The Competition Commission of Pakistan (CCP) has issued notices to 20 brands in response to retailers advertising discounts as “up to a percentage” during the “End of Season Sales”. The CCP considers such unspecified discount offers as a form of ‘Bait and Switch Advertising’, which is misleading to buyers and violates Section 10 of the Act as Deceptive Marketing Practices.
The Market Intelligence Unit/Office of Fair Trade of the CCP conducted a survey in the twin cities, revealing that the maximum discount was being offered on a small collection of least attractive articles, while the most popular items had minimal or no discount. This discrepancy between advertised and actual discounts forces customers to inquire extensively about the real offers.
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The CCP advises brands to provide clear and adequate disclosures regarding actual and discounted prices, specifying the stock on offer with flat or differential discounts. Brands and outlets that violate this directive may face enforcement action by the CCP under Section 10 of the Competition Act, 2010. Consumers are also advised to be vigilant while availing of discounts and sales offers to avoid falling victim to deceptive marketing practices.
