Ad description
A leaflet for a mobile telecommunications company was headed "GT MOBILE Pay less talk more". The front page stated "Call over 60 countries for only 1/2p*/min". Below this the leaflet listed numerous countries included in the offer. Smaller text at the foot of that page stated "*See details on reverse side". A white box at the foot of every page of the leaflet contained their website address and "For more information" followed by a telephone number.
Text on an inside page of the leaflet stated "1/2p**/min". Further text next to an image of the flag of the United Kingdom stated "UK Landline + Mobile". Smaller text at the foot of this page stated "*See details on reverse side".
The reverse of the leaflet contained a table showing countries and the cost of calling to a landline and mobile phones in those countries. Small text underneath the table stated "** National calls 1/2 p/min offer applies for the first 15 minutes of every call. Calls over 15 minutes will be charged at standard rate (Landline 3p/min & Mobile 9p/min). A call connection fee of 15p per calls [sic] will be applied for all national and international calls". Beneath this further text stated, "*International 1/2 p/min offer applies for the first 15 minutes of every call. Calls over 15 minutes will be charged at standard rate of 3p/min. A call connection fee of 15p per calls [sic] will be applied for all national and international calls".
Issue
Lebara Mobile Ltd challenged whether the leaflet was misleading because it was not sufficiently clear that after 15 minutes the charge of the call increased to three pence per minute, or that there was a 15 pence connection fee for each call made.
Response
Lycamobile UK Ltd (Lycamobile) did not believe that the leaflet was misleading. They said the leaflet was generally distributed via GT Mobile employees at allocated stall points, where any consumer questions could be answered on the spot. They also said the terms and conditions were clearly displayed on the reverse of the leaflet in simple English. They added that consumers were directed to both the GT mobile website and customer service number if they required further information. Lycamobile maintained that there was no omission of material information and that all significant terms and conditions that might have an impact on a consumer's decision to purchase the product were self-contained on the leaflet itself.
Assessment
Upheld
The ASA noted a 15 pence connection applied to every call and that the cost of the call increased to three pence per minute after 15 minutes. We considered that, because most consumers did not pay connection charges for standard mobile calls, the fact that they applied in this case should have been stated more prominently. Although we noted that this term was stated on the reverse of the leaflet and that this was linked to the claims by asterisks, we did not consider this prominent enough and considered that it should have been stated in the main body of the ad, next to the price claims. Although the increase in the cost of the call after 15 minutes was also included on the reverse of the leaflet, we considered that this contradicted rather than qualified the claim "1/2p/min". We therefore considered that the leaflet should have stated, "From 1/2p/min" and featured the qualifying text next to the price claim. For these reasons we concluded that the ad was misleading.
The ad breached CAP Code (Edition 12) rules
3.1
3.1
Marketing communications must not materially mislead or be likely to do so.
and
3.3
3.3
Marketing communications must not mislead the consumer by omitting material information. They must not mislead by hiding material information or presenting it in an unclear, unintelligible, ambiguous or untimely manner.
Material information is information that the consumer needs to make informed decisions in relation to a product. Whether the omission or presentation of material information is likely to mislead the consumer depends on the context, the medium and, if the medium of the marketing communication is constrained by time or space, the measures that the marketer takes to make that information available to the consumer by other means.
(Misleading advertising),
3.9
3.9
Marketing communications must state significant limitations and qualifications. Qualifications may clarify but must not contradict the claims that they qualify.
(Qualification) and
3.17
3.17
Price statements must not mislead by omission, undue emphasis or distortion. They must relate to the product featured in the marketing communication.
(Prices).
Action
The ad must not appear again in its current form.
