Uber Technologies Inc (NYSE:UBER) has been found to be in breach of the UK Advertising Standards Agency's (ASA) code of conduct pertaining to comparisons with identifiable competitors for making an unverified claim that it was the only ride-hailing service in London to offer certain benefits to its drivers.
The company had placed paid-for ads on The Economist mobile app and national newspapers, claiming that benefits such as sickness cover, parental payments, and access to free Open University courses were unique to Uber.
Three complainants challenged the ad, arguing that the benefits listed were legally required and therefore not unique to Uber, although Uber said that its research had shown that other ride-hailing services did not provide these benefits.
While the ASA did not make a finding as to whether the claims in the ad were substantiated or not, “it was still Uber’s responsibility to ensure that, in addition to holding adequate evidence for the claim, the comparison was verifiable”, the agency stated.
The ad on The Economist app was headed “Your driver is” then listed the following: “Nasir, with a 4.97* rating; 2 minutes away; Feeling good about his access to sickness cover; Driving a silver saloon; Receiving pension contributions to grow his nest egg; Now 1 minute away; Planning a staycation with his holiday pay; Just at the end of the street; Attending free Open University courses; Expecting his first new parent payment next week”.
Large text stated: “Only on Uber”. Small text stated: “The benefits described here as available Only on Uber are in comparison with other large app-based private hire operators in London. Eligibility criteria apply”.
The ASA found that readers would interpret the ads as an objective and comparative claim that Uber alone provided the benefits listed.