Power Balance

This article is about the bracelet brand. For the arena formerly named for the brand, see Sleep Train Arena. For other uses, see Balance of power.
A Power Balance wrist band

Power Balance is a brand of hologram bracelets once claimed by its manufacturers and vendors to "use holographic technology" to "resonate with and respond to the natural energy field of the body", and increase sporting ability.[1] Numerous independent studies of the device found it to be ineffective for enhancing athletic performance, and the manufacturer was forced to retract its claims in 2010.

The product was promoted through paid celebrity endorsements[2] and became a fad among professional sportsmen in 2010, leading one journalist to say that "a growing number of professional sportsmen and their attendants are starting to sound like New Age crystal healers."[1]

Power Balance initially denied that they made any medical or scientific claims about their products,[3] but after an Australian Competition and Consumer Commission ruling, the Australian distributor of Power Balance was forced to recognize and retract their medical claims.[4] The company has been the focus of significant criticism, particularly for false advertising. It has been described as "like the tooth fairy"[5] and a "very successful marketing scam".[6]

By the end of 2011 the company was reported to be on the edge of going out of business having paid out $57m to settle a lawsuit, in the course of which company executives acknowledged that their claims to improve strength and balance were bogus.[7] It filed for Chapter 11 bankruptcy and subsequently failed, but the brand has been transferred to a new company, Power Balance Technologies.

Efficacy

IIG testing Power Balance in progress, Oct 28, 2010

In 2011, researchers from RMIT's School of Health Sciences reported the results of an independent, randomized and controlled trial with double blind design. They found no difference in balance between people using a real holographic wristband and those wearing a placebo.[8]

On October 28, 2010 Olympic champion gymnast Dominique Dawes, working for Yahoo Weekend News and Independent Investigations Group (IIG), tested Power Balance bracelets for their claim that they improve balance, flexibility and strength. According to IIG investigator Dave Richards "There was one 'legitimate' Power Balance bracelet, and 3 'sham' bracelets that had the hologram removed from them. The experiment was double-blinded, all bracelets were wrapped with tape so no one present knew which bracelet was real and which were fakes. Neither the participants nor the people recording the scores knew which bracelet was 'real' until after all participants had completed their runs and their scores were recorded." The results indicated that there was no benefit for those that had a real holographic bracelet compared to those who had a placebo.[9][10][11]

In December 2009, an informal double-blind test was performed on the Australian television program Today Tonight, led by Richard Saunders from the Australian Skeptics. The results showed strong evidence that any effect of the holograms is too small to measure against the placebo effect.[12]

A study at the University of Wisconsin tested the effects of Power Balance bracelets on a group of NCAA athletes. One set of the athletes received the Power Balance bracelet, while the other received a placebo bracelet. The athletes were subjected to tests of flexibility, balance, and strength, after which, the athletes switched bracelets and performed the tests again. The study found that the Power Balance bracelet had no effect, compared to the placebo, on the performance of the athletes.[13]

A group of students skeptical of the claims conducted a test which showed "no significant difference between the real wristband and the fake".[14] Researchers commissioned by the BBC also found that the bands were placebos,[3] A 2012 Skeptical Inquirer study showed that in a double-blind test of performance on an obstacle course, sixteen volunteers showed a difference in performance no greater than chance.[15]

Criticisms

Former US president Bill Clinton was reported to wear a Power Balance Power Band.[16]

Many experts are of the opinion that the Power Balance bracelet is nothing more than a placebo. Victor Thompson, a sports psychologist based in London, is quoted by the Daily Mail as saying: "I'm not aware of any research that supports the technology behind these bands". Greg Whyte, professor of applied sport and exercise science, Liverpool John Moores University observed that "For generations there have been devices that claim to mediate the body's flow of energy, from acupuncture to copper wristbands and, latterly, magnets ... In most instances, the 'proof' is based on anecdotal evidence."[17]

The Center for Inquiry noted Power Balance's use of pseudoscientific applied kinesiology tests, which it described as "problematic and full of flaws". The illustrative videos on the company's website were considered vague and unclear, and the Center noted that "most people's flexibility seems to improve from their first stretch to their second stretch regardless of whether they are wearing the bracelet".[18]

In the Skeptical Inquirer Magazine in 2010, Harriet A. Hall wrote that she would believe anyone who claimed that a Power Balance product made them feel better, or that their performance was improved, but would not be convinced that "the improvement has anything to do with bioresonating frequencies in the holograms—or even with the cards themselves. It's like the tooth fairy. Tell me money appears under your pillow, and I will believe you. But that won't convince me that the tooth fairy did it." [19]

Australian consumer advocate group CHOICE recognized Power Balance in their 2010 Shonky Awards. The Shonky Awards are intended to "name and shame the shonkiest rip-offs and scams."[20] The Sydney Morning Herald concluded the Power Balance bracelets “did little else than empty purchasers’ wallets”.[21]

