Re: There are other options
in which case you will need to add some other digital trickery
They'd have to break through the crypto to touch it so yes it is effective. Indeed it's why mobile VPN services are progressively becoming fairly big business.
Regardless, it has the air of wake up and smell the lawsuit about it. Companies found doing this to their customers (and it's not exactly hard to test) will end up on the bad end of all sorts of privacy laws around the globe so on the off-chance any were reading this I'd tell them to how about stop.