Advertising a Yield That Does Not Exist
Layla markets a new residential tower for a developer. The developer's brochure claims 'guaranteed 9% net yield for 5 years' and 'capital appreciation of 25% in 24 months'. Layla posts an Instagram reel using the brochure figures, adds 'only 6 units left' (she has not verified inventory), and uses a photo of a model who is not a real buyer with the caption 'investor review'. She collects leads via a web form and stores names and phone numbers in a shared spreadsheet accessible to the whole 14-person team. A buyer later complains the guaranteed yield was never paid.
1. Assess Layla's advertising against marketing and advertising standards, and identify each misrepresentation.
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The 'guaranteed 9% net yield' is a promise the developer may not be able to keep and, if not contractually guaranteed and funded, is misleading. 'Capital appreciation of 25% in 24 months' is a forward-looking projection presented as fact - misleading unless clearly labelled as an estimate with assumptions. 'Only 6 units left' is a scarcity claim that must be true and verifiable; unverified, it is a false urgency tactic. Using a model with the caption 'investor review' is a fabricated testimonial. Each is a separate misrepresentation. Layla must remove or correct the claims, verify inventory before any scarcity statement, and label projections as estimates. She should also ensure the developer's brochure claims are substantiated before repeating them - repeating a developer's false claim does not insulate her.
2. Evaluate the data-protection issue with the shared spreadsheet and state the compliant handling of the leads.
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Storing personal data (names, phone numbers) in a spreadsheet open to all 14 staff is excessive access and lacks a lawful basis control, retention limit, and security. Leads should be held in a controlled system with role-based access limited to those who need it, a documented purpose (marketing consent), a retention period, and the ability to honour access and deletion requests. Layla should obtain consent at the point of collection, tell leads what the data is used for, restrict access, and delete data no longer needed. She should also check whether cross-border storage or sharing with the developer requires additional safeguards. The open spreadsheet is a reportable weakness if it leads to unauthorised access.