Ethics or optics – The real test for advertising

Advertising no longer just sells products – it shapes values, behaviour and trust, amplifying the importance of regulation and consumer laws.

According to Advertising Council Australia National Head of Engagement Hannah Sturrock, Australia’s advertising industry is primarily self-regulated. She said the framework included the Australian Association of National Advertisers’ (AANA) Code ofD Ethics, industry-specific guidelines and an independent complaints system via Ad Standards where consumers could report breaches – these measures applied across all platforms and advertisers.

Ms Sturrock said the system was among the strongest globally, with the industry capable of responding to emerging challenges faster than legislation. She said ethical considerations were often integrated into decision-making processes within agencies, creative teams and among clients before a campaign was launched.

Dr Kelly Choong, Senior Lecturer and Advertising Coordinator in the School of Arts and Humanities at Edith Cowan University, shared this view and said rigid legal requirements in a creative industry could hinder adaptability, making it difficult to keep up in a fast-moving arena such as advertising.

“Self-regulation allows practitioners to respond more flexibly and make decisions based on what they consider ethically and professionally appropriate,” he said.

However, Dr Choong said this flexibility could also present challenges. He said when commercial objectives or campaign impact took centre stage, ethical considerations might be pushed into the background.

In a statement from its media team, Consumer Protection WA said businesses were legally required under the Australian Consumer Law to ensure advertising was accurate and not misleading across all formats. It said while regulation set a minimum standard, consumer trust was ultimately shaped by how brands chose to behave beyond these requirements.

Ms Sturrock said maintaining ethical standards remained a challenge, particularly due to influencer marketing, automated targeting and content generated by artificial intelligence. As advertising practices continue to evolve, she said guidelines needed to remain practical and relevant in everyday use.

Ultimately, it takes more than mere compliance to build trust among consumers. Trust is more likely to develop when brands go beyond simply following the rules and demonstrate genuine responsibility. Nevertheless, regulatory frameworks still play an important role – but their effectiveness depends on whether brands choose to go beyond compliance and act responsibly in practice.

Bio: Melissa Isabel Martens is a second-year Bachelor of Information Technology and Design student at the Technical University of Lübeck in Germany. She is currently on exchange at Edith Cowan University.