Photo: Lightspruch, Getty Images| Photo: Lightspruch, Getty Images
A new study found that 4 out 10 companies use green advertising to mislead customers into buying everything, from clothing and cosmetics to food.
The global review, headed by the International Consumer Protection and Enforcement Network, (ICPEN).It found that 40% of 500 websites it surveyed used tactics that could be misled and could therefore be in violation of consumer law.
Claims used vague and unclear language such as “eco” or “sustainable”, as well as descriptions of products as natural without explanation.
Some websites displayed logos that claimed they had a green record, even though they did not have any affiliations with accredited organizations. Companies also hid or omitted information to show a product’s carbon footprint to make their website more eco-friendly.
This is a global issue so it only seems right that we consider it in a global context,” Andrea Coscelli chief executive of U.K.’s Competition and Markets Authority, in a prepared declaration.
Our collaboration with regulators will allow us to identify the major issues facing consumers and protect consumers from paying high prices for fake eco-friendly products.
According to the U.K. watchdog ICPEN, the international sweep is still very much in its infancy. ICPEN members have not yet decided whether consumer protection laws are being broken. Each member country and their government consumer or competition agencies take legal action regularly.
Canada’s Competition Bureau advised Canadians to be vigilant for fraudulent claims about the environment in response to the Report.
This is known as greenwashing. This can come in many forms, including claims, adjectives and colours that create the impression that a product is more environmentally friendly than it actually is. The bureau released this statement Wednesday.
Consider whether a company claims its product or service to be green.
The Competition Bureau reminded Canadians that all consumer goods have an effect on the environment, even if they claim to be green.
It recommends that companies reach out to verify their green credentials. Canadians can sue any company that makes false claims about their environmental credentials. Report it to the Competition Bureau.
Canada’s Competition Bureau is an independent law enforcement organization that was established to promote and protect competitive business practices.
Keurig Canada, which made misleading and false environmental claims earlier this month, reached a settlement with the Competition Bureau to pay $3 million.
The case revolved around the fact that the coffee company told consumers via social media, its website, and directly on its product packaging that its single-use K cup pods were recyclable. The Bureau discovered that B.C. Quebec and B.C. were both the only provinces in which municipal recycling programs accepted the coffee pods.
Keurig Canada was also found negligent in making misleading claims to consumers by giving the impression that they could recycle pods by simply removing the lid and dumping the grounds.
Keurig Canada was fined $3 million and Keurig Canada was required to pay for $85,000 of Bureau investigation costs. In addition, $800,000 was donated to a Canadian environmental charity.
The company is not permitted to make bogus claims about its packaging, online, and in news media.