January 31st, 2017
- “Don’t Paymo at BevMo”
- Total Wine’s “Everyday Low Prices Crush BevMo’s Sale Prices”
In a complaint to NAD, BevMo! argued that the comparative pricing claims are misleading in that the BevMo! prices are “outdated or stale,” and prices that are not actually offered in the market in which the advertising takes place.
When NAD brought the inquiry to Total Wine, the company declined to participate in the self-regulatory proceeding. NAD then referred the matter to the FTC.
Potentially misleading pricing isn’t the only thing consumers need to watch out for when shopping for liquor. As we reported last year, wine ratings can also take you for a ride.
Find more of our coverage on alcohol claims here.
The National Advertising Division, or NAD, is an investigative unit of the advertising industry’s system of self-regulation. It is administered by the Council of Better Business Bureaus. NAD asks advertisers to substantiate or change their claims in advertisements. As part of a voluntary system of self-regulation, however, its recommendations can be ignored by the offending advertisers. In those instances, NAD refers the offender to federal consumer protection agencies.