Changes to broadband price claims in ads comes into force


INSIGHT
Published
Oct 31st '16
Share
Facebook

Changes to fixed broadband advertised price claims have come into force today [31 October 2016] after the ASA signalled that transparency in broadband price ads must improve if advertisers are to be confident that their ads will not mislead consumers and risk being banned.

 

Earlier this year, the UK watchdog revealed they would be taking a tougher approach on how the price of broadband packages are advertised following the outcome of our research jointly produced with Ofcom. This research found that the presentation of pricing in fixed broadband ads was likely to confuse and mislead consumers about the cost of broadband services.  81% of participants were unable to calculate correctly the total cost of a broadband contract when asked to do so after viewing an ad.

 

From now on, in order for broadband providers to ensure they stay within the rules, their price claims should:

 

  • Show all-inclusive up-front and monthly costs; no more separating out line rental
  • Give greater prominence to the contract length and any post-discount pricing
  • Give greater prominence to up-front costs (such as delivery fee, activation fee, installation fee)

 

The ASA have engaged with industry and other key stakeholders, including consumer groups, on this issue and are aware that some broadband providers have already made changes and are no longer separating out line rental.

 

Commenting on the announcement, ASA Chief Executive Guy Parker, said: “Broadband is a service we all take for granted. That’s why some people can get frustrated when they sign-up to a package after seeing an ad, only to find their bills are higher than expected.

 

“Our research found people are likely to be confused and misled by the fixed broadband price claims in ads they see and we’ve responded by tightening our approach. From today, we expect to see a change in how broadband providers advertise their prices. The effect should be a real positive difference in how consumers understand and engage with ads for broadband services.”

 

Source: ASA

 

Other articles:

 

Need A Regulatory Marketing Compliance Consultant? A Bit More About Us

 

How we can help advertisers!

LS Consultancy are experts in Marketing and Compliance. We provide a cost-effective and timely bespoke copy advice and copy development services to make sure all your advertising and campaigns are compliant, clear and suitable for their purpose.

 

We also work with a range of firms to assist with improving their documents, processes and systems to mitigate risk.

 

Our range of innovative solutions can be tailored to suit your unique requirements, no matter whether you’re currently working from home, or are continuing to go into the office. Our services can be deployed individually or combined to form a broader solution to release your energies and focus on your clients.

 

Contact us today for a chat or send us an email to find out how we can support you in meeting your current and future challenges with confidence.

 

Explore our full range today.

 

Contact us

 

Why Not Download our FREE Brochures! Click here.

 

Call Us Today on 020 8087 2377 or send us an email.

 

FOLLOW US

Connect with us via social media and drop us a message from there. We’d love to hear from you and discuss how we can help.

 

Facebook | Instagram | LinkedIn | X (formally Twitter) | YouTube

 

Contact us