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  • 12 hours ago
The federal court has ruled against supermarket chain Coles agreeing with the ACCC misled shoppers with their discount prices. The court has found Coles used its "down down" promotions to artificially inflate prices then drop them and labelling them as discounts.

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00:01In a stunning judgment, Justice Michael O'Brien has found that Coles misled shoppers on the discounts it charged on
00:10its down-down promotional program.
00:12And it did this because it didn't sell the product at the higher WAS price for long enough.
00:19So based on Coles' own policies at the time, Coles had a policy that it must sell a product for
00:2812 weeks at a higher price before it could be reduced and put on the down-down discounting program.
00:34And it didn't do this on a number of items that were examined as part of the case.
00:40He found that 13 out of 14 down-down promotional tickets that were used weren't sold for long enough at
00:48the higher price.
00:50And so what was shown on the ticket, the higher WAS price with a slash-through and then a discounted
00:56price, was misleading because the product was sold usually at a lower price for a much longer period preceding that
01:05higher price and then the promotion.
01:07And an ordinary shopper would want to know what the previous regular price had been.
01:15And because of that, it was not a genuine discount and it was misleading.
01:20And so a stunning judgment today.
01:23Coles has been defending the case and fought it bitterly and will be very disappointed in this outcome.
01:29We took these proceedings because we were concerned that the Coles' promotional pricing practices in the down-down program were
01:40making it hard for consumers to identify genuine value for money in their purchases of essential products.
01:47We received complaints from consumers.
01:50We know how important it is for consumers to obtain real value in their supermarket purchases.
01:58So we decided to test these pricing practices in court.
02:03So I've received a statement from them.
02:06It says its priority has always been delivering value to customers.
02:11It also pointed out that the court found that price increases did result from supplier cost price increases and were
02:21commercially justifiable.
02:23This was part of the judgment where the judge pointed out that Coles hadn't inflated the higher price in order
02:31to make the discount look bigger than it really was.
02:34That wasn't part of the case.
02:35So Coles has pointed out that that was significant for it.
02:40But it hasn't said whether it will appeal the case.
02:44So, you know, it said it's reviewing the judgment.
02:47It's only just come down.
02:48But, you know, it's important guidance for shoppers and retailers about discount pricing.
02:55So it will be fascinating to see whether Coles does appeal the judgment or whether it just, you know, submits
03:03to the judgment that's been determined today.
03:05And the penalties will be determined by the court at a later day and could be substantial.
03:11So조 that should be tracking from theakes 엄청»…
03:11And this is going to be an очень其实~~
03:11And that's it.
03:11So you will be clear here to see the court.
03:13And I might forget to use to call for how to install folks baby delivery.
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