The Advertising Regulatory Board (ARB) has upheld a consumer complaint against a television advertisement for the Jetour Dashing SUV, ruling that the commercial was misleading because it failed to disclose key vehicle finance terms.
The complaint related to a TV advert aired on DStv that promoted the Jetour Dashing with the headline price of “from R4,999 pm” and a small disclaimer stating that terms and conditions apply.
The complainant argued that the advertisement did not explain crucial aspects of the finance offer, including the deposit required, the repayment period and any residual or balloon payment, leaving consumers unable to assess the true cost of the deal.
Jetour South Africa did not respond to the complaint despite being given an opportunity to do so, forcing the ARB to make its ruling based solely on the consumer’s submission.
Though Jetour is not a member of the ARB and is therefore not bound by its rulings, the regulator said it could still assess the advert for the guidance of its members, including media owners and advertising platforms.
In its decision, the ARB found that the advert breached clause 4.2.1 of the Code of Advertising Practice, which prohibits advertising that is likely to mislead consumers through omission or ambiguity.
The regulator also found a breach of clause 11.3 of the code governing motor vehicle advertising. This clause requires advertisements offering vehicles on a lease or instalment basis to disclose full details of payments and explain how any residual value will be determined.
According to the ARB, the finance offer’s terms and conditions indicated a 40% residual value and a repayment period of 72 months. However, these important details did not appear in the advertisement itself.
The directorate said merely stating that terms and conditions apply is insufficient when advertising monthly vehicle repayments because deposits, repayment terms and residual values are key factors in determining the actual cost to consumers.
The ARB acknowledged that advertisements cannot include every contractual detail but said the information required by the code could have been presented succinctly within the commercial.
As a result, the ARB has requested its members not to accept future Jetour advertisements that fail to clearly disclose payment terms and conditions within the advert itself.
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