Following AT&T complaints, T-Mobile to ditch ads on 20% savingsFollowing AT&T complaints, T-Mobile to ditch ads on 20% savings

After AT&T complained about the ads, T-Mobile said it plans to discontinue its claim for 20% savings on monthly wireless services. #pressrelease

January 16, 2025

1 Min Read

In a Fast-Track SWIFT challenge brought by competitor AT&T Services, Inc., BBB National Programs' National Advertising Division recommended that T-Mobile US, Inc. discontinue its claim for 20% savings on monthly wireless services.

Fast-Track SWIFT is an expedited process designed for single-issue advertising cases brought to the National Advertising Division (NAD). AT&T challenged T-Mobile's "Holidays Are Coming in Hot" commercial, in which T-Mobile advertises that prospective customers save 20% every month in service costs compared to AT&T and Verizon.

At issue for NAD was whether T-Mobile's commercial informs consumers that the 20% savings claim is calculated by including the cost of third-party streaming services on top of the price of AT&T's and Verizon's monthly wireless plans.

NAD determined that the context of the challenged commercial does not put consumers on notice that streaming services are connected with T-Mobile's price comparison claim. Because the main message of the commercial is price savings, without reference to optional add-on streaming services, NAD determined that the small on-screen print disclosure that references streaming services as the basis of comparison is insufficient and contradicts the main message of the commercial.

Accordingly, NAD recommended that T-Mobile discontinue the claim in the challenged advertising that "families can save 20% every month versus AT&T and Verizon." NAD noted that nothing in its decision precludes T-Mobile from making truthful and not misleading price comparisons about the value of the streaming services it includes with its plans.

Read the full press release here.

BBB National Programs

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