Towards effective advertising self‐regulation in Australia: the seven components

Despite claims of social and economic benefits, advertising has always had its critics. However, when dealing with unacceptable advertising, advertisers in developed countries usually choose a self‐regulatory approach in order to stave off government intervention. The recent breakdown of one of the world's longest established advertising self‐regulatory programmes in Australia has reopened the 20‐year‐old debate concerned with enhancing understanding of such regulatory systems. This article presents a framework for assisting in improving the effectiveness of advertising self‐regulation that is informed by both the literature and the key findings of an Australian study. The study used a mixed approach to data collection, including in‐depth interviews with regulators, advertisers and public participants and historical analysis of more than 10 000 complaints over a period of 10 years. From this research three key concepts are developed for assisting industry and regulators concerned with regulating advertising in eliminating undesirable features of such systems in the future. The empirical work succeeds in making both a practical and theoretical contribution to advertising self‐regulation specifically and industry regulation in general.