Skip to content

Can my business engage in character merchandising?

Character merchandising, or celebrity endorsements, plays on the emotional attachment that a particular consumer may have for the personality endorsing the product. This is a technique, generally targeted in promotional products and services for mass marketing, intended to create an emotional response in the consumer to desire and then buy the goods or services. The whole importance of character merchandising is the creation of an association of the product with the character; not the making of precise representations. Your business can engage in such promotion in so far that it is not misleading and deceptive conduct, or conveys a misrepresentation.

Forms of Character Merchandising

Character merchandising can come in many forms, including figures, drawings or designs of fictitious persons, the likeness, appearance of real persons and names, nicknames, voice and other recognisable characteristics of both. The intention of character merchandising is to use the personality features or characteristics of celebrities and increase the possibilities for the marketing of any secondary product or service that can be imagined.

Misleading and Deceptive Conduct

If the conduct causes consumers to be led into error and to form a misled state of mind or conclusion, this may be in breach of the Australian Consumer Law. In order to seek damages, it must be proven that the conduct caused loss or damage as a result of the association with the product and a certain image. For a business engaged in marketing, you need to avoid any potential misrepresentations in any image or marketing campaign exposed to the general public.

Continue reading this article below the form
Loading form

Conclusion

Misleading and deceptive conduct can give rise to potential litigation. If you are unsure about whether your marketing or promotional campaign is similar to character merchandising, contact one of our business lawyers to find out more about your legal obligations. Call us today on 1300 544 755.

Register for our free webinars

ACCC Merger Reforms: Key Takeaways for Executives and Legal Counsel

Online
Understand how the ACCC’s merger reforms impact your legal strategy. Register for our free webinar.
Register Now

Ask an Employment Lawyer: Contracts, Performance and Navigating Dismissals

Online
Ask an employment lawyer your contract, performance and dismissal questions in our free webinar. Register today.
Register Now

Stop Chasing Unpaid Invoices: Payment Terms That Actually Work

Online
Stop chasing late payments with stronger terms and protections. Register for our free webinar.
Register Now

Managing Psychosocial Risks: Employer and Legal Counsel Responsibilities

Online
Protect your business by managing workplace psychosocial risks. Register for our free webinar.
Register Now
See more webinars >
Lachlan McKnight

Lachlan McKnight

CEO | View profile

Lachlan is the CEO of LegalVision. He co-founded LegalVision in 2012 with the goal of providing high quality, cost effective legal services at scale to both SMEs and large corporates.

Qualifications: Lachlan has an MBA from INSEAD and is admitted to the Supreme Court of England and Wales and the Supreme Court of New South Wales.

Read all articles by Lachlan

About LegalVision

LegalVision is an innovative commercial law firm that provides businesses with affordable, unlimited and ongoing legal assistance through our membership. We operate in Australia, the United Kingdom and New Zealand.

Learn more

We’re an award-winning law firm

  • Award

    2025 Future of Legal Services Innovation Finalist - Legal Innovation Awards

  • Award

    2025 Employer of Choice - Australasian Lawyer

  • Award

    2024 Law Company of the Year Finalist - The Lawyer Awards

  • Award

    2024 Law Firm of the Year Finalist - Modern Law Private Client Awards

  • Award

    2022 Law Firm of the Year - Australasian Law Awards