Letter of complaint to ACCC

23rd October 2006

Australian Consumer and Competition Commission Consumer Complaints

GPO Box 3648                                                                                                                                Sydney NSW 2001

Dear Sir,

Re : Misleading Advertising Complaint.

 On your website http://www.accc.gov.au  under the heading “Guidelines for Advertising – Don’t Mislead or Deceive” it states; 

 “ [businesses] must take care not to mislead or deceive. It doesn’t matter whether the misrepresentation is deliberate or accidental. What does matter is the impression that is left in the mind of the customer.
 
The Act tells business  that it must not mislead or deceive, or take actions that are likely to mislead or deceive. It also specifically outlaws particular types of false or misleading representations, such as false or misleading claims about a product’s value, price………”

 I would therefore like register a complaint with the ACCC about my local supermarket – Woolworths. At the entry to store their is a big sign;

“ Low Prices You can count on everyday”

Therefore the impression that I am left with is that I can shop at Woolworths and count on getting low prices.

However, I have compared the prices for a basket of 27 everyday Fruit & Vegetables from Woolworths, with the prices for the same basket of goods from a independent retailer in my area. Comparison is attached.

This comparison shows that of these 27 everyday items, for 25 of them Woolworths charges higher prices, and on average for these 27 items Woolworths are charging a massive 44% higher price.

I therefore cannot count on getting low prices from Woolworths at all. I have been misled by the impression that Woolworths advertising conveys.

Woolworths are free to charge these massively higher prices to consumer, but in my opinion it is against the Trade Practices Act for them to be charging such high prices to consumer and at the same time, advertising “Low, prices you count on”.

From the evidence the only thing that I can count on” when I shop at Woolworths is that I am going to pay substantially higher prices – quite simply I, and thousands of other consumers have been deceived by this misleading advertising.

In my opinion such deception and misleading advertising requires action from the ACCC, firstly to require that Woolworths remove all in store promotional material advertising “Low Prices you can count on everyday” and to also issue a national public apology for this misleading and deceptive conduct that they have engage in by advising consumer that they “cannot count on” lower prices, and that many prices in Woolworths store will be substantially higher than their competitors.

Yours faithfully,

Craig Kelly

24 Wendlebury Rd,

Chipping Norton, NSW 2170

Attached:

1. Price Comparison

2. Copy of Sales Dockets for which comparison is made

3. Photos’ of Woolworths In store Advertising.