The Better Business Bureau of Minnesota and North Dakota lowered the rating of MyPillow to an “F” following what is says were several marketing- and advertising-related issues.
BBB specifically cited
the Chaska-based pillow company’s ongoing buy-one-get-one (BOGO) offer, which the organization said makes consumers feel like they’re getting a deal but is actually the regular, everyday price. Such a tactic is in violation of BBB rules that companies agree to.
“BBB’s Code of Advertising is very clear on free, discount or BOGO offers (as is the Federal Trade Commission’s rules),” the organization said its statement announcing the rating downgrade. “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 addition to the BOGO offer complaint, the BBB listed other complaints including: Pillows sold in stores labeled “As Seen on TV” were not the same as the pillows being advertised on television ads.
The company claimed to offer a full warranty on the product but required customers to pay a fee to return the pillow.
“MyPillow was built on our dedication to our customers’ satisfaction. We run sales and specials for our customers, so that we can give as many people as possible the chance to have a great night’s sleep,” MyPillow CEO and founder Michael Lindell said in a statement following the BBB’s announcement. “Naturally, I am terribly disappointed by the BBB’s decision.”
This isn’t the first time the company has been in hot water for its advertising and marketing practices. Late last year, the company agreed to pay a $1 million settlement
over deceptive advertising. Lawyers in California argued that the company “knew or reasonably should have known” that it was making unsubstantiated marketing claims, including that its product could help cure insomnia, sleep apnea and fibromyalgia.
On its website, MyPillow notes that “claims for MyPillow are based on medical opinion and user experience and not on actual clinical studies.”