1-day.co.nz / Fair-trading ACT

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2078 posts

Uber Geek

#403816 12-Nov-2010 11:29

Yes it's misleading advertising but there is very little you can do about it. It's up to the Commerce Commission to take enforcement action.

You can make your complaint here: http://www.comcom.govt.nz/making-a-complaint/

LittleGreyCat

153 posts

Master Geek

#403843 12-Nov-2010 11:57

Just looked at the site and it does look potentially misleading.

However the wording seems very careful.

Why pay $xxx when you can pay $yyy - save $zzz.

It specifically does not say that the identical product is normally sold at the higher price.

Try expanding it to "Why spend $1m on a Rolls Royce when you can pay $500k for a Bentley and it is a very similar car. You can save $500k and get a car that is just as good."

Now chop out the extra words and see what you get.

As already suggested, it is for the regulator to decide if the rules have been broken.

Feel free to sue - that is what the law is for - but it is probably better to go to a legal professional who specialises in consumer law and ask for an estimate of probable cost to reach a successful conclusion.

That is likely to be more realistic than asking the question on an Internet forum where the value of the advice reflects the amount you paid for it. Also the legal liability if the advice turns out to be incorrect.

Cheers

LGC

oxnsox

1923 posts

Uber Geek

#403873 12-Nov-2010 13:11

Yes it's misleading advertising .... (edit).....

I don't see it as misleading... but misinterpreted

And remember like all things, it's an offer on their part.... an invitation.....
It's your choice to accept, decline or ignore it.

graemeh

2078 posts

Uber Geek

#403885 12-Nov-2010 13:51

oxnsox:
Yes it's misleading advertising .... (edit).....

I don't see it as misleading... but misinterpreted

And remember like all things, it's an offer on their part.... an invitation.....
It's your choice to accept, decline or ignore it.

Which is why I delete 99.9% of emails from 1-day.

The only way to be certain if it meets the test for "misleading" would be for it to go to court. Air NZ thought their advertising international fares with tax listed separately in the small print was not misleading. Unfortunately for them the judge did not agree.

talisker

65 posts

Master Geek

#403897 12-Nov-2010 14:18

They may be sailing close