- The President of the Office of Competition and Consumer Protection initiated proceedings against AzaGroup – the owner of the Renee.pl and Born2Be.pl online stores.
- Doubts concern the presentation of promotions in these stores: there is no information about the lowest price 30 days before the discount, and the attractive prices shown in the advertisements are intended only for loyalty program members.
- The penalty for violating collective consumer interests may amount to up to 10%. entrepreneur's turnover.
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From January 1, 2023, the amended provisions of the Act on information on prices of goods and services apply as regards the method of making the price visible when informing about its reduction. Entrepreneurs are obliged to display information about the lowest price of a product or service that was valid in the 30 days before the promotion was introduced. This is due to the implementation of the provisions of the Omnibus Directive, which is intended to ensure better enforcement and modernization of EU consumer protection rules.
– We have repeatedly emphasized that price information must be provided clearly and distinctly and must not be misleading. In the case of promotions, the lowest price from 30 days before the discount is the most important for the consumer. Without it, there is no reference point to assess the actual size of the discount. We constantly analyze the activities of various entrepreneurs in this respect and react when we see irregularities, says Tomasz Chróstny, President of the Office of Competition and Consumer Protection.
In the initiated proceedings regarding violation of collective consumer interests, the President of the Office of Competition and Consumer Protection brought three charges against AzaGroup:
- Failure to present the lowest price from the last 30 days – which is required by the Omnibus Directive when offering a discount.
The obligation to reliably inform consumers about the price, including the lowest price 30 days before the announcement of the discount, covers all stages of sales, from advertising messages to the conclusion of the contract. However, Renee.pl and Born2Be.pl stores, both in the mobile application and on the website, do not fulfill this obligation.
- Low price only for members of the Renee or Born2Be loyalty clubs
AzaGroup may mislead consumers by not providing information about the true price of products. Advertisements of both stores on the Internet tempt with attractive offers, but they are only available to people who have an account in their loyalty club. The consumer learns about this only after clicking on the advertisement leading to the store's website. To buy a product at the price indicated on the advertising banner, you must create an account on the website, join the loyalty club and enter the promotional code. If these conditions were clear already at the stage of viewing the advertisement, the consumer might not be interested in the offer at all.
- Misleading as to price advantage
The possibility of the owner of the Renee and Born2Be stores offering as "promotional" products whose price has not changed or even increased compared to the lowest price applicable within 30 days before the discount also raises doubts. Meanwhile, a promotion is truly a promotion if the product has been sold at a higher price in the last 30 days – otherwise using the words "sale", "promotion" or "discount" may be incorrect. If the previous cost does not differ from the current cost, there cannot be a price advantage. The correct way to calculate a discount is to relate the current sales price to the lowest price for a given product in the last 30 days.
Proceedings regarding violation of collective consumer interests may end, among others: imposing a financial penalty of up to 10%. entrepreneur's turnover.
The Office of Competition and Consumer Protection checks the most popular sales platforms
The President of the Office of Competition and Consumer Protection is monitoring how entrepreneurs have adapted to the new obligations – he has brought charges against Zalando, Media Markt, Sephora, Glovo and Shell Polska in connection with incorrect presentation of promotions, he has issued over 70 soft speeches, and 14 explanatory proceedings are underway regarding stationary stores. Following the actions of the Office of Competition and Consumer Protection, a significant number of entrepreneurs corrected their current practices.