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Clever Strategy, Terrible PR

I usually applaud what I call "Loophole Thinking".


That's what I call it when people can carefully look at a difficult challenge and find the "loopholes" that allow them to (legally and ethically) bypass a rule or regulation preventing them from accomplishing their objective.


(A humorous personal example: after a visit to the movies several years ago, I gave my children very specific instructions NOT to eat their leftover popcorn in the car while I was driving. At a red light, I stopped and looked in my rearview mirror to see my then six-year-old daughter Charlotte munching away on popcorn. I said, angrily, "Charlotte! I told you not to eat your popcorn while I was driving!" To which she replied, "But you stopped." I couldn't help but laugh; that apple did not fall far from the tree...)


But when companies try to bypass the rules to maintain or increase profits at the expense of consumers?


Yikes.


The Canadian Radio-television and Telecommunications Commission (CRTC) is responsible for regulating Canada's broadcasting and telecommunications systems, including managing TV/radio licensing, telecom rules, and consumer protection programs. In March 2026, they announced a ban to prevent telecom companies from charging consumers connection, activation, change, and cancellation fees, alongside early cancellation fees for contracts without subsidized devices. This regulation, which was scheduled to take effect in June, was clearly designed to help consumers avoid exploitative fees for their cell phones in an oligopolistic industry leaves consumers with few competitive options.


TELUS decided to eliminate their "Connection Fee"...


... and replaced it with a new "$15 SIM card fee".


TELUS store with a crossed-out Connection fee $15 banner and Mandatory SIM charge: $15, while an angry man stands outside.


Maintaining your revenue by changing the name of the fee so that it might technically be allowed under the new rules could be considered an example of "Loophole thinking"...


... but it's a really bad look for TELUS.


Clever strategy, terrible PR.


And I doubt the SIM Card fee revenue will come close to making up for the reputational damage the company will incur as a result of this change.


If you use "loophole thinking" to solve problems in a novel way, you should be celebrated.


If you use it to take advantage of your consumers, your reputation will pay the price.


Choose wisely.



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© 2026 David Pullara. All Rights Reserved.

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