Telkom (again )advert nailed

daveza

Honorary Master
Joined
Apr 5, 2004
Messages
47,683
http://www.asasa.org.za/ResultDetail.aspx?Ruling=3878

18 Sep 2007
Mr Moorad lodged a consumer complaint against Telkom’s “do” broadband campaign.

The television commercial from this campaign states, inter alia, “…do movies, gaming, education, business, music, Broadband…” The words “Includes 1 Gigabyte internet usage” appear at the end of the commercial.

COMPLAINT
In essence, the complainant submitted that the advertising states that one can “do” music, movies and on-line gaming, but only affords the user 1GB. This is misleading as a DVD-quality movie is at least 4GB and online gaming needs at least 20 GB monthly to play daily.

RELEVANT CLAUSES OF THE CODE OF ADVERTISING PRACTICE
In light of the complaint the following clauses of the Code were taken into account:

• Section II, Clause 4.1 – Substantiation

• Section II, Clause 4.2.1 – Misleading claims

RESPONSE
The respondent submitted arguments on the merits of the matter but also advised that it will amend its Internet advertising by including a disclaimer.

ASA DIRECTORATE RULING
The ASA Directorate considered the relevant documentation submitted by the respective parties.

The complainant took issue with the campaign arguing that one can not download music, movies and play online gaming with just 1GB as implied.

The respondent submitted that it will insert the following disclaimer on its website terms and conditions:

“Depending on the activity (movies music, gaming, education, communication, business or on line gaming) the onus is on the customer to ensure that there is sufficient bandwidth to cater for such activity.”

The television commercial already contains states, “Terms and Conditions apply”.

In light of this, the Directorate needs to determine whether or not this amendment would address the complainant’s concerns for both Internet advertising and the television commercial.

Website
Other than taking issue with the respondent’s “campaign”, the complainant did not specify any shortcomings on the respondent’s website which promotes this product. He merely argued that it is offering functionalities that cannot realistically be achieved when using these packages.

The website shows 3 different packages with different bundles and a host of pop-up screens and interactive menus that contain detailed information about each package. Accordingly, a hypothetical reasonable person is afforded the opportunity to examine the benefits of each package to see if it caters for their needs. The website promotes this product as “do Broadband – South Africa’s portal to music, movies, games and more…”. The consumer is therefore aware that there are different sized packages available in relation to the offer.

Notwithstanding this, the Directorate noticed certain inaccuracies and discrepancies, all of which relate to the concerns raised by the complainant:

Firstly, on the “do Movies” option, the website shows an image of Leon Schuster from one of his movies. A hypothetical reasonable person would interpret this to mean that one would be able to download and watch movies with this product. This is the same interpretation as the complainant had.

However, when clicking on this option it becomes apparent that this is not possible. This functionality merely offers short video clips from YouTube and the opportunity to view wildlife on Wildearth. The only association with full-length movies is that one may purchase tickets on-line for Nu Metro or Ster Kinekor and read movie news.

The “do Gaming” option claims to bring customers “South Africa’s number 1 online gaming service”. While it does appear to offer the opportunity of online gaming, there is no indication that this will only function on the larger and more expensive of the available packages.

The respondent did not dispute this and relied on the proposed disclaimer “Depending on the activity (movies music, gaming, education, communication, business or on line gaming) the onus is on the customer to ensure that there is sufficient bandwidth to cater for such activity.”

This is problematic for two reasons: firstly because it does not alert the consumer to the material fact that only the top-end packages possibly support this functionality; and secondly because the proposed amendment would be tucked away under the lengthy terms and condition section where, at best, it would merely clear up a misleading impression already created.

In light of the above, the website material is currently not sufficiently clear as to the capabilities and limitations of each “do” package, which is likely to mislead consumers. While the Directorate accepts that consumers have a duty to ensure that the correct package for their individual needs is purchased, they can only do so when all material information is displayed upfront, which is not the case currently.

Accordingly, the website material contravenes Clause 4.2.1 of Section II of the Code.

Given the above:



The website advertising must be amended to clearly reflect the material limitations;


The process to amend the advertising must be actioned with immediate effect on receipt of ruling;


The amendment must be completed within the deadlines stipulated by Clause 15.3 of the Procedural Guide; and


The advertisement may not be used again in its current format in future.

Television commercial
The commercial only promotes the 1Gigabyte package while stating that it offers “movies”, “gaming”, “education”, “business”, and “music”. Unlike the website, there is no indication that there is more than one package. The voiceover merely states “…broadband access from only R199 per month…”.

The hypothetical reasonable person is therefore likely to interpret the commercial to mean that the 1GB package will allow one to do all the indicated things. The complainant disputed this and argued that 1GB would not be sufficient to allow all the activities listed.

The respondent did not deny this and chose to rely on the fact that the commercial states, “Terms and conditions apply”. It would therefore appear ex facie that one can not do all the advertised activities on a 1 GB package.

The ASA has a long-standing principle that an advertiser cannot use a disclaimer to rectify a misleading impression already created by the advertisement. In Globel / D Carter / 9314 (6 August 2007), for example, the Directorate ruled, “It is also trite that advertisers cannot rely on a disclaimer to clear up any confusion that may have been created in the body copy of an advertisement. The fact that there is another charge that is incurred when consumers utilise the respondent’s airtime is a material condition that should be prominently visible in the same way that the respondent’s rates are visible”.

Similarly, the statement relied on by the respondent in the current matter cannot suffice, as it does nothing to negate or correct the impression created that all the listed activities are possible on the 1GB package.

The fact that all the indicated capabilities are not available on the advertised package is a material condition that the respondent has a responsibility to disclose to viewers.

Given that it does not, the commercial is likely to mislead consumers in their expectations about the capabilities of the advertised product. Accordingly, the commercial contravenes Clause 4.2.1 of Section II.

Given the above finding:


The commercial must be withdrawn;


The process to withdraw the commercial must be actioned with immediate effect on receipt of ruling;


The withdrawal of the commercial must be completed within the deadlines stipulated by Clause 15.3 of the Procedural Guide; and


The commercial may not be used again in its current format.

It is not necessary to consider the other clause at this point. The respondent’s attention is also drawn to Clause 15.5 of the Procedural Guide.

The complaint is upheld.
 

semiautomatix

Honorary Master
Joined
Nov 9, 2005
Messages
11,914
In essence, the complainant submitted that the advertising states that one can “do” music, movies and on-line gaming, but only affords the user 1GB. This is misleading as a DVD-quality movie is at least 4GB and online gaming needs at least 20 GB monthly to play daily.

Thats what I have been asking about for the last few months!
 

Datura

Captain Faptastic
Joined
Oct 12, 2006
Messages
47,705
Very interesting. Thanks for posting that link. I never visited that site before.
 

Sneeky

Honorary Master
Joined
May 5, 2004
Messages
12,129
Anyway we can get numbers on how many times TELKOM, MTN and Vodacom have been found wanting by the ASA this year?
 

Lycanthrope

Honorary Master
Joined
Oct 26, 2006
Messages
13,321
lol @
...but also advised that it will amend its Internet advertising by including a disclaimer.

Ooo... Wow.. a DISCLAIMER! DO IT ALL!!! But bear in mind that you can only do it half-way if at all.
Gotta love Telkom :) (Yeah right)
 

The_Unbeliever

Honorary Master
Joined
Apr 19, 2005
Messages
103,196
This is also a lie. It doesnt take into consideration the R112 line rental...

...it sure is a lie... they must include ALL the costs of the package...

...and why MUST we have an analogue line which we won't use at all? :rolleyes:
 

Lycanthrope

Honorary Master
Joined
Oct 26, 2006
Messages
13,321
...it sure is a lie... they must include ALL the costs of the package...

...and why MUST we have an analogue line which we won't use at all? :rolleyes:

lol... That's a brilliant point. I don't use my phone line for anything else, at all. I find it hilarious that I'm paying for the rental of a phone line and a DSL line - which are the SAME line.

Ahh well... As hopeless as this may sound, I still have my heart and faith set on Neotel. I can only hope they hurry it up.
 

StrontiumDog

Honorary Master
Joined
Sep 2, 2006
Messages
10,876
Yeah, I don't use my home line anymore either, and have too many offpeak minutes that I can use, with my Vodacom and MTN contracts!!! :mad:
 

Tommygun

Senior Member
Joined
Apr 9, 2006
Messages
679
Fantastic! DO the odd e-mail and browse the odd web page, then pay some more.
The ASASA site is brilliant and often good for a laugh, its great that there are some people out there who have the time and inclination to haul many of these advertisers oiver the coals.
 

LazyLion

King of de Jungle
Joined
Mar 17, 2005
Messages
105,605
I love it when the ASA tells Telkom to wake up and smell the coffee!! :D

haha... actually, I love it anytime Telkom has to shut their lying gobtraps!!!:cool:
 

DragonLogos

Expert Member
Joined
May 2, 2005
Messages
2,033
They should now be banned from advertising until it has been passed by some place like Myadsl :)
 

stoke

Honorary Master
Joined
Aug 7, 2003
Messages
10,532
Daveza is my hero! YEA BAYBEE! Take that, and that, and that, and stop misleading the public you teklom you!
 

emmanuel

Well-Known Member
Joined
Jan 30, 2005
Messages
290
Telkom is out of touch, not just their marketing. :eek:

Point is their product offerings are inferior and lags the word. ADSL in SA is far behind what is available. They get away with it because SA in general is not Internet savvy yet.

Imagine how many jobs would be created if SA had a vibrant Internet savvy industry. Every Tom, Dick and Harry would have some internet business. Anyone could have one. There would be no discrimination. And many jobs would be created, by self starter type.

But no Telkom, it's owners and regulator/s are likely not seeing the damage they're causing. Mainly because they're not Internet savvy albeit in charge and shouting the odds and unaware.
 

lenosb

Well-Known Member
Joined
May 4, 2006
Messages
287
Telkom will now have to offer their new Telkom Can't Do Broadband package.....:D
 
Top