In November 2012, Dallas Mavericks owner Mark Cuban criticized an endorsement deal between the NBA and Power Balance. When a similar product was pitched on the ABC reality series Shark Tank, which features Cuban as one of the "sharks", he dismissed the product, stating "No, I'm allergic to scams. Seriously, this is not new. It's been disproven. What you saw is the placebo effect. There's athletes that wear it. It's a joke. It's a scam. It's not real."[22]

Legal issues

In November 2010, the Australian distributors of "Power Balance" were ordered by the Therapeutic Goods Administration Complaints Resolution Panel to drop "false and misleading" claims that the wearers would experience "up to a 500% increase in strength, power and flexibility", and ordered the claims removed from the company's website and a retraction posted within two weeks.[23] The Junta de Andalucia fined the Marbella-based subsidiary a sum of €15,000 for false advertising; consumer organization Facua are appealing to the Health Department for an increased fine as they consider this insufficient.[24]

Also in November 2010 Power Balance filed suit against Microsoft for infringement of trade dress in respect of the Xbox Kinect, after the company announced a range of promotional wristbands.[25][26]

In December 2010, the Australian Competition and Consumer Commission (ACCC) obtained from Power Balance Australia Pty. Ltd. an undertaking to take a number of actions in relation to correcting their misleading advertising,[27][28] including:

  1. publishing, at its own expense, corrective advertisements[29]
  2. ceasing to claim that the products[30]
    • will improve the user's balance, strength and flexibility; or
    • are "designed to work with the body's natural energy field";
    • nor, in conjunction with the Products, make claims that "Power Balance is Performance Technology" or use the phrase "Performance Technology"
  3. ceasing to manufacture or import products containing the words "Performance Technology"[31]
  4. blacking out the words "Performance Technology" on its packaging[32]
  5. replacing its promotional and marketing material[33]
  6. offering full refunds, plus postage[34]

Power Balance Australia chief executive Tom O'Dowd admitted that "we'd made claims in the start that said that our product improved strength, balance and flexibility, and we didn't have the scientific peer reviewed double blind testing or the level of proof that we needed to substantiate those claims".[35] ACCC chairman Graeme Samuel stated "It's a crock frankly. And we're very disappointed that so many people have paid hundreds of thousands if not millions of dollars to buy these Power Bands."

Power Balance Australia was required by the ACCC to run a series of advertisements in Australian media containing the following text and to unconditionally refund those they mislead:[36][37]

"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. If you feel you have been misled by our promotions, we wish to unreservedly apologise and offer a full refund."[4][38]

In December 2010 Italy's Antitrust Authority fined Power Balance 300,000 euros (and another company 50,000 euros) for not having scientific proof of the claims made.[39]

In September 2010, the Dutch Advertising Code Commission (RCC)[40] made the following decision in the case where FIR-TEX Ltd,[41] the plaintiff, had put Surf Unlimited Trading BV, distributor of power-balance in the Netherlands, on trial with the following complaint:

"Advertiser claims on its website that the use of the Power Balance Bracelet improves balance, strength and agility. These allegations are not backed with any single (scientific) evidence. The plaintiff believes that this method of advertising is in conflict with the Dutch Advertising Code (NRC) as the link between wearing the bracelet and the health of the wearer has not been determined in any way."

The verdict of the Commission was as follows:

The Commission considers the advertisement in opposition of the provisions of Article 7[42] NRC. It recommends advertiser not to advertise in such a way anymore.

In January 2011, a suit was filed in the United States against the company for fraud, false advertising, unfair competition and unjust enrichment.[43] Power Balance agreed in September 2011 to settle the class action lawsuit. The settlement terms entitled Power Balance purchasers to a full $30 refund plus $5 shipping. A hearing to finalize the agreement was canceled after Power Balance filed for Chapter 11 protection.[44]

In November 2011, Power Balance filed for bankruptcy after suffering a net loss of more than $9 million that year.[45]

In 2012 the company announced it was trading under new ownership as Power Balance Technologies Inc.[46]

