BBB National Programs’ National Advertising Division Launches NAD Complex Track, a Custom Challenge Process for Complex Advertising Claims

Native & Programmatic AdvertisingInfluencer Marketing

By STS News Desk On Aug 24, 2020

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The National Advertising Division (NAD) of BBB National Programs today launched its NAD Complex Track advertising challenge process, a new customized option to support complex cases with greater transparency and more predictable scheduling. This launch comes just four months after the new expedited NAD Fast-Track SWIFT process launched in early April 2020.

Complex challenges to truth and transparency issues that arising in advertising often require more time and resources to resolve. These cases may involve:

Multiple expert reports explaining or rebutting evidence;
Evidence that includes consumer perception surveys, scientific studies, or other technical studies that require additional time to analyze; or
Challenges to numerous claims made for a variety of products.

This new resource for businesses participating in the advertising industry’s system of self-regulation addresses the need for predictability in the length of time a complex case takes from start to finish. NAD Complex Track will reveal greater insight into NAD’s approach and perspective on evidence and arguments presented in a case before the record is closed. This new approach also provides businesses and the attorneys who represent them with a streamlined, more efficient approach to reaching a reasonable and fair conclusion.

“Adding the NAD Complex Track process as a new case-choice option for companies reflects our dedication to streamlining the self-regulatory process,” said Laura Brett, Vice President, BBB National Programs’ National Advertising Division and leader of the company’s New York office. “Corporations respect and participate in advertising self-regulation because they understand that the U.S. economy is built on a fair and transparent product marketplace. A key part of our role as the investigative unit of that system is to continue to evolve our processes and remain responsive to the shifting needs of the advertising industry.”

The launch of the NAD Complex Track challenge process follows the recent launch of the NAD Fast-Track SWIFT process in April 2020, a process that is limited to single issue cases and guarantees a resolution within 20 days of initiation. The first three NAD Fast-Track SWIFT cases were announced as resolved in early June with another three resolved in early July.

Since 1971, NAD has led the advertising industry’s efforts to promote truthful and transparent advertising, protecting consumers and promoting fair competition. Today, NAD remains an independent and impartial forum for reviewing advertising, devoid of any economic self-interest in the outcome of an advertising review proceeding. NAD reviews approximately 150 cases per year and achieves a 90-95% voluntary compliance rate with its decisions.

NAD reviews advertising on a broad range of issues, from complex health-related claims for vulnerable populations, to claims about which cereal stays crunchy in milk longer, to whether major telecommunications companies are providing nationwide 5G. Digital advertising product claims made during the COVID-19 pandemic, influencer marketing, and the issues surrounding the use of endorsements and testimonials have increasingly been a focus of cases before NAD.

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