Sale promotion is a trade promotion activity of traders to promote the purchase and sale of goods and the provision of services by giving customers certain benefits. When implementing promotional programs, it will be a good opportunity for businesses to improve their ability to access the supply chain and penetrate distribution and retail channels to introduce goods and products to distributors, and consumers. At the same time, it is a bridge to help consumers know reputable brands with good quality goods. Promotions are regulated in many different forms. Merchants can choose the form of promotion to apply. However, some forms only require notification procedures, while others require promotion registration. In the article below, Viet An Law will advise you on regulations related to sale promotion registration procedures in Vietnam.
Table of contents
According to Article 19 of Decree 81/2018/ND-CP, there are only two cases that need to register for promotion programs out of a total of 9 forms of sale promotion applied in Vietnam. Accordingly, for the remaining 7 forms, traders conducting promotions only need to formally notify the management agency to proceed without registration.
Specifically, the forms of promotion that must be registered and notified are specified as follows:
Registration | Notification |
· Sale of goods or provision of services together with participation by customers in promotional games of chance in connection with the purchase of goods or services and winning of prizes due to chance of participants according to rules and prizes already announced (promotional programs of chance);
· Other forms of sales promotion if approved by the State management agency in charge of commerce. |
· Selling goods or providing services together with prize-contest entrance tickets to customers, to select prize winners according to the rules and prizes already announced.
· Organizing programs for frequent customers whereby gifts are presented to customers based on the quantities or values of goods purchased or services used by such customers and expressed in the forms of customers’ cards, coupons acknowledging the purchase of goods or services, or other forms. |
Traders prepare the prescribed registration dossier and submit it in 01 of 03 forms including:
Within 45 days from the date of expiry of the prize award period of the promotion program, the trader implementing the promotion program must send a written report to the competent state management agency (where registered and confirmed) on the results of the promotion program implementation according to Form 07 Appendix issued with Decree 81/2018/ND-CP.
In case 50% of the prize value without a winner must be deducted from the state budget, the trader must follow the steps in the following order:
No | Document | Quantity | Responsibility |
1 | Registration form for promotion (according to form No. 02 Appendix issued with Decree No. 81/2018/ND-CP) | 01 original copy | Viet An Law drafts, Client provides information |
2 | Sale promotion program regulations (according to Form No. 03, Appendix issued with Decree No. 81/2018/ND-CP) | 01 original copy | Viet An Law drafts, Client provides information |
3 | Sample of proof of winning or detailed description of proof of winning | 01 sample | Client |
4 | Authorization letter for Viet An Law’s staff to carry out the procedure | 01 copy | Viet An Law |
Promotion registration is only applied one time, during the registered promotion period.
The law does not regulate fees when registering for promotions. Therefore, this administrative procedure does not incur any fees or charges.
Registration documents must be sent to the Department of Industry and Trade before conducting promotions. Traders need to adjust the time limit for processing promotion registration procedures (minimum is 05 days) to make registration in time when the promotion is expected to take place.
Traders who conduct promotions in the form of registration but do not comply with regulations will be fined according to regulations. According to Clause 2, Article 33 of Decree 98/2020/ND-CP, as amended and supplemented by Decree 17/2022/ND-CP, if traders do not register for promotions according to legal regulations when conducting promotions, or registration that is not true to reality can be fined from 10 million to 20 million VND.
If there is any unclear content or need specific advice related to sale promotional registration procedures in Vietnam, please contact Viet An Law Firm for the fastest answers and support.
Update: 11/2024
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