Burnsville, Minn – January 2, 2017 –
Based on a pattern of complaints from consumers, a Better Business Bureau of
Minnesota and North Dakota (BBB) advertising challenge, and a government action
taken by California state agencies, Better Business Bureau’s Board of Directors
revoked MyPillow’s BBB Accreditation on December 15. Subsequently, the
company’s BBB rating was lowered to an F.
“Among other issues, BBB has attempted to persuade MyPillow
to discontinue their "buy one get one free” (BOGO)/other discount offers
without success,” said Dana Badgerow, president and CEO of BBB of Minnesota and
North Dakota. “Continuous BOGO offers, which can then be construed as an
item's regular, everyday price, violate not only BBB’s Code of Advertising -
which all BBB Accredited Businesses agree to abide by - but also other state and
national organizations’ rules.”
BBB’s Code of Advertising is very clear on free, discount or
BOGO offers (as is the Federal Trade Commission’s
rule): the offers need to be extended for a limited time or it becomes a
continuous offer and therefore the normal price of the product – not a sale
price or free offer. In the case of MyPillow, anyone can get the BOGO discount
codes and if a prospective customer calls the company without one, they can get
the BOGO deal, regardless.
In response to BBB's advertising challenge, which was issued
formally in August of 2016, Mike Lindell, the owner of MyPillow, stated he
would not be able to stop the company's BOGO offer at this time, but would look
at making changes in 2017. When pressed on what type of changes the
company would make, Lindell was non-specific.
Other issues BBB brought to MyPillow’s attention were:
·
“As
Seen on TV” claims are sometimes listed on MyPillow boxes where the content is
NOT the same as seen on the company’s TV ads. The company has made an effort to
remove this, but it can still be seen on third party seller packaging (Walmart,
Target, etc.)
·
Photos
of MyPillow on some boxes show the premium, gusseted pillow, when the box
actually holds their standard pillow. The company has made an effort to correct
this, but it can still be seen on some third party seller packaging.
·
Claims
of offering a “full warranty” when the warranty was not full (customers need to
pay a fee to return the pillow).
·
A
pattern of complaints filed against MyPillow has been identified by BBB
regarding customers’ understanding of the buy one/get one free offer. A
substantial number of the 232 complaints filed against the company regard
confusion on the offer.
“We are hopeful that MyPillow will modify their advertising
and eliminate discount offers, since the pillows need to be sold at a “regular
price” for the majority of the time,” Badgerow said.
BBB was created on the cornerstone of advertising review and
continues to monitor advertising to protect both businesses and consumers.
Businesses that advertise unfairly affect other businesses in their industry in
a negative way. And consumers need to be able to trust advertising in order to
make wise purchasing decisions.
For more information on BBB’s Code of Advertising, visit bbb.org/code-of-advertising/.