Shoppers expose dodgy supermarket prices through Consumer NZ campaign

Thursday, 19 January 2023

Shoppers across the country have been sending in examples of dodgy or confusing supermarket specials in response to a Consumer NZ campaign which is putting a spotlight on supermarket pricing and promotion strategies.

Cheese on special for $4.90, with the usual selling price of $4.80 clearly visible, is just one of the dodgy supermarket special exposed in Consumer NZ’s latest campaign.

Shoppers across the country have been sending in examples of incorrect or confusing supermarket specials in response to the campaign which is putting a spotlight on supermarket pricing and promotion strategies.

Among the examples shared was a ‘great price’ of $13.10 for dog food – listed next to its usual selling price of $12.50 and cheese that was on ‘special’ at $4.90 – with the usual selling price of $4.80 clearly visible. And another dog food, priced at $2.79 each, had an ‘extra low’ offer of two for $6.

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An ‘extra low’ offer of four packs of Pams Rice Crackers for $5 was also offered to shoppers, but they were usually only $1.09 each.

Consumer NZ spokesperson Gemma Rasmussen said a recent consumer polling found only 5% of respondents did not bother with supermarket specials, which showed supermarket understood the power of a ‘special’ or ‘everyday low’ price.

“It’s important the supermarkets are honest with shoppers about their pricing. Shoppers should be able to confidently compare products and know they are getting a good deal when purchasing a product on special,” she said.

Some of the dodgy specials Consumer NZ have been notified of.

“We received some concerning examples of misleading pricing and promotions, across all three of our big supermarket chains, and we think it’s unacceptable that these pricing errors seem to be happening on a regular basis.”

Earlier this week, Countdown admitted some of the specials advertised on its website were incorrect, leading to customers paying more than expected at the checkout.

“As well as the examples of dodgy specials, we have been contacted by some shoppers who regularly cross-check their receipts and frequently find they’ve been charged more than the advertised price,” Rasmussen said.

“We urge shoppers to check their receipts and let the supermarket know about any price discrepancies they find. Some supermarkets may refund the item in full if you are charged incorrectly.”

She also encouraged shoppers to report the pricing errors to Consumer NZ at playfair@consumer.org.nz .

As a part of its market study into the grocery sector, the Commerce Commission recommended supermarkets take responsibility to ensure their pricing and promotional practices are simple and easy to understand.

“At Consumer, we are not confident that supermarkets will step up and do the right thing,” Rasmussen said.

“There is a strong spotlight on the sector and yet pricing errors continue to happen, so we asked for shoppers to be our eyes on the ground. We’re not convinced the supermarkets are going to change their ways without pressure from the public.”

A Countdown spokesperson said the supermarket always aimed to ensure that its prices were clear, accurate and unambiguous for customers.

“We have a number of processes and dedicated team members to help with this, but with thousands of products in each of our stores, occasionally mistakes do happen.

In the case of the prices bought to its attention from Consumer, it looked like there had been an error made in the stores where the photos were taken, and staff had not updated the shelf tickets when the price of the products changed, she said.

“We apologise for any inconvenience this may have caused.”

Foodstuffs spokesperson Emma Wooster said with thousands of specials in stores every week, the co-operative strived to provide customers with value that was easy to find.

“We’re making good progress with actioning the recommendations that came out of the market study into our industry and this is regularly reported on websites,” she said.

“Our teams work hard every day to make sure our prices are correct, we don’t often make mistakes, but as soon as we’re made aware we always work quickly to correct it.”

Consumer NZ was also offered tips on how to avoid being fleeced at the checkout.

Look at the unit pricing. This is the best way of breaking down the actual saving on offer.
Lift the ‘special’ ticket and see what the usual price is – it might not be much of a difference.
Look out for multibuys – does it really work out cheaper to buy more?