T-Mobile can no longer advertise a ‘Price Lock’ if its doesn’t lock prices
The US National Advertising Division concluded that T-Mobile's price lock disclosure contradicted its main message.
JoriPress
- AT&T highlighted several T-Mobile advertisements around its “Price Lock” guarantee to the US National Advertising Division (NAD).
- The NAD concluded that the policy description’s fine print contradicted the main “Price Lock” claim, and hence, T-Mobile has to discontinue or modify its policy to explain how it differs from a price lock.
- T-Mobile has stated that it will comply with the NAD’s decision.
Competition is necessary for consumers, not only to get more valid choices but also for the competitors to keep each other in check. T-Mobile has been in the news recently after it raised the prices of its home and internet plans, even those under a Price Lock guarantee, with the company using some fine print to try and get away with it. Thanks to competitor AT&T, T-Mobile can no longer claim a price lock guarantee if it does not keep its prices locked.
As The Verge reports, the US National Advertising Division (NAD) recommended that T-Mobile discontinue or modify its “Price Lock” policy to explain how it “differs from a ‘price lock’ which locks the price for the term of a service” to avoid conveying a misleading message to viewers and consumers. AT&T challenged T-Mobile’s marketing and advertising claims, appearing in numerous print, online, and TV advertisements.
