Ruder Finn Asia
In the corporate world, trust is the key to building relationships between companies and consumers. As with any human relationship, a company caught lying will be deemed to have broken that trust and the price can be heavy.
Brands develop relationships with consumers because those consumers believe they will deliver on their promises.
Because we all want “better legs and better butts” that slogan was sure to raise expectations. Breaking a promise will always have a cost.
This may be difficult to measure because it will not only be reflected in sales numbers.
Psychological satisfaction is an element to reckon with as well, and some consumers may feel the promised results were achieved and their trust had been satisfied.
Reebok doesn’t agree with the FTC ruling, but has settled to avoid a protracted legal battle and has changed its advertising and put in place a refund process.
• Given Reebok disagrees with the FTC findings, it needs to leverage the “overwhelmingly enthusiastic” feedback to support its claim.
• A refund system for the disillusioned is de rigueur.