Hi all who have been following the REPCO bait advertising threads.
It appears the ACCC agrees with us. If they get enough complaints they will act.
Their email reply to my complaint below.
By the way I finally got to talk to someone at Shepparton store. They were very cagey about it but they went as far as to say that they "might have had one" portable DVD unit, but that they "probably" didn't have the Blaupunkt unit.
Apparently there were "definately about four" catalog items that they didn't have in stock - and management would not allow them to order stock in anticipation of sales requirements.
If you read the ACCC letter that pretty much locks in A) Bait advertising thanks Eddie.
Dave
Pasted from Email:
Dear Mr Jones
Thank you for your email of 10 September 2005 to the Australian Competition & Consumer Commission (the ACCC) regarding Repco Ltd.
By way of background, and before addressing the specific issue you have raised, it may be appropriate to outline briefly the role of the ACCC and the scope of the Trade Practices Act 1974 (Cth) (TPA). The ACCC is an independent statutory authority responsible for ensuring compliance with the TPA. The main purpose of the TPA is to promote competition and efficiency in markets within Australia, and to protect consumers and businesses from unlawful anti-competitive and unfair market practices. The ACCC's role includes fostering fair and informed markets by seeking compliance with the TPA.
Section 52 of the TPA prohibits corporations in trade or commerce from engaging in misleading or deceptive conduct or conduct that is likely to mislead or deceive. Section 56 prohibits corporations from engaging in the practice of ‘bait advertising’. That is, businesses are prohibited from advertising products at a particular price, if there are reasonable grounds for believing they will not be able to offer those goods at that price for a period that is, and in quantities that are, reasonable having regard to the nature of the advertisement.. What is reasonable will depend on the particular circumstances, including the market in which the goods are sold and the nature of the advertisement. The conduct that you describe may be at risk of breaching this provision of the TPA. For this reason I have lodged details of your complaint in our national database.
The information obtained from individual complainants is used to establish a pattern of behaviour by a particular trader or in a particular industry. The ACCC’s consumer protection focus is on national issues and those localised issues that have wider public interest implications. The ACCC would usually pursue this type of complaint only where there is significant detriment, generally evidenced either by the number of complaints it receives and/or the magnitude of any loss suffered by consumers. At this stage the ACCC is not in a position to confirm what, if any, action may be taken on this matter. However, in the meantime this information will be used in the context of our ongoing monitoring.
In this instance, if you would like to pursue the matter further, we would suggest that you approach Repco Ltd and attempt to negotiate an acceptable remedy with them. If this fails, you may wish to put your complaint in writing to Repco Ltd, advising them of the problem and your desired remedy. Provide them with a date by which to contact you with an appropriate remedy before you take the matter further.
The conduct about which you complain may also contravene the Fair Trading Act in Victoria. For conduct occurring within your state the ACCC would generally refer consumers to the Consumer Affairs Victoria (Telephone 1300 558 181 or at www.consumer.vic.gov.au ) if you have suffered any loss you may be able to recover that loss in a Small Claims Tribunal. Consumer Affairs Victoria can also provide details about this procedure.
Thank you for contacting the ACCC and I hope that the above information is of some assistance.
Yours sincerely
Megan
ACCC Infocentre