{"id":204629,"date":"2021-04-27T15:13:52","date_gmt":"2021-04-27T02:13:52","guid":{"rendered":"https:\/\/legalvision.co.nz\/?p=204629"},"modified":"2021-04-27T15:13:54","modified_gmt":"2021-04-27T02:13:54","slug":"sale-price-promotion","status":"publish","type":"post","link":"https:\/\/legalvision.co.nz\/regulatory-and-compliance\/sale-price-promotion\/","title":{"rendered":"4 Legal Tips for Planning a Sale or Price Promotion in NZ"},"content":{"rendered":"

Holding sales for your products can be an effective way to draw in customers and sell a larger volume of goods in a shorter period. You can draw customers in with good marketing of a sale or price promotion, and they may come back again if they like your products. However, you must be careful not to <\/span>mislead<\/span><\/a> your customers about the actual value of a sale or discount. Otherwise, you run the risk of breaching New Zealand advertising regulations. Therefore, you need to carefully plan the exact discounts you are going to offer and what you will say about any sales or promotions. This article will provide four tips to help you plan a sale or price promotion at your business.<\/span><\/p>\n

Do Not Hide Important Information in the Fine Print<\/span><\/h2>\n

When creating advertising or promotion materials for an upcoming sale, ensure that the number or price you are promoting is the actual price at which you are selling the product. You cannot hide any extra fees or conditions <\/span>in the fine print.<\/span><\/a> Your price promotions must be accurate and clear. Otherwise, you run the risk of misleading your customers. Even if you provide a disclaimer, if your advertisement’s overall image is misleading, you are breaking the law.<\/span><\/p>\n

\n

For example, say you advertise a discounted price of $29.99 for backpacks you are selling. However, this price does not include GST. Instead, you write, \u201cextra charges may apply\u201d in the fine print of your advertisement. The overall advertisement is misleading because that is not the actual price that a customer would expect to pay.<\/span><\/p>\n<\/div>\n

Watch Out for Price Mistakes<\/span><\/h2>\n

A once-off price mistake in a sales promotion is unlikely to be too devastating, as long as you fix it as soon as possible and deal with any subsequent complaints. However, if there are repeated<\/span> pricing errors<\/span><\/a>, then you run the risk of misleading your customers about what price they pay. Customers expect to pay the price advertised on the shelf. Even if it was a mistake, you might still face legal action if the error was significant enough.<\/span><\/p>\n

Be sure to avoid pricing mistakes when offering store-wide sales or other similarly large promotions. For example, say you are offering your \u201cbiggest sale ever\u201d on all of your online stock. However, through a technological glitch, the prices listed on your stock are significantly lower than you intended. Customers may mistakenly assume these prices are correct because of the way you advertised the sale.\u00a0<\/span><\/p>\n\n\n Continue reading this article below the form\n <\/i>\n<\/a>\n

\n
\n Need legal advice?\n
\n \n Call 0800 005 570<\/a> for urgent assistance.\n
\n Otherwise, complete this form, and we will contact you within one business day.\n <\/span>\n <\/div>\n\n \n\n
\n