Tuesday, September 1, 2015

BDM103, Professional practices, 31 August

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BDM103 task 6 in Y drive:  find example ASA upholding complaint and not upholding complaint regarding environmental claims

Research one example of a complaint being upheld and one example of a complaint not upheld.
   (for the code and standard assigned to you in class)
Provide information on the following –
oWhat was the nature of the complaint?
oWho were the parties involved?
oWhat was the outcome?

o
oASA Link –


First impressions

Businesses should be careful that the overall impression created about a product is not misleading.
Seeking to convey an image of being environmentally friendly by using scenery in advertising, or designs featuring images or icons associated with the environment such as dolphins or plants, will breach the Fair Trading Act if that imagery is found to create an impression which cannot be substantiated.
Likewise, care should be taken when choosing a business or product name, that the name does not use environmental terminology or imply green credentials that cannot be substantiated.
Complaint upheld:
                                      Complainant: S. Duncan
                                      Advertisement: The Green Stuff


Complaint: The website advertisement at www.thegreenstuff.co.nz advertised a multi-purpose cleaner “The Green Stuff.” Wording said:

Non Toxic
Non Flammable
Biodegradable
Food Safe
Environmentally Friendly”.

Complainant, S. Duncan, said:

“Type: Web site
Where: Wednesday 15th October 2008. On the Web. It is called The Green Stuff. Who: The Green Stuff
Product: Multi Purpose Cleaner

Complaint -
They advertise to be environmentally friendly yet when speaking to the owner by phone he said they don't claim to be environmentally friendly because it is a grey area. It has ammonium in the product also.”

http://old.asa.co.nz/display.php?ascb_number=08549
Deliberation


The Complaints Board carefully read the correspondence relevant to the complaint and the advertisement. It noted Complainant, S. Duncan, was of the view that the advertisement was misleading where it made the claim “environmentally friendly” as there was “ammonium” in the product.

The Chairman directed the Complaints Board to consider the complaint with regard to the Code for Environmental Claims Basic Principles 1 and 3, 3(a), 3(b) and 3(c).

Turning to Basic Principle 1, the Complaints Board noted the wording where it said:
“… absolute claims for environmental benefit, either stated or implied, are not appropriate.
eg "Environmentally friendly"
….
are absolute claims and therefore not acceptable.”

The Complaints Board took into account the explanation received on behalf of the Advertiser that the claim had been be removed from the product labeling, but the website advertisement had been overlooked. It noted that an apology was tendered for this omission. However, as the Advertisement stood, the Complaints Board said it was technically in breach of Basic Principle 1.

It then considered the fact that the Complainant said the product contained ammonium, when in fact the advertisement said it contained alkydimentyl ammonium -chloride, and also claimed that the product was ammonia free.  The Complaints Board reiterated its long-held position that it was not an arbiter of scientific fact. However, it noted that in the instance before it the Advertiser had not provided substantiation that alkydimentyl ammonium-chloride was ammonia free. It accepted that there had been time constraints regarding preparation of the response. However, the Complaints Board ruled that the Advertisement was in breach of Basic Principle 3 in respect of this claim.

The Complaints Board ruled to uphold the complaint.

Complaint not upheld:
Complaint 08/460


                                    Complainant: P. Scott
                                    Advertisement: McDonald’s Restaurants (NZ) Ltd


Complaint: The television advertisement for McCafe featured shots of coffee being made in a McCafe as well as the coffee beans being picked in the rainforest by workers. The voice-over included: “McCafe is now serving a stronger, smoother, more enjoyable coffee that not only tastes great, it’s great for the environment too. Made with 100% Arabica Beans. It’s New Zealand’s first to be sourced from rainforest alliance certified farms. This means the coffee beans are grown in a way that helps to improve workers’ income, the communities and the environment. McCafe new coffee blend. A great deal for workers and a great tasting coffee for you.”

Shown on screen during part of the advertisement is the following web address:




Complainant, P. Scott, said:

“Type: Television
Where: Channel 3
Auckland
Approx. 8:17 pm
25 August 2008
Who: McDonalds McCafe
Product: McCafe Coffee

Complaint -
The advertisement breaches the code for environmental claims by using a generalised, absolute claim. The ad stated that McCafe coffee is "great for the environment".”
Deliberation

The Complaints Board carefully read the relevant correspondence and watched the  television advertisement. It noted Complainant, P. Scott, was of the view that the advertisement breached “the code for environmental claims by using a generalised, absolute claim” where it stated that McCafe coffee is "great for the environment".

The Chairman directed the Complaints Board to consider the complaint with reference to the Code for Environmental Claims, Basic Principles 1 and 3, also 3(a), (b) and (c).

Turning to the advertisement, the Complaints Board noted that the full claim said: “McCafe is now serving a stronger, smoother, more enjoyable coffee that not only tastes great, it’s great for the environment too.”

This claim was qualified with: “Made with 100% Arabica Beans. It’s New Zealand’s first to be sourced from Rainforest Alliance Certified Farms.”

Accordingly, it agreed that the message promoted a blend of coffee which was new to New Zealand and McCafe, and was sourced from Rainforest Alliance Certified Farms.  It also said that “great” was in the nature of a “generalised” rather than an “absolute” claim.

The next part of the advertisement said: “This means it is grown in a way that helps to improve workers’ income, the communities and the environment.”

This, in the majority view advised that the advertised product had an environmental advantage and was an improvement on its previous method of manufacture. Accordingly, the majority of the Complaints Board said the voice-over and graphics in the advertisement clearly communicated to the consumer, the basis for the claim, and that it was able to be substantiated, meeting the requirements of Basic Principle 3(a). The majority also said the claim met the relevant local or international standards as appropriate which was required by Basic Principle 3(b) and, in accordance with the requirements of Basic Principle 3(c), clearly explained to the consumer, the nature of the benefit.

Accordingly, the majority said it was not in breach of Basic Principles 1 or 3 of the Code for Environmental Claims.

On the other hand, the minority was of the view that the claim was questionable when assessed in respect of Basic Principle 1. Although the coffee beans may have been grown and harvested in an environmentally conscious manner, the environmental benefit did not appear to cover the complete life-cycle of the product and its packaging taking into account any effects on the environment of its distribution, use and disposal. Thereby the minority said the advertisement contained an exaggerated claim which was likely to mislead the consumer, and in the minority view the advertisement was in breach of this Basic Principle.

However, in accordance with the majority view, the Complaints Board ruled to not uphold the complaint.


Decision: Complaint Not Upheld

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