Watchdog bites over dodgy ads during Black Friday sales
Michael Hill Jeweller, MyHouse and Hairhouse Warehouse Online each paid $19,800 following an Australian Competition and Consumer Commission investigation.
The competition watchdog alleged the businesses were misrepresenting the nature of their sales, including by falsely describing discounts as applying "sitewide".
The commission probed dozens of sales advertisements for last year's Black Friday and post-Christmas sales events amid concerns they misrepresented the size and scope of the discounts on offer.
"We allege these claims misled consumers that all goods in the physical or online store were discounted, or that the discounts were greater than was actually the case," ACCC Deputy Chair Catriona Lowe said on Wednesday.
"Advertisements that talk about 'sitewide' or 'storewide' sales or promise discounts 'off everything' should deliver what customers expect, and not be used by retailers to hook consumers under false pretences."
Michael Hill's online advertisement promoted the sale with the words: "Member Event 25% off Sitewide".
This may have misled consumers and contravened Australian consumer law, because some of the products in its online store were not part of the sale and were not discounted, Ms Lowe said.
MyHouse and HairHouse Online were also fined for website banners or ads that made misleading claims about the scope of savings on offer.
The watchdog said the discounts were not available on all products.
Under the rules, businesses are legally obliged to accurately describe their sale offers and should not use small point disclaimers to terms and conditions to disguise the real extent.
Michael Hill Jeweller (Australia) Pty Ltd is a wholly owned subsidiary of Michael Hill International Limited, with 170 retail stores in Australia.
Homewares business MyHouse is operated by homewares and kitchen goods retailer Global Retail Brands Australia Pty Ltd as an online business and also has 28 stores in Australia.
The retailer also operates a range of similar businesses such as House, Robins Kitchen, House Bed & Bath and Baccarat.
Hairhouse Online is a related entity of The Hairhouse Warehouse Pty Ltd with 125 stores across Australia, offering haircuts, hair extensions, spray tans, manicures, waxing, make-up and other hair and beauty services.
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