Advertising Sales &

Promotion:
Special Claims
Special
Claims
Any advertisement which
makes special claims shall:
- Substantiate such claims
- Properly use research
results, scientific terms,
statistics, or quotations

Special claims: scientific,

quantifiable in nature

2
The Product

3
 About Power Balance
Power Balance holograms are created using a proprietary process
featuring cutting edge three-dimensional imaging, which makes the
hologram truly unique. The hologram is designed based on Eastern
philosophies.

Basis of the Hologram

● Chi or chakras
● Energies from known practices such as
acupuncture, meditation, and Feng Shui.

4
 “ While we have received testimonials
and responses from around the world
about how Power Balance has helped
people, there is no assurance it can
work for everyone. We make no claims
and let the consumer decide based on
their experience. That’s why we offer a
no-questions-asked, money-back
guarantee. If you’re not satisfied, just
return the product within 30 days with
proof of purchase.

5
Promotional Ads

6
Promotional Ads

7
8
 Violation
Title III, Chapter VI, Rule III
Sec. 5 - Source of Scientific Claims
□ Source of Scientific or Statistical
Claims
□ Ads making scientific [...] claims shall
indicate in the same advertisement the
source thereof and as much as possible
use local sources and those of independent
and competent stature.
□ If the cited data is from foreign sources, the
advertiser or sponsor shall make available
official copies of scientific findings and the
manner in which they can be verified.

9
 The Product

10
 The Product

11
About Nutella
□ Nutella released ads that were implying that the
product was healthy.
□ Ads never mentioned the amount of sugar and fats
found in the product
■ They just mention that Nutella has “quality
ingredients: hazelnut, skim milk, and a hint of
cocoa”
□ There was a section called “Nutella and Family” in the
Nutella website
■ Promotes that Nutella is good for children
□ Old tagline: “Nutella… Breakfast never tasted this
good!”

12
About Nutella
□ Athena Hozenberg sued Ferrero for its deceptive
claims. (for $3M)
□ She claimed that Nutella kept promoting how it was
“part of a balanced meal”
□ Her friends pointed out Nutella’s high sugar & fat
content
□ Her lawsuit was awarded to class action status.
□ Ferrero settled the lawsuit by:
■ Paying $3 million to the claimants
■ Changing Nutella’s nutrition labels
■ Changing its marketing campaign
■ Changing the website
13
 Violation
Title III, Chapter VI, Rule III
□ Special claims must be
substantiated with research
results, scientific terms,
statistics, or quotations
□ As much as possible from local
sources

14