What could the company do to fix its marketing campaign

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Reference no: EM133682697

Green Cross is a major health care provider and insurance company. Like Aetna, Highmark, and other large providers, Green Cross markets its health insurance plans by highlighting the large number of providers in its network. "We give you choices" is the tagline of its multimillion-dollar advertising campaign. Specific commercials target different medical specialties. At the end of each is a statement about the number of providers and the tagline. For example:

"We have more than 200 dermatologists in our network. At Green Cross, we give you choices."
"We have more than 1,500 physical therapists in our network. At Green Cross, we give you choices."
"We have more than 100 mental health professionals in our network. At Green Cross, we give you choices."

However, these numbers refer to how many medical providers they retain nationwide. In each community, the number of available providers is significantly lower. In addition, more than 50% of their mental health practitioners are no longer accepting new patients, and 20% have retired or moved. The average wait time to make an appointment with a dermatologist is 15 months.

A local consumer who switched to Green Cross complains to the FTC about deceptive advertising. Green Cross argues that these are independent providers, and it has no control over whether they are accepting new patients.

1. Discuss the main factors to determine whether this is deceptive advertising.

2. If it is, what could the company do to fix its marketing campaign?

Reference no: EM133682697

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