In November last year, Nike's Twitter account gave users the chance to enter into a prize draw with the chance of winning the right to purchase a limited-edition pair of shoes bearing the logo of Roc-A-Fella Records, the label co-founded by Jay-Z.
The Draw for the @nikesportswear @Roc_A_Fella Air Force 1 'Roc-a-Fella' is now open until 10:30 a.m. ET in ???? https://t.co/MwBVkN5IR1 pic.twitter.com/ivj24DHmwM— Nike.com (@nikestore) November 30, 2017
On 18 December, the apparel giant was notified that the competition's winner never received the shoes he had purchased, the ASA's report on the case, published today, states.
The following month, Nike apologised to the winner, saying that the item had gone missing in transit, and gave the winner a full refund and the offer of a 20% discount voucher.
No 'reasonable equivalent'
The ASA said that it would have expected "a business of the size of Nike" to have been able to supply a replacement pair of shoes, but that the CAP Code stipulates that in such instances, firms running competitions should instead provide a "reasonable equivalent" to competition winners.
"We considered that a 'reasonable equivalent' to the prize to buy a pair of limited-edition shoes would have been the opportunity to buy another item of clothing that was similarly limited and that cost a similar amount to buy."
Its judgment concluded: "We considered that Nike had failed to conduct the promotion equitably or efficiently and had as a result caused undue disappointment to the winner."
The ASA told Campaign's sister title PRWeek it could not reveal whether the competition winner was based in the UK or not, but said it would look into any complaints about promotions directed at the UK public, or any promotions by UK companies.
Nike has been approached for comment.
A version of this article was first published by PRWeek