I admit I'd never heard of the Maloof Sports & Entertainment Arco Arena - home court of the Sacramento Kings - before today, but now we are informed that Power Balance* has purchased the naming rights for something on the high side of $800,000 a year for five years. I imagine selling $0.05 rubber bracelets to an amazingly gullible public for $29.95 a pop probably leaves them with piles of cash just lying around looking for something to do.
I wrote about this fraud last month. Power Balance* relies on an old parlor trick called "applied kinesiology" to fool consumers into imagining that wearing a rubber bracelet containing a reflective hologram somehow increases their balance and flexibility.
They've already been called out by consumer watch dogs in Australia, but the rich - and rapidly growing richer - people at Power Balance USA* are "shocked, shocked I tell you!" to hear some people are skeptical of their claims.
The Power Balance USA* website says this:
"Contrary to recent assertions in the Australian press, Power Balance has made no claims that our product does not perform. This is simply untrue. Apparently, some previous claims in our marketing ads in Australia were not up to ACCC standards. Changes were voluntarily made immediately, approved and the issues were believed to have been resolved. We were obviously surprised to see the recent press coming out of Australia followed by a class action law suit here in the United States."
But the Corrective Advertisement on the Power Balance Australia* website says this:
"In our advertising we stated that Power Balance wristbands improved your strength, balance and flexibility.
We admit that there is no credible scientific evidence that supports our claims and therefore we engaged in misleading conduct in breach of s52 of the Trade Practices Act 1974."
Hmmn, their PR flack must have missed that year in grade school when the phrase "this is simply untrue" was explained. Or maybe the attorney who approved the message got an A+ with a smiley face for his brilliant 5th grade essay titled "That Depends."
You know, at first I cut the PB fraudsters some slack because they don't have a bodycount like the antivaxers, but now I'm not so sure. The influence of the "Magic Rubber Bracelet Dome" will have on Sacramento area sports fans, young and old, is bound to add up. Entering this 17,000 seat monument to pseudoscience will be like a little holographic innoculation of woo into the minds of our young people, enticing them toward a lifetime of magical thinking. Imagine how many healthy meals will be skipped because mom or dad bought everyone magic bracelets? How many useful or inspiring books might have been purchased for California households at the rate of $30.00 per person? How many registration fees for actually improving ones balance and flexibility by participating in school or club sports will have to be found somewhere else.
I'm not a sports guy so maybe someone can tell me if there's any other sports facility in the entire world named after a fraudulent product?
*Yes, I know I have not linked to the Power Balance sites in the US or Australia. I don't want to contribute to their Google ranking, so if you visit them it will not be by clicking through the Eclectic Breakfast.
UPDATED TO ADD: I'm in a pissy mood today so I sent another message to PB
"On your Power Balance USA website you have made the following statement:
'Contrary to recent assertions in the Australian press, Power Balance has made no claims that our product does not perform. This is simply untrue. Apparently, some previous claims in our marketing ads in Australia were not up to ACCC standards. Changes were voluntarily made immediately, approved and the issues were believed to have been resolved. We were obviously surprised to see the recent press coming out of Australia followed by a class action law suit here in the United States.'
From the Corrective Advertisement on your Power Balance Australian website:
'In our advertising we stated that Power Balance wristbands improved your strength, balance and flexibility.
We admit that there is no credible scientific evidence that supports our claims and therefore we engaged in misleading conduct in breach of s52 of the Trade Practices Act 1974.'
Are you incapable of reading or comprehending your own websites? Do you expect people not to check both sites? What is going on?"
As of 8 February 2011 I am patiently waiting to hear back from them...tick tock, tick tock...five cents for you, $29.90 for them.
SURPRISE, AND NOT...
Today, 9 February 2011, I received not one but two replies from Power Balance USA. The first was in response to my inquiry submitted a week or so ago. The second was responding to yesterday's message. Both replies were precisely the same form email containing a juicy mix of fallacies, lies, and obfuscation. I especially relished their complaint that the ACCC insisted on the "narrow criteria of randomized, double-blind scientific studies." I'm pretty sure complaining to them or ranting about them accomplishes little, but their business model is based on fraud even more than woo and watching them drain the wallets of the gullible really grates on my nerves. Anyway, here's what they had to say...
"Hello Michael,
Thank you for writing us.
We understand your concerns regarding the ruling in Australia, and the articles circulating the different medias.
Here is our statement regarding the situation
Power Balance products work. The existing reports out there are fundamentally incorrect. Power Balance did not make any claims that our product does not perform.
We are committed to bringing our performance technologies to every athlete in the world from professional to amateur to recreational. Our community of believers continues to grow each week. While our previous claims in marketing ads are not up to Australia’s ACCC standards – we stand behind our products. The belief of thousands of consumers and athletes who wear our products are not wrong.
A preliminary study recently conducted on the product’s performance variables was commissioned and the findings have determined that the product does in fact provide a “statistically significant” result on the wearer’s performance. We are committed to further evaluating the product’s performance parameters so that we can continue to provide products that enhance the wearer’s lifestyle.
Numerous actual consumer testimonies supporting the wristbands’ performance were provided to the ACCC by Power Balance. Despite that, they requested Power Balance remove marketing claims until it could provide them with their narrow criteria of randomized, double-blind scientific studies that supports the use of those marketing phrases.
Power Balance voluntarily agreed to stop using those phrases. Power Balance believes and wants users to believe that we will do whatever it takes to appropriately, and with honor and integrity make our products available to every consumer in every market in the world.
In summary, we absolutely stand behind our products. There is no doubt in our minds, as well as thousands of consumers (be they professional athletes, trainers, weekend warriors, etc.), that our products work. To be clear, we did not make any statements referencing that we were a fraudulent company; a “scam”; the product is ineffective; or anything else similar to such statements in the media.
If you are not a US customer, please let us know the country from which you are inquiring, so we may direct you to the appropriate parties.
In regards to your request for a refund (US customers), we are happy to address your request in a timely manner. In order to complete this request we will need a receipt dated within 6 months from the date of purchase, from an authorized dealer, along with the product in order to process your refund.
If you would like to proceed with your request, please visit
20512 Crescent Bay
Suite 108
Lake Forest, CA 92630
We will process your request as quickly as possible on a first come, first serve basis.
Warmest regards."