NAD Says Aldi Should Change Savings Claims Ads
The National Advertising Division (NAD) has recommended that
Aldi, Inc. discontinue advertising based on a “market basket”
comparison that claims consumers could save more than 50
percent by buying Aldi brands instead of name-brand products at
other grocery chains. Texas-based HEB Grocery Co. first
challenged print ads published in Houston then later added a
challenge to print advertising outside Texas as well as in Facebook
and YouTube ads. HEB challenged whether the ads “adequately
informed the consumer of the basis of comparison and whether
the advertiser’s broad savings claims were supported.” NAD found
that where percentage savings claims did disclose the basis of
comparison, the “disclosures were vague and nonspecific” and did
not clarify that the achieving the advertised savings would require
switching from name brands to Aldi’s house brands. Further, NAD
found insufficient evidence to support Aldi’s claims that
consumers would “always” save up to 50 percent.
Aldi will reportedly appeal the decision to the National Advertising
Review Board on jurisdictional grounds, arguing that the ruling
should be limited to Houston advertising because the nationwide
and internet ads “were mentioned for the first time in HEB’s
reply” rather than the original complaint.
Issue 639
