Self-Regulators Hit Toys ‘R’ Us for Price Claim

7/1/2013

The National Advertising Division (NAD), a self-regulatory unit of the Council of Better Business Bureaus, is asking Toys “R” Us to modify or remove one of its in-store banners. This move may be instructive to other youth marketers in learning what does-and doesn’t-attract the attention of government officials when it comes to youth marketing.

In this case, government officials feel Toys “R” Us is misleading parents with the advertising claim “Price Match Guarantee-Spot a lower advertised price? We’ll match it. See a team member for details.”

Toys “R” Us, in actuality, matches prices of its competitors only in print ads (with the exception of pricing posted at ToysRUs.com and certain online competitors for baby items). Toys “R” Us does not meet online pricing.

As such, the NAD finds the toy banner directly contradicts the main message, and consumers would expect the toy retailer to meet online pricing.

Toys “R” Us is taking these recommendations into account in “reviewing current and future advertising.”

SOURCE: National Advertising Division, Bruce Hopewell, National Advertising Review Bureau/Director of Marketing, 112 Madison Ave., 3rd Fl., New York, NY 10016; 212-705-0114; bhopewell@asrc.bbb.org; www.asrcreviews.org.

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