The company has received a positive outcome from the NAD (National Advertising Division) regarding a challenge filed on Fungi-Nail, the largest US competitor to the Kerasal Nail product.
NAD recommends the advertiser to discontinue current product packaging and commercials. Moberg Pharma expects the outcome to further strengthen Kerasal Nails position and growth prospects in the U.S. market.
In the spring of 2017, Moberg Pharma filed a challenge to NAD on claims made by Kramer Laboratories, Inc. as for the Original Fungi-Nail Toe & Foot Brand and Fungi-Nail Nailner. The challenge mainly concerned product packaging, television and print advertising for “Fungi-Nail Toe & Foot”; claiming to treat toenail fungus rather than athlete’s foot which is the approved indication for the product.
- NAD recommended the advertiser to discontinue the Fungi-Nail Toe & Foot product name and the associated fungal toenail images.
- NAD also recommended the Fungi-Nail Toe & Foot product packaging and television commercials to be discontinued or modified to clearly and conspicuously state, in proximity to the main advertising claims, that the product treats athlete’s foot, not toenail fungus.
- NAD recommended the advertiser to discontinue all claims that the Fungi-Nail Toe & Foot product works “fast,” kills fungus “on contact,” stops “tough” infections, and is the “#1 Pharmacist Recommended” brand. However, NAD found that there is a reasonable basis for the advertiser’s “stops the spread” (of the skin fungus) claim.
- With respect to the advertiser’s Fungi-Nail Nailner product, NAD recommended the image of the fungal toenail, as well as the claims: “Clears nails fast,” “Visible results after seven days,” “Looking to improve nail appearance fast? These cure fungus ugly nails in 48 weeks,” and “Fungus Ugly to Prettier Nails Fast!” to be discontinued.
According to NAD, Kramer Laboratories have declared that they will comply with all recommendations except for changing the trade name. As a result, NAD has referred the trade name issue to the attention of the appropriate government agency for possible enforcement action.
“We are highly pleased with the outcome from NAD and we expect the outcome to further strengthen Kerasal Nails position and growth prospects in the US market”, says Peter Wolpert, CEO of Moberg Pharma.