USA-China Tensions Transform Global Market

After the U.S. elections, relations between the...

T-Mobile’s Deceptive Advertisements: A Case Study in Misinformation and Ethical Advertising

MARKETINGT-Mobile's Deceptive Advertisements: A Case Study in Misinformation and Ethical Advertising

The recent decision made by the President of the Office of Competition and Consumer Protection (UOKiK) concerning T-Mobile Polska S.A. and its consequences in relation to the violation of the “1200 GB free for a year” promotion regulations provides a starting point for understanding the gravity of misinformation in advertising. The President has imposed a fine of over PLN 25 million on the tech giant for the usage of deceptive ads of the prepaid offer “1200 GB free for a year” on billboards, citylights at public transport stops, in ATMs and on payment terminals, in Polish and Ukrainian languages, from February 2022 to March 2023. According to the UOKiK decision, the promise of free gigabytes was far from reality and forces us to reflect on advertising ethics and its impact on consumers in the digital era.

T-Mobile’s advertisements were characterized by their simplicity, catchy slogan, and bold colors, effectively attracting the attention of consumers amidst city bustle. However, UOKiK clearly noticed that, although the promise of “1200 GB free for a year” suggested a one-time annual data package, the actual offer obliged consumers to top up their account with a minimum of PLN 35 every month, in exchange for 100 GB of data. In reality, the offer was a so-called “installment” system, amounting to PLN 420 a year, entirely contradicting the concept of “free”. The crucial information about the conditions of the promotion was barely visible – often placed in small print at the end of the advertisement or even completely omitted, depending on the medium.

In its decision, The UOKiK referred to psychological mechanisms exploited in the content of the advertisement, such as the anchoring effect, cognitive processes, and the psychology of perception, including eye-tracking techniques. So, what should be avoided in advertising?

Of course, the key goal of advertising is to attract the attention and interest of the consumer and incite them to purchase the advertised product or service. However, unfair practices like intentionally hiding essential information pertaining to the advertised product or service are unacceptable.

The slogan “free” utilizes powerful psychological mechanisms: consumers can behave irrationally in the face of the possibility of receiving something for free, potentially due to the fear of losing such a benefit. Advertising slogans that invoke the possibility of receiving something “for free” impact powerfully on their recipients. The UOKiK referred to the so-called anchoring effect – the simple and catchy slogan promising something ” for free” was meant to “anchor” itself in the minds of consumers and arouse their interest.

T-Mobile’s advertisement was additionally designed with consideration for on-the-move reading – a vivid background color, a short, concise slogan, containing the phrase “for free”, sparks curiosity and draws the consumer’s attention even more. Information about the promotion mechanism (legal) was placed at the very bottom – where human gaze naturally falls last, or not at all when on the move. According to eye-tracking rules, the viewer first recognizes the center of the poster (where the huge slogan “1200 GB free for a year” was located), then moves their gaze to each corner of the advertisement. The last corner gains the least attention.

In the case of T-Mobile advertisements, the font size used made this information essentially invisible to the consumer. There were massive discrepancies in the font sizes of different elements on the advertisement.

Therefore, if the main slogan is in large font, and the legal information is in a small font, making it invisible to the consumer from a typical viewing distance, it is as if the information wasn’t there at all. A message can similarly manipulate when the legal is placed in an obscure location.

It is not the role of the consumer to track and spot “inconsistencies” in the surrounding advertisements. All the more, the amount of time a consumer dedicates to an advertisement is minimal. In the case of T-Mobile, consumers encountered the advertisement on their way to school or work, often in a hurry, when perceptual capacity is limited. Therefore, the way they perceived these advertisements could be described as quickly “scanning” them. The same occurs with short television or radio advertisements. For this reason, consumers often physically don’t have the capabilities for detailed analysis of an advertising message, and because of this, they have a right to expect that the presented advertisement offers will be fair and devoid of so-called “catches”.

UOKiK emphasized that the slogan “1200 GB free for a year” could have influenced consumers in a way that, by arousing fear of losing free gigabytes, motivated them to agree to conditions that weren’t honestly and fairly presented. If the consumer realized that instead of the promised 1200 GB free for a year, they would receive a 100 GB package for PLN 35 per month, they might not have decided to take advantage of the promotion.

Equally significant is the advertisement’s impact on T-Mobile’s perceived attractiveness as a business offering “free” benefits. An advertisement generates not only immediate returns, but also long-term benefits associated with building a good brand image. This can further influence an average consumer’s decision, their preferences for choosing T-Mobile products over others, hence, it’s crucial that the information received by the consumer is truthful – as pointed out by UOKiK, this was not the case in the reviewed situation.

Advertising is the art of convincing, but it also has to be based on honesty and transparency. The example of T-Mobile’s advertisement shows how easy it is to manipulate a message. The penalty imposed by UOKiK on the telecommunications giant can therefore be seen as a signal for the entire industry: will advertisers understand that transparency and reliability in the advertising message are key to gaining customers’ trust, or will they continue to rely on catchy, but misleading slogans?

Author – r.pr. Edyta Oleszczuk-Romańska, Associate at the Law Firm “Chałas i Wspólnicy”.

[1] 1200 GB free for a year from T-Mobile? Neither free nor 1200 GB – Information from the President of UOKiK [online:] https://uokik.gov.pl/aktualnosci.php?news_id=20204
[2] Decision of the President of the Office for Competition and Consumer Protection of December 27, 2023, ref. No. DOZIK-6.610.2.2022.MP

Check out our other content
Related Articles
The Latest Articles