The Ad Standards Industry Jury has recently upheld a competitor complaint against a company claiming that its disposable coffee cups are plastic-free, fully recyclable and compostable.
The advertiser and product in question was the Truly Eco Plastic Free Coffee Cups and Pinnacle International Wholesalers, with BioPak being the complainant who brought things to light.
Following a full assessment of the advertising material and submissions provided by the advertiser and the complainant, the Industry Jury upheld the complaint.
The Industry Jury took the view that the advertising material created an overall impression that was misleading or deceptive, and implied a benefit to the environment that was not substantiated.
“Environmental claims can be a powerful marketing tool with customers becoming more conscious of their impact on the environment,” Ad Standards said.
“As more and more companies rely on environmental claims to distinguish their brands and products, there is increasing scrutiny of these claims and how they can be substantiated.”
The case serves as an important reminder to advertisers that they must hold sound documentary evidence to support claims that consumers are likely to regard as objective, and that are capable of objective substantiation, before publishing their advertising or marketing communication.
In response to the determination, the advertiser has agreed to review its advertising material.
The full case report provides further detail about the case, including the submissions made by both the complainant and advertiser, as well as the Industry Jury’s analysis.
The outcome highlights the advertisers’ responsibilities under the advertising codes, and illustrates the scope Ad Standards has to review advertising claims in media other than traditional advertising space, including claims on a company’s own website and brochures.
“The Industry Jury service is available to all Australian businesses on a fee for service basis, and provides a mechanism to resolve complaints between competitors about the truth, accuracy and legality of their advertisements,” said Ad Standards.
“One of the greatest benefits of using the Industry Jury service is the ability to have a case assessed, and resolved in a fraction of the time and cost required for litigation.”
For further information about making a complaint about a competitor’s environmental claims, click here.
