3M Pakistan fined PKR 10 million for deceptive marketing

The Competition Commission of Pakistan (CCP) has fined 3M Pakistan (Private) Limited PKR 10 million for deceptive marketing practices. The penalty follows a complaint by Colgate-Palmolive Pakistan Limited regarding a marketing video for Scotch-Brite that compared it against Colgate-Palmolive’s Max Scrub.

The video depicted Max Scrub deteriorating significantly after a 20-minute wash, while Scotch-Brite remained in better condition. The CCP found that 3M Pakistan failed to substantiate this comparison with reasonable evidence. A third-party laboratory report submitted by the complainant indicated that both products were of similar quality, a finding that 3M Pakistan did not rebut during the proceedings.

Although 3M Pakistan argued that the demonstration was conducted by a regional sales manager in a personal capacity and was not direct advertising, the Commission ruled that the conduct was attributable to the company as it was linked to official duties and a commissioned marketing campaign. The CCP further rejected the claim that showing the video to channel partners rather than consumers exempted it from advertising regulations, noting that such partners help increase market visibility and sales.

In addition to the fine, the CCP has ordered 3M Pakistan to cease similar misleading marketing practices and submit a compliance report within 60 days. Failure to comply will result in an additional daily penalty of PKR 50,000.