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Lab-Grown Company Banned from ‘Misleading’ Ads Following NDC Complaint

Lab-Grown Company Banned from ‘Misleading’ Ads Following NDC Complaint

A complaint was filed by the Natural Diamond Council (NDC) with ASA about the ad, which debuted in February 2023 and featured text including, “Say hello to the world’s first and only diamond made entirely from the sky” and “We make diamonds using four natural ingredients, the sun, the wind, rain and something we have too much of, atmospheric carbon.” It also asserted that the company’s jewellery featured the world’s “rarest diamonds.” The NDC challenged whether these statements adequately conveyed that Skydiamond was selling lab-grown diamonds, not natural ones, as per the ruling on April 10.

Argued by Skydiamond, owned by energy firm Ecotricity founder Dale Vince, its graphics and information made it clear its product was not mined from the earth and therefore didn’t need qualifiers such as “synthetic” or “laboratory grown.” Reference was made to the 2018 US Federal Trade Commission (FTC) ruling determining that “a diamond is a diamond” regardless of whether it was mined or made, asserting that the word “diamond” is the name of an object and does not denote or describe origin.

ASA’s investigation revealed that Skydiamond’s advertisements omitted or obscured crucial information, leading to potential confusion among consumers.

The ASA’s ruling highlighted the importance of clarity in marketing, especially concerning the distinction between natural and synthetic gemstones. A survey of over 2,100 UK adults uncovered that a significant portion, 25%, were unaware of the existence of man-made diamonds, further emphasizing the need for transparent advertising practices.

Alan Cohen, co-president of the London Diamond Bourse (LDB), commended the ASA’s decision, stating that it safeguards British consumers from deceptive marketing tactics surrounding synthetic diamonds. Cohen also called for increased scrutiny of claims regarding the eco-friendliness of diamond production processes.

The ruling directed Skydiamond to refrain from using terms like “diamonds” or “real diamonds” without clear qualifiers such as “synthetic,” “laboratory-grown,” or “laboratory-created.” This directive aims to prevent potential confusion among consumers and ensure transparent communication regarding the nature of the product.

In conclusion, the ASA’s ruling serves as a reminder of the importance of transparency and clarity in advertising, particularly in industries where the distinction between natural and synthetic products may not be immediately evident to consumers. Moving forward, increased scrutiny of marketing claims surrounding eco-friendliness is warranted to ensure that consumers are not misled.

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