Busy retail season ahead? Time for a quick compliance check
Labour Weekend, Halloween, Black Friday, Cyber Monday and Christmas are some of the busiest trading periods of the year, so it’s worth taking a few minutes to make sure your products, pricing and promotions are ready to go.
This article has been provided by the Commerce Commission
The Fair Trading Act applies to how businesses can advertise, price and sell their products and services. Doing a quick check now can help you avoid problems later.
Five-point retail readiness checklist
Are your products safe and compliant?
If you sell products covered by mandatory safety requirements, such as certain toys and children’s products, make sure they meet the relevant standards. Check that none of the products you supply are subject to an unsafe goods notice.
Are your discounts genuine?
If you’re promoting a sale or special offer, make sure any savings claims are accurate. A “was/now” price should reflect a genuine previous selling price. Avoid using inflated or outdated reference prices.
Is your pricing clear and accurate?
Customers should be able to easily understand what they’ll pay. Make sure prices are correct and clearly displayed, and disclose any additional fees or charges upfront.
Can you back up your claims?
Whether you’re promoting a product as a bestseller, using customer reviews, or making performance claims, you should have evidence to support what you’re saying. Make sure endorsements, ratings and reviews are genuine.
Are urgency claims genuine?
Claims such as “sale ends tonight”, “limited time only” or “only two left” should be accurate. Customers shouldn’t be misled about stock levels, deadlines or how long an offer will last.
Watch our webinar on Avoiding Breaches under the FTA
Our legal partner, Ford Sumner Lawyers, reviews common mistakes that employers can avoid to ensure compliance with the Fair Trading Act.
Need more information?
We understand that navigating your consumer obligations can feel overwhelming. If you would like clarification on anything in this article, or if you would like advice on a specific situation, do not hesitate to email us at [email protected] or give our Advice Service a call on 0800 472 472 (or 1800 128 086 from Australia).
If you’re not ready to join yet, consider trying our Pay-As-You-Go Advice Service! You can purchase individual Advice Sessions as and when required. If you love the service and decide you’d like unlimited access, we will discount the cost of the session from your annual membership fees.
