Coles and Woolworths respond to sneaky pricing accusations

Accusations have been flying around social media, suggesting that Australia’s supermarket giants Coles and Woolworths are being sneaky with their pricing for specials and promotions, leaving consumers questioning the authenticity of their so-called discounts. 

‘[Woolworths] and Coles [are] up to the same old tricks,’ expressed one frustrated shopper on social media.

The controversy began when customers noticed that the price tags on certain Easter products seemed to have been allegedly inflated only to be marked down later, creating the illusion of a significant saving. This practice, known as ‘price jacking,’ is not new to the retail world, but it’s particularly disheartening when it taints the festive spirit of a holiday like Easter.

One customer took to social media to express their frustration, pointing out that a box of chocolates priced at $24 at Woolworths for an extended period suddenly jumped to $29, only to be advertised as a ‘clearance’ item at the original price of $24.

Another Coles shopper was puzzled by a $20 price tag on a box of Lindt Easter eggs, allegedly reduced from $40, and questioned, ‘When were these ever $40?’

‘My co-worker was putting up new tickets and came to show me… she said doing tickets makes her so angry and this is exactly why,’ wrote someone who claimed to work at Woolworths, alongside photos of the old and new price tags of coffee capsules.

These allegations echo the concerns raised by the Australian Competition and Consumer Commission (ACCC) last year, when both Coles and Woolworths were accused of deceptive pricing practices. The ACCC’s legal action against the supermarkets claimed that they artificially inflated prices on hundreds of items, only to later advertise them as discounted, misleading consumers about the true savings.

During a Federal Court hearing, the supermarkets denied these allegations, attributing price changes to supplier costs and market conditions. They insisted that their pricing strategies were transparent and in line with industry standards. However, the ACCC argued that such practices damage consumer trust and called for significant penalties to prevent future misconduct.

In response to the recent Easter pricing controversy, both Coles and Woolworths have defended their actions.

A Coles spokesperson explained that the $40 recommended retail price (RRP) for the Easter eggs was accurate and that the price of chocolate had increased due to global cocoa shortages.

Woolworths also cited higher commodity prices for green coffee beans and cocoa as reasons for increased costs, but acknowledged an error in the pricing of the ‘clearance’ chocolates, suggesting it might have been an isolated incident or due to the products nearing their expiration date.

Despite these explanations, the timing of these price adjustments has left many consumers sceptical.

It’s important to note that while supermarkets may face genuine cost pressures, the ACCC’s ongoing scrutiny indicates that there may be more to these pricing strategies than meets the eye.

As consumers, it’s crucial to stay informed and vigilant, especially during holiday seasons when special offers and discounts are abundant. Remember to compare prices, check historical pricing where possible, and don’t be swayed by flashy ‘sale’ signs without doing your due diligence.

We’d love to hear from you, our YourLifeChoices readers, about your experiences with supermarket pricing, especially during festive seasons. Have you noticed any questionable pricing tactics? How do you ensure you’re getting a genuine deal? Share your stories and tips in the comments below, and let’s help each other become savvier shoppers.

Also read: Watchdog scrutinises supermarkets’ ‘then and now’ pricing tactic