T-Mobile to Appeal BBB National Programs’ NAD Decision on Verizon Challenge

T-Mobile US says it will appeal a recommendation by BBB National Programs’ National Advertising Division (NAD) savings claims that were made in several locations. The challenge was brought by Verizon.

The claims were made across several media: a brochure (“Save on Every Plan”), two commercials (“Top Three Plays of the Day” and “Holidays Are Coming in Hot: Families: Save 20%”), a T-Mobile USA press release, and on T-Mobile’s Savings Calculator website.

T-Mobile had informed NAD that it had changed the savings claims to only reference streaming services. NAD found that one of the messages continued to claim that those who switch from T-Mobile to Verizon can save 20% and that those savings were achieved solely from plan costs.

The press release says that “NAD found that consumers are not likely to expect the value of ancillary benefits to be included in a savings comparison.”

NAD also found that the updated disclosures do not “clearly and conspicuously” say that the T-Mobile 20% savings claim is based on the cost of the plan, optional fees for third-party streaming services and requires purchase of three lines of service at a specific tier.

NAD also found that the three-line requirement disclosure in the modified advertising is not clear and conspicuous and further contradicts the message of the broad comparative savings claim.

The appeal will be heard by BBB National Programs’ National Advertising Review Board (NARB).

T-Mobile has had a mixed record in NAD and related challenges during the past several months:

In March, T-Mobile won a NAD Fast-Track SWIFT challenge brought by Verizon. It related to T-Mobile’s claim to be the “first and only” U.S. wireless provider to work with Starlink to provide satellite-powered text messaging.

In February, the NARB supported T-Mobile’s claim that consumers can “save 20% every month vs. the other big guys.”

In January, T-Mobile says that it will comply with recommendations that it discontinue advertising claims in two Fast-Track SWIFT challenges brought by AT&T Services.

Also in January, NAD recommended that T-Mobile make changes to its claim that consumers can “save 20% every month vs. the other big guys” in markets where Charter’s Spectrum Mobile also provides services.

Last November, T-Mobile said it would appeal a Fast-Track SWIFT decision that recommended it discontinue or modify its claims in an ad featuring NFL player Patrick Mahomes and hip-hop superstar Snoop Dogg.

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