Mar 2, 2010

Posted in Advertising, Business Marketing

False advertising examples

The growing competitiveness amongst the big market players have lead them to mislead their customers in the form of false advertising. This type of advertisement makes use of misleading statements that people easily fall prey to. The false advertisements are so articulated to make it look so truthful and real that even the true, disciplinary advertisements looks like false advertising. These types of advertisements are so made to make believe the customers that they are somehow profiting from the transaction. Deceptive advertisements cheats the customers of quantity or quality, a customer might feel he made good deal but in real sense he might have paid a lot more money.

The US Federal Trade Commission (FTC) has set up a regulatory committee to end all the misleading or deceptive claims made by the companies. The FTC describes the incidences were there is potentiality of getting deceived by the existing claims made by companies in advertisements. If you are a deceived customer, you can submit the copy of the original ad and claim made by deceiving company to FTC or your State Bureau. You cannot probably sue the company for making such false claims but reduce the probability of them making such false claims in the future.

Usually, there are many forms of false advertising the manufacturers use to deceive their customers with false claims. The most common forms is INFLATED PRICE COMPARISON, the retailers tend to raise the price of the product and then offer the products at a lower sale price to the customers to which customers believe that they are getting a good deal out of merchandise sale but supposedly they are paying the same cost. The inflated price can be practiced when the customers have loyalty cards to shop at grocery stores or other retail outlets. The inflated costing saves them a little money. The other forms of false advertising are selling the products with a rebate. The companies do not give rebate at the point of purchase but needs to be claimed by the customer. Some companies do not give rebates on time and so customers are made to pay full price later on. Some other forms of false advertising used by manufacturers and retailers are:

  • Bait and Switch advertising is used to lure customers with attractive offers and then trying to sell them more expensive products.
  • false advertisingCustomers often get attracted to Buy one Get one Free, in this form of advertisement; the price of the product is doubled or inflated to a specific amount to cover the cost of free item.
  • Most of the advertisements make use of misrepresentation techniques by falsely claiming the actual origin, the use of the product, the benefits, the quality, etc. Let us take an example of a manufacturer using a beauty model to showcase that she reduced weight using their products.

People get lured by the false claims made by companies, the best way to stay alert is: compare the different product’s pricing, their uses, benefits, facts, claims made, etc. You can report any cases of mal-functions or misrepresentations by companies to the Department of Consumer Affairs.

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  1. In this competitive world people have forgotten their ethics in business. Most companies makes false commitments.

  2. I’m very happy that FTC is taking strict actions against companies making false claims.It will change a lot of things.

  3. Price comparison is the most common thing done and also showing false thing like you reach on top of the world using this product and all.

  4. Sometimes false claiming advertisement creates a negative impression on children which can be a disaster.

  5. I feel all these offers provided by the stores are bull shit! They will increase the price and then will keep the same price and tell its half price!

  6. I completely agree and I’ve noticed many times that they will keep all the old and outdated stock which gave them losses due to low sales figures.

  7. I seriously get pissed seeing the advertisement which says use our product and you will be the best in the world, eat our product you will be having best looks, etc.

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