This July we say goodbye to mandatory pre-approvals for Therapeutic Goods advertising to the general public – but hello to a new service from Consumer Health Products Australia (CHPA) to provide compliance checks and advice to those creating, placing or publishing therapeutic goods advertising for consumers.

For 25+ years mandatory independent expert reviews by the TGA helped ensure compliance of therapeutic advertising to consumers. While these pre-approvals have now been removed, advertisers must still ensure their ads are compliant but without the previous safety net. Marketers, publishers, broadcasters and agencies are also responsible for noncompliant ads, risking heavy fines, sanctions and brand damage. Cube has been very proud to support CHPA with the launch of their new service available to all companies, agencies or publishers involved in therapeutic goods advertising for consumers.

So what are the risks?

Prior to today, mandatory pre-approvals were in place by Therapeutic Goods Advertising Code (TGAC) experts, to help advertisers:

  • manage their compliance obligations
  • reduce the compliance due diligence burden for publishers
  • minimise the publication of noncompliant ads

From 1 July, this safety net no longer exists and advertisers and those who “cause” advertising are legally responsible for compliance and potentially vulnerable to TGA noncompliance penalties, including fines up to $10 million and criminal prosecution. Unfortunately non-compliance with therapeutic goods advertising risks not only heavy fines and sanctions, but also:

  • brand and reputational damage
  • jeopardising creative and financial investments made to develop a brand
  • opportunity loss and creative costs of relaunching ad campaigns
  • administrative and legal costs managing complaints and non-compliance issues

Use of an independent compliance service provided by dedicated TGAC experts, like AdCheck, is an easy and effective way advertisers, agencies, publishers and broadcasters can minimise the risk of non-compliance.

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