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ASA rules Virgin ‘misleading’

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Contract length makes a difference for Setanta Sports packages

BT has welcomed a ruling from the Advertising Standards Authority (ASA) that Virgin Media’s comparison of its Setanta Sports package with those of other providers is misleading.  

A national press advertisement for Virgin Media stated: “If you don't want to know the cheapest way to get Setanta Sports, look away now.” The ad featured five bubbles, which compared the cost of obtaining a Setanta Sports television package from different providers.

The complaint to the ASA - submitted by Sky TV - claimed the price comparisons were unfair and misleading because Virgin Media had not compared like with like. It said Virgin did not offer Setanta Sports as a standalone package; it was necessary to subscribe to a Virgin Media TV package and - taking into account the extra costs this would incur - it was therefore not the cheapest.

The complaint also said BT Vision, Freeview and satellite viewers could subscribe to and receive Setanta Sports on a month-by-month basis - whereas Virgin Media customers were obliged to commit to a 12-month contract to receive Setanta Sports.

Virgin Media said it had no plans to use the advertisement again - but added the advertisement should have made clear that the “cheapest” claim was based on a comparison of the listed companies over a 12-month period. It argued that, on that basis, Virgin was the cheapest provider of Setanta Sports.

In its ruling, the ASA concluded the comparisons made were fair but misleading. While it noted Virgin was willing to include text in future ads to clarify that the comparison was being made across a 12-month period, the ASA considered the disclaimer would still not go far enough to make potential customers aware that - unlike the other providers - Setanta Sports was being offered by Virgin on a 12-month contractual basis.

BT Retail consumer marketing analyst Dave Smith said: “It’s good news for BT that Virgin Media will have to include in its advertisement that customers need to sign up to a 12-month subscription - compared with just a month with BT.”

Dave is keen to hear about the marketing activities of any of BT’s competitors. “I am particularly interested in information on some of our smaller competitors - for instance, Eze-Talk and Telecom Plus - as well as the household names such as Sky, Skype and TalkTalk,” he said.

All information about competitor marketing activity can be submitted online via the Competitor Watch website, by e-mailing Dave or by calling him on (0117) 920 3253.

Openreach or BT Wholesale employees - or BT Northern Ireland employees acting as agents for Openreach or BT Wholesale - should note, however, that Competitor Watch is not able to accept any information on BT competitors that is obtained as part of their work activities.

Information provider: Group Communications

Review date: 15/05/09