Guidelines have been published which are supposed to make Internet service providers (ISPs) more honest when making broadband speed claims in their adverts. From April 2012, ISPs are supposed to comply with a “Help Note” issued by the Advertising Standards Authority (ASA). Neil Hawkins, contributing editor at Choose, asks if the new code is really enough..
Broadband providers will no longer be able to advertise their services using the theoretical maximum speed as a headline figure following new guidelines issued by the Committee of Advertising Practice (CAP).
The CAP said that in future, adverts for broadband services featuring a headline speed must only display a speed that is achievable for at least 10% of customers.
The guidance, according to Committee Chairman James Best, sets “an appropriately high bar for advertisers.”
Whilst a step in the right direction, the new guidelines fall well short of the expectations of consumer groups, broadband campaigners and even Ofcom.
One of the major flaws of the new guidelines is that they do very little to help diminish the disparity between the speeds broadband providers are allowed to advertise and the speeds consumers will realistically achieve at home.
Currently ADSL2+ products are allowed to advertise an “up to 24 Mbps” service. This is despite the fact that in the real world this top speed is virtually unheard of, the Ofcom measured national average for an ADSL2+ service is 6.6 Mbps.
Under the new guidelines, estimates predict that the maximum headline figure broadband providers can claim is achievable by 10% of users is around 13 Mbps, still twice the real-world figure measured by Ofcom.
Another concern is the length of time it has taken the advertising authorities to act on the issue.
It’s all very well setting broadband providers “an appropriately high bar” as the Committee’s Chairman points out, but broadband penetration in the UK is the fifth highest in the world.
The words shut, horse, gate, after and bolt spring to mind.
What the new guidelines may help to prevent is people being duped into thinking that they are able to achieve a much faster connection simply by switching to a new supplier who offers an “up to 24 Mbps” connection.
Best alludes to the trust issue in his statement saying, “Advertising is only effective if consumers trust the messages they see and hear.”
Considering the size of the UK broadband market and the resistance from many broadband providers about any changes to advertising rules, it’s clear that advertising for broadband, whilst wildly inaccurate, has been incredibly effective over the last 10 years.
However the lack of proper explanation about speeds and “unlimited” usage for so many years, has led to the widespread proliferation of a product some would say has been mis-sold to millions of people.
Perhaps the most positive result of the new guidelines is that broadband providers with draconian traffic management policies (think trains and hot air balloons) won’t be allowed to sell their products as “unlimited” when they are anything but.
After all, calling something “unlimited” when its only unlimited when you limit your use is not a fair representation of the service being offered.
It’s not surprising the ASA has wanted to put off ruling on this subject for so long. Just trying to comprehend the mass of differing broadband products and services, bundles and packages is enough to make anyone hide in a darkened corner and slowly rock, back and forth.
Let’s just hope that as superfast broadband services proliferate further, the same issues surrounding how they are sold to the public don’t raise their ugly nodes.
This is a guest post from Choose. The site covers rights issues, research and debate into home broadband and more broadly home media and mobile markets.