bigger promotions usually need a separate set of terms so you don't miss anything.

Here's a fill-in outline you can use as a starting point. A lawyer should tailor it before you use it, especially if your prize is valuable, your entry method involves purchases, or your industry has extra rules.

1. Promoter Details: write your business name, NZBN if you have one, and contact details.
2. Promotion Period: state the opening and closing date, time and time zone.
3. Eligibility: set age, location and exclusion rules.
4. How To Enter: list each entry step and any entry limits.
5. Prize Details: describe the prize, value, delivery and conditions.
6. Winner Selection: explain whether the winner is selected by chance or skill, and when this happens.
7. Winner Notification: state how you'll contact the winner and the response deadline.
8. Redraw Or Rejudging: explain what happens if the winner can't be contacted or is ineligible.
9. Privacy: explain what information you collect, why, and who you share it with.
10. Instagram Disclaimer: state that the promotion isn't sponsored, endorsed, administered by or associated with Instagram.
11. General Conditions: cover fake entries, technical issues, prize substitutions and changes outside your control.

Before posting, compare your caption, artwork, influencer briefs and promotion terms side by side. The promotion should tell one consistent story.

Key Takeaways

• Instagram giveaway rules in New Zealand are mainly about clear terms, truthful prize claims, fair winner selection and privacy compliance.
• Your terms should cover eligibility, entry steps, closing times, winner selection, prize limits, privacy and the Instagram disclaimer.
• The Fair Trading Act 1986 applies to your giveaway posts, captions, stories and influencer promotions, so don't overstate the prize or hide conditions.
• The Privacy Act 2020 applies when you collect entrant details, and marketing consent should be clear rather than assumed.
• If your giveaway involves a purchase, chance-based winner selection, alcohol, travel, health products or a high-value prize, get tailored advice before launching.

If you'd like help with your Instagram giveaway terms, promotion wording, privacy notices or influencer collaboration documents, you can reach us at 0800 002 184 or team@sprintlaw.co.nz for a free, no-obligations chat.