Amazon warned about misleading discounts

The Baden-Württemberg consumer advice center has issued a warning to online retailer Amazon for misleading discounts on its product pages. "With our proceedings, we want to ensure greater clarity and truth in advertising with price reductions. We see the price advertising in question as unlawful bait advertising and consumer deception, which we want to put a stop to," said Oliver Buttler from the consumer advice center. It has taken legal action.

Specifically, it is about the reference prices used for discounts, which in the opinion of the consumer advice center do not comply with applicable EU law. Amazon bases the comparative prices on the manufacturer's recommended retail price. In the opinion of the consumer advice center, Amazon should instead use the lowest price from the last 30 days. In this way, Amazon pretends that the offers are particularly attractive, which is not the case, writes the consumer advice center.

In fact, Amazon lists various options for displaying a reference price on a support page: the value shown can either refer to the manufacturer's RRP or to an "average sales price" that customers have paid on Amazon.

According to the consumer advocates, however, a price reduction must refer to the lowest total price of the last 30 days. This was decided by the European Court of Justice (ECJ) on September 26 following a complaint filed by the consumer advice center Baden-Württemberg against Aldi. In a statement to Teltarif, Amazon describes the accusations of the consumer advice center as incorrect. The ECJ's decision relates to a "different case constellation". Amazon complies with all laws and regulatory requirements.

Class action against fake discounts in the USA

The case is reminiscent of a class action lawsuit that was recently filed in the USA. In it, Amazon is accused of systematically displaying fake discounts on its product pages in order to mislead potential customers. According to the statement of claim, the discounts displayed on product pages are intended to give the impression that customers can buy at a bargain price. In fact, however, the basic list price displayed as a comparative value is inflated. Accordingly, the discount displayed is false.

Interesting: In the USA, Amazon takes a different approach to its comparison prices than in Germany: in the USA, Amazon says it chooses prices that have been called up in the past 90 days as a comparison. The plaintiff accuses Amazon of not adhering to this.

(dahe)