How to use the word ‘free’ in marketing
If you describe a product as being free even if the customer must pay for it, this is misleading marketing. If the word ‘free’ is used in connection with offers, the company must make sure that the overall impression created by their marketing is not misleading. A benefit advertised as being free must not be the main message of the advertisement.
If you describe a product as being free even if the customer must pay for it, this is misleading marketing.
A company cannot market a product as free or free of charge if you have to pay anything other than the unavoidable cost of responding to the commercial practice and collecting or paying for delivery of the item.
The company must clearly inform you of these costs in connection with the offer.
How to use the word ‘free’ in connection with combined offers
When the word ‘free’ is used in connection with combination offers, the company must pay attention so that the overall impression created by their marketing is not misleading.
The benefit marketed as free must not be the main point of the advertisement at the expense of the main product.
Conditional purchase promotion
A conditional purchase promotion is an additional product separate from the main product itself, which requires the purchase of the main product: for example, “buy one, get one free”. The company must express in its marketing the conditions under which you can get a giveaway.
If the conditional purchase promotion is marketed as free, the company must indicate in its marketing how much you have to pay for the main product in order to obtain the benefit.
Additionally, the company must consider that it cannot increase the price of the paid-for item to cover the cost of a product offered as free.
Examples of allowed advertising:
- The seller may market a free package of coffee to the buyer of Thursday’s newspaper if the newspaper is sold at the same price every day without the coffee package.
- The seller may use the wording “25% more free of charge” when marketing a shampoo bottle if the bottle contains 25% more shampoo than a bottle with the same price.
Package offers
The same rules apply to package offers as to giveaways.
For example, a company may market free calls for the first three months if the costs to be paid are clearly indicated for the entire contract period, the offer applies to new customers, and existing customers do not receive those calls free of charge.