Testimonials and endorsements in advertising

A testimonial is a statement about a therapeutic good made by a person who claims to have used that good personally or to have used it while caring for someone else.

Testimonials can be provided through, for example:

• product reviews
• user comments
• displaying an image or video of a user holding or using the good with corresponding text or audio describing their experience.

Consumers should be able to trust that testimonials used in advertisements for therapeutic goods are genuine unbiased accounts of an ordinary consumer's use of the product. 

As such, the Code prohibits the use of testimonials that are induced or incentivised by payment or reward of any kind (known as valuable consideration, see below). 

An endorsement is a form of support, approval or sanction. 

Endorsement can be indicated in various ways, including by:

• displaying an organisation's brand or logo
• displaying an image of the endorser holding the therapeutic good or using it such as an image of a person applying sunscreen 
• the endorser recommending the good for the indications and purposes consistent with the ARTG entry for the product. 

People may receive payments, gifts or favours (valuable considerations) for endorsements, provided this information is disclosed in the advertisement. 

Comments and images on a social media post, or reviews of a product on a website can be endorsements or testimonials.

The use of testimonials and endorsements in advertisements must comply with all applicable aspects of the Code. For example, they must not exaggerate the efficacy or performance of the advertised product. 

In addition, the Code prohibits certain individuals and organisations from endorsing therapeutic goods or making testimonials about them. 

When an endorsement or testimonial is made on (or linked to) your content, it becomes a part of your advertising.

You are responsible for keeping your advertisement and its endorsements and testimonials compliant.

This applies even if you: 

• didn’t write the endorsement or testimonial
• don’t know the person who wrote it
• don’t agree with it. 

Linked testimonials or endorsements

If your advertisement provides links to other websites or information, including international websites, the linked material is considered part of the advertisement and must also be compliant.

The content of an endorsement and testimonial must not: 

• contravene any relevant provision in the Therapeutic Goods Act 1989 (the Act) or the Code (not just the part of the Code relating to endorsements and testimonials)
• be inconsistent with information provided with the goods, including information on the label or instructions for use (these include health warnings, precautions or restrictions of use)
• be inconsistent with the good's indication(s) or intended purpose(s) found in the Australian Register of Therapeutic Goods (ARTG) for that product
• refer to health benefits that are not typical of expected benefits from the good when used as directed.

Advertisements must not contain testimonials and endorsements from certain people and organisations

These include: 

• a government or government authority (excluding health campaigns)
• a hospital or healthcare facility 
• employees or contractors of a government, government authority, hospital or health care facility
• a current or former health practitioner, health professional or medical researcher
• someone who represents themselves as being qualified or trained to diagnose, treat or prevent disease, ailment, defect or injury. 

Before you include or allow a testimonial in an advertisement about therapeutic goods, you must confirm:

• the testimonial maker's identity, and that they are not someone who is prohibited from making a testimonial
• that the content of the testimonial is compliant with all other aspects of the Code.

Testimonials must not be used if they have been given in exchange for a payment or ‘valuable consideration’ of any kind

Testimonials are not permitted if made by: 

• a persons engaged in the production, marketing or supply of the advertised therapeutic good 
• such a person’s immediate family members, unless this is disclosed in the advertisement.

If a person has or will receive payments or valuable consideration in exchange for making a testimonial they are considered to be involved in the marketing or supply of the goods and their testimonial must not be used. This includes brand ambassadors and social media influencers.

Before you include or allow an endorsement in your advertisement about therapeutic goods, you must confirm:

• the endorser is not someone who is prohibited from giving an endorsement about therapeutic goods (see list above under 'Advertisements must not contain testimonials and endorsements from certain people and organisations‘)
• the content of the endorsement is compliant with all other aspects of the Code.

If the endorser has received payments or valuable consideration for their endorsement, that this should be disclosed in the advertisement. 

• For example, you could include words like 'paid partnership' in social media posts.
   

Ensure an organisation’s endorsement has disclosed information

An organisation that represents healthcare for consumers or, current or former health practitioners, health professionals or medical researchers can only endorse therapeutic goods if the advertisement discloses:

• the name of the organisation
• whether the organisation has received or will receive any payments or valuable consideration for the endorsement.

People who receive payment of any kind (known as valuable consideration) for making a testimonial or endorsement are considered to be engaged in the marketing or supply of the goods. This includes social media influencers, bloggers and brand ambassadors.

Examples of valuable considerations include:

• cash payment
• provision of services
• gifts
• discounts on product
• free product
• flights
• accommodation
• promise of future benefit.  

What is not valuable consideration

Not everything given for free is a 'valuable consideration'. 

Valuable consideration cements an agreement or arrangement that a testimonial or endorsement will be provided. The following would not be considered valuable consideration:

• A sale or discount offered to all consumers equally that is not tied to the purchaser giving a testimonial.
• Product samples (listed in Annexure 2 of the Code) being given out at an event or from a shopfront that don’t require or encourage a testimonial to receive them. 

Only therapeutic goods listed in Annexure 1 and 2 of the Code are permitted to be provided as samples. See: Rules for giving samples and incentives to advertise therapeutic goods.