Description:
The advertisement within the app promoted a sale offering a certain percentage off a one-time purchase. A redemption code was included for the offer, as well as a disclaimer noting that exclusions and terms apply. The advertisement included a SHOP NOW reference, linking to the advertiser’s landing page where the offer’s terms were available.
Complaint:
The complainant challenged the accuracy of the advertisement because when trying to make an online purchase, the redemption code did not work and an error message was received noting that the promotion was only available in the United States.
Response:
In its response to Council, the advertiser confirmed that the advertised promotion was not available in Canada and that the associated terms and conditions stated that the promotion was available in their U.S. stores and on their U.S. website.
Furthermore, the advertiser submitted that the advertisement was only included on the apps of Canadian consumers for a very short time [a day] before it was permanently withdrawn from their apps.
Decision:
Council appreciated the advertiser’s response, and considered the complaint together with the advertiser’s submission.
Council members were of the view that stating broadly that ‘exclusions and terms apply’ within the ad copy to refer to the offer not being available in Canada is not sufficient to avoid the advertisement being misleading in the context of an ad targeting Canadians in an app. Council felt that such a disclaimer had no value because anyone in Canada who saw the ad would reasonably assume that the offer is available to them, and not assume that ‘exclusions and terms’ include the fact that the offer is not available within Canada. Having the full offer terms a click and scroll away from the offer is not sufficient disclosure of such a fundamental term.
According to Council members, advertisers “have to pay attention to those things” because “if I open my app in Canada, I’m assuming all the offers are specific to Canada”.
Council unanimously held that the advertisement contained a misleading representation in contravention with Clause 1(a) of the Code.
Infraction:
Clause 1(a)