See also

References

  1. 1 2 Power Balance bracelets: source of energy or just a gimmick?, Daily Telegraph, 15 October 2010
  2. ↑ "Sports stars paid to endorse 'magic' wristband - Video". 3 News. 17 May 2010. Retrieved 4 November 2011.
  3. 1 2 Power Balance band is placebo, say expert, BBC News, 22 November 2010
  4. 1 2 "Corrective Advertisement – Power Balance Wristbands". Archived from the original on 2010-12-25. Retrieved 2016-01-25.
  5. ↑ "Wristy business", High Desert Daily Press, December 16, 2010
  6. ↑ 'Power' wristbands might be the biggest scam , The Age, June 20, 2010
  7. ↑ Power Balance pays out $57m as 'their bracelets do not help athletic performance as claimed', Daily Mail, 21 Nov 2011
  8. ↑ Brice SR, Jarosz BS, Ames RA, Baglin J, Da Costa C (2011). "The effect of close proximity holographic wristbands on human balance and limits of stability: A randomised, placebo-controlled trial". J Bodyw Mov Ther. 15 (3): 298–303. doi:10.1016/j.jbmt.2011.01.020. PMID 21665105.
  9. ↑ Dawes, Dominique. "Do Power Balance wristbands work? - Yahoo! News". News.yahoo.com. Archived from the original on 2010-11-10. Retrieved 2010-11-04.
  10. ↑ "IIG Power Balance Experiment". Iigwest.com. 2010-10-30. Retrieved 2011-01-15.
  11. ↑ Underdown, James (January–February 2012). "Power Balance Bracelets a Bust in Tests". Skeptical Inquirer. CSICOP. 36 (1): 14–16.
  12. ↑ Frank Pangallo (2009-12-22). "Bracelet claims put to the test". Today Tonight. Sydney. SevenNetwork. 7.
  13. ↑ Morales, Daniel. "Power Balance bands don't live up to claims". The State Hornet. Retrieved 11 November 2011.
  14. ↑ Students test claims of hologram wristband, Orange County register, Dec. 14, 2010
  15. ↑ "Power Bracelets a Bust". Skeptical Inquirer. January 2012. Retrieved 2012-11-12.
  16. ↑ "INSIDE EDITION Investigates Power Bracelets - News from". InsideEdition.com. 2011-02-24. Retrieved 2013-06-20.
  17. ↑ The A-listers love them. But are Power Balance bands just a con trick? Daily Mail, 24 August 2010
  18. ↑ "Power Bracelets a Bust in IIG Test". Skeptical Inquirer. November 11, 2010. Retrieved 2011-06-12.
  19. ↑ "Pseudoscientific Silliness Suckers Card-Carrying Surfers | Skeptical Inquirer". Skeptical Inquirer Magazine. May–June 2010. Retrieved 2011-02-20.
  20. ↑ "The 2010 Shonky Awards". CHOICE. Retrieved 11 November 2011.
  21. ↑ "Researchers Test Power Balance Claims". smh. Oct 26, 2010. Retrieved 2012-11-12.
  22. ↑ "Mark Cuban of Dallas Mavericks blasts NBA for 'scam' bracelet deal". ESPN. Nov 26, 2012. Retrieved 2012-11-27.
  23. ↑ Slap on the wrist for power balance, Sydney Morning Herald, November 21, 2010
  24. ↑ ‘Miracle’ bracelet company fined €15k , Euro Weekly News, 26 November 2010
  25. ↑ Microsoft Kinect launch could be scuppered by Power Balance law suit, Tech Eye, 2 November 2010
  26. ↑ Power Balance Sues Microsoft for Trade Dress Infringement, Washington University College of Law Intellectual Property Brief, 16 November 2010
  27. ↑ "ACCC Undertakings register, Power Balance Australia Pty. Ltd". Accc.gov.au. 2010-12-22. Retrieved 2011-11-24.
  28. ↑ "Power wristbands banned and refunds ordered by ACCC". Heraldsun.com.au. 2010-12-23. Retrieved 2011-11-24.
  29. ↑ ACCC undertaking, §11.c-f, k
  30. ↑ ACCC undertaking, §11.a
  31. ↑ ACCC undertaking, §11.g
  32. ↑ ACCC undertaking, §11.h, i
  33. ↑ ACCC undertaking, §11.j, i
  34. ↑ ACCC undertaking, §11.l
  35. ↑ AM Barbara Miller (2010-12-23). "Watchdog says power wristbands a crock". Abc.net.au. Retrieved 2011-11-24.
  36. ↑ Power Balance come clean and offer refunds after admitting wristbands do not enhance performance, Daily Telegraph, 4 Jan, 2011
  37. ↑ "Powerbalance admits their wristbands are a scam". Gizmodo. Retrieved 2013-06-20.
  38. ↑ ACCC undertaking, Annexure B
  39. ↑ ""Il Power Balance senza riscontri" Dall'Antitrust multa da 350 mila euro ("The Power Balance without evidence" Antitrust fine of € 350 000)". Repubblica.it. Retrieved 2011-11-24.
  40. ↑ ""De bestreden reclame-uiting" Het betreft de website www.power-balance.nl ("The controversial advertising" It concerns the website of power-balance.nl)". Reclamecode.nl. 2010-09-06. Retrieved 2011-11-24.
  41. ↑ "Website of FIR-TEX Ltd". Fir-tex.com. Retrieved 2011-11-24.
  42. ↑ "Article 7 of the Dutch Advertising Commission". Reclamecode.nl. Retrieved 2013-06-20.
  43. ↑ Malinowski, Erik (2011-01-26). "Basketball Stars Sued Over Energy-Bracelet Endorsement | Playbook". Wired.com. Retrieved 2011-11-23.
  44. ↑ Lillis, Ryan. "Firm that gave its name to Kings' arena files for bankruptcy protection". The Sacramento Bee. Retrieved 18 December 2011.
  45. ↑ Hsu, Tiffany. "Power Balance files for bankruptcy after retracting health claims". Los Angeles Times. Retrieved 24 November 2011.
  46. ↑ Correra, Kristi. "Power Balance Technologies seeks growth under new ownership". OC Metro. Retrieved 17 January 2012.
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