Category Archives National Advertising Division

The National Advertising Division (NAD) has found that Insurgent Brands LLC's RXBAR labels, which feature a brief list of ingredients on the front, communicate a substantiated claim about the main ingredients in the product and do not "convey misleading implied claims about weight and proportions of the protein bar inside." Kind Inc. challenged the labels, arguing that the labels—which primarily feature ingredients on a short, numbered list—do not imply that the list is in descending order by weight, as compared to the legally mandated ingredients list featured on the back of the packaging. NAD was unpersuaded by consumer perception surveys provided by Kind, finding "significant flaws" in the studies. The board noted that the listed "3 Egg Whites" on the front label are present in the product in the form of dehydrated egg white powder, as "appropriate for a packaged, shelf-stable bar." The board also found that "the dried egg…

The National Advertising Division (NAD) has recommended that Clemens Food Group and its flagship brand, Hatfield Quality Meats, "discontinue the claim 'Ethically Raised by Family Farmers Committed to a Higher Standard of Care, Governed by Third Party Animal Welfare Audits.'" NAD acknowledged that the Food Safety and Inspection Service (FSIS) reviewed the claim, but the "record here did not demonstrate that FSIS considered consumer impact or that it explained its reasoning with respect to its determination on the 'ethically raised' claim. Accordingly, NAD undertook its own review of the challenged claims." The challenger, Animal Welfare Institute (AWI), argued that the claim misled "a high percentage" of consumers "because they took the claim to mean that the animals’ treatment and living conditions exceed industry standards." NAD noted that AWI provided a consumer perception survey, and the board found the survey to be methodologically sound. Hatfield submitted "caretaker standards, third-party auditing and…

The National Advertising Division (NAD) has recommended that Oatly Inc. discontinue marketing representations that its oat milks contain "no added sugars." According to NAD's summary, the challenger argued that "the hydrolysis process, which turns oats into oatmilk, creates sugars 'in situ' as the oats are broken down into smaller components." NAD considered whether the question fell under its jurisdiction, noting that information appearing in the Nutrition Facts Panel would be governed by the U.S. Food and Drug Administration (FDA). "Without taking a position on whether Oatly’s Nutrition Facts Panels are in compliance with FDA regulations, NAD recommended that Oatly not re-post or restate the 'added sugars' line of the Nutrition Facts Panel in its advertising, but noted that nothing in the decision prevents Oatly from using the 'added sugars' line of the Nutrition Facts Panel in a context that is not advertising, such as on product packaging for the purpose…

The National Advertising Division (NAD) has referred The a2 Milk Company's claims that its products are "easier on digestion" to the U.S. Federal Trade Commission (FTC). The National Milk Producers Federation challenged the milk marketing, asserting "errors in study design, methodology, and population selection" as well as arguing that the results of the company's study are "clinically insignificant." The a2 Milk Company responded that the organization "selectively presents incomplete and outdated research and observations made without the benefit of recent research" but declined to participate further in the system of self-regulation.

The Electronic Retailing Self-Regulation Program (ERSP) has determined that Green Chef Inc. cannot support some of its claims about organic food in its meal-kit deliveries, which it marketed as containing 90 percent or more organic ingredients. ERSP found that the use of the U.S. Department of Agriculture's organic seal "inaccurately communicated that Green Chef meal kits were entirely organic, or contained almost all organic ingredients." The board also found that Green Chef could not corroborate its claim that it delivered the most organic ingredients when compared to other meal-kit companies. Green Chef indicated that it would change its marketing and work with its certified-organic supplier to establish appropriate language.

The National Advertising Division (NAD) has recommended that Perdue Farms Inc. modify or discontinue broadcast and YouTube advertisements for the company’s Harvestland Organic chicken, finding the ads could mislead consumers into believing all Perdue chicken is organically raised. NAD found that the company's “Free Range” and “All-Veggie Diet” ads featured “general brand references” to Perdue but only “momentary visual references to Harvestland Organic," potentially leading consumers to conflate the two. The ads, which asserted that Perdue's chickens are"happy," also “clearly stated the general claim, ‘Perdue, raising more organic chickens than anyone in America,’” NAD noted. The board further cited a consumer-perception survey submitted by Perdue, finding that “the survey showed that substantially more respondents took away a message about the Perdue brand, generally." "NAD recommended that the advertiser discontinue the broadcast and YouTube commercials or modify them – including the YouTube description copy – to make clear that the advertising pertains…

The Beech-Nut Nutrition Co. has reportedly told the National Advertising Division (NAD) it will no longer use the terms “natural,” “sensitive” and “complete” nutrition or claim that its baby cereals have zero grams of sugar, were “formulated to be gentle on baby’s tummy,” and have “all the tastiness of oatmeal with smaller proteins that are gentler on your baby’s tummy.” Beech-Nut discontinued the ads for “unrelated business reasons” before they were challenged, so NAD will not review the claims on the merits.

Fifth Generation, Inc. will reportedly discontinue advertising asserting that its Tito's Handmade Vodka scored higher in taste tests than four of its competitors. Absolut Spirits Co. challenged the advertising claims before the National Advertising Division (NAD), arguing that the tests were completed before 2010 and are therefore outdated. Further, Absolut argued, the challenged ads implied that the taste tests occurred as comparisons between the five brands rather than five independent tests that were not conducted concurrently. In lieu of offering substantiation, Fifth Generation opted to permanently and voluntarily discontinue the claims.

The National Advertising Division (NAD) has ruled that Mizkan America, Inc. provided a reasonable basis for its advertising claim that “consumers prefer the taste of Ragú Homestyle Traditional over Prego Traditional.” The Campbell Soup Co., which makes Prego, challenged the ad on the grounds that Mizkan’s consumer survey methodology was flawed. Both parties conducted a taste test of the products; the Mizkan test reportedly showed a consumer preference for Ragú while the Campbell test showed no preference. The Mizkan test included testing of all tomato-based sauces, while Campbell limited its test to traditional-style sauces. NAD found the Campbell test “overly restrictive” and that its results were not “stronger or more persuasive” than those of Mizkan.

The National Advertising Division (NAD) has recommended that Sanderson Farms change a campaign claiming that its competitors are tricking consumers with "raised without antibiotics" labels on poultry products. NAD found that the information in Sanderson's ads was accurate, including its claim that "none of the chicken you buy in the grocery store has antibiotics in it. By federal law, all chicken must be clear of antibiotics before they leave the farm." However, NAD recommended that the language Sanderson used to describe its competitors' "antibiotic-free" labels, including "marketing gimmick," "full of hot air," "just a trick to get you to pay more money" and "a phrase invented to make chicken sound safer," should be changed, noting that the scientific community lacks a consensus on the safety of consuming meat from animals raised using antibiotics. Sanderson reportedly "respectfully disagrees" with the decision but will adjust the campaign to reflect NAD's concerns. "The…

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