Business24.06.2009

Vodacom complaint leads to MTN sanctions

With the Confederations Cup on the go and the Soccer World Cup less than a year away the battle for exposure in the football arena is increasing. In mid-2009 MTN announced that it had signed up as a FIFA World Cup Sponsor in a US$65-million deal.

This sponsorship assures MTN excellent exposure among football fans, but it seems that the company is taking its soccer sponsorship claims a little too far.  The cellular provider is in hot water with the Advertising Standards Authority of South Africa (ASA) because of its use of the phrase “Bafana Bafana” in its advertising campaigns.

In 2008 MTN was found guilty by the ASA of “ambush marketing, imitation and causing confusion” through a campaign in which it said “Turning young men into Bafana Bafana”.  As the official sponsor of SAFA and the main soccer team which is known as Bafana Bafana, Vodacom lodged a complaint with the ASA, arguing that MTN created the impression that there was a connection between MTN and Bafana Bafana.

MTN was instructed to withdraw the advertisement and not to use the advertisement again in the same format in future, but according to Vodacom, MTN did not take this ruling by the ASA very seriously.

The Attorneys Adams and Adams, on behalf of SAFA and Vodacom, recently lodged a breach complaint against MTN’s billboard advertising in which the phrase “Bafana Bafana” is used again.  “The latest billboard advertisement which is materially similar to the initial advertisement complained of, is in breach of the Appeal Committee’s decision,” Vodacom said.

Vodacom further said that  “an appropriate sanction is requiring MTN to submit all future advertising to the ACA; withdrawing all MTN advertising as it presently appears on the billboards; calling on MTN to place advertising of equal size and space and costs on billboards; and to refer MTN to a disciplinary hearing in respect of this matter.”

MTN responded saying that the advertising billboard is an entirely new advertisement and not “exactly the same” or “ever so slightly different” as alleged by Vodacom.  MTN further argued that the advertisement clearly states which event MTN is associating itself with by the words, “We can’t wait. Let’s go 2010”- the 2010 FIFA World Cup.

“The word ‘Bafana’ is purely one of the many fans messages appearing on the T-shirts and incidental to the advertisement. Therefore the reference to ‘Bafana’ does not create the impression that MTN is an official sponsor of ‘Bafana Bafana’ and no reasonable consumer would get this impression,” MTN said.

The ASA was unconvinced, saying that while the billboard advertisement is slightly different in format from the previous one ruled against, MTN did not do enough to avoid non-compliance with the previous ruling showing a “total disregard of the ASA ruling in that MTN used the name ‘Bafana Bafana’ when in fact the ASA ruling prohibited that kind of advertising”.

“The MTN billboard advertisement reflects a total disregard of the ASA ruling and the mere withdrawal of the billboard is not sufficient enough to deter the respondent from failing to comply with the previous ASA ruling on this issue,” the Authority said.

The ASA ruled that sanctions against MTN are appropriate, and ordered MTN to “submit all future advertising, specifically those with reference to ‘Bafana Bafana’, to ACA Advisory Service, at the cost of the respondent, prior to publication for a period of six months.”

MTN was also instructed to withdraw the billboard advertisement with immediate effect.

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