TexPIRG conducts survey of national TV
retail stores and finds that consumers are getting mixed signals.
In one year, 22 million
Americans who rely on free over-the-air analog broadcasting – including many
elderly and other vulnerable populations – will be at risk of losing access to
TV, which for many is a primary source of news and emergency information as
well as entertainment.
On February 17, 2009, all TV
stations will begin broadcasting exclusively in digital signals. If you have an
older analog TV and Consumers with cable or
satellite service will not be affected. you receive over-the-air
television, your TV will go dark, unless you retrofit it with a digital
converter box.
Many consumers are just now
hearing about the government-ordered digital transition and they are going to
electronics retail stores to ask questions about what is necessary to maintain
their TV reception.
One consumer advocacy
organization, TexPIRG, has conducted “secret shopper” surveys at 132
electronics stores in ten states – including Austin,
Texas – to determine if America’s big
electronics retailers are properly preparing their customers for the digital
transition. The results were released
today in TexPIRG’s new report: “Mixed
Signals: How Retailers Mislead Consumers on the Digital Television (DTV) Transition.”
“The results of our survey are clear,” said Heather
Frey, program associate, of TexPIRG. “Retail sales clerks are providing
inaccurate or misleading information about the upcoming digital transition and
these mixed signals will cost consumers time and money.”
The transition to a digital
system was first mandated by Congress in 1996.
Broadcasters, manufacturers and retailers were informed. Twelve years later, and just one year out
from the date of transition, TexPIRG’s report finds that accurate information
about the transition is hard to come by in most retail stores.
It is important to know that
next year’s change does not require any household to purchase a new television
set. Households with older sets still
receiving analog signals via antenna need only purchase a basic converter box
that costs approximately $40. And, the
government is offering up to two $40 coupons per home to offset the cost of the
most basic converters.
However, some sales clerks
tried to persuade PIRG’s “secret
shoppers” to buy new, expensive digital televisions or premium converters,
which will not be covered in the government’s coupon program.
“To consumers, it does not matter whether sales clerks
were intentionally misleading our secret shoppers to sell more expensive items,
or if they were simply misinformed” continued Ms. Frey. “The result is the
same: consumers will pay too much for unneeded equipment or services.”
Nationally, almost half of
sales staff surveyed did not provide accurate information on the date the
transition would take place – answers ranged from “sometime soon” to “probably
not until 2010.”
Here in Texas we found the following:
80% of sales staff provided
inaccurate information about converter boxes.
100% of sales staff provided
inaccurate information about the coupon program.
50% of sales staff provided
inaccurate information about the transition date.
TexPIRG called on retailers
to properly educate their employees and their customers about the digital TV
transition.
“To protect consumers against
misinformation or fraud,” said Frey “retailers must provide proper information about
the converter boxes they sell and about the government-sponsored coupon program
that is designed to offset the cost of the converter boxes. They must also properly label analog TV sets
that are still on their shelves with warnings informing buyers about the need
for a converter box after next February.”
Frey also recommended that
the government step in to enforce penalties against retailers that mislead or
misinform consumers to reap greater profits from the sale of unnecessary
equipment.
Additional tips for consumers
are included in TexPIRG report, downloadable at www.TexPIRG.org. Consumers can also
go online at dtv.gov or call the free government number 1-888-388-2009 to find
out more about the government-sponsored coupon program.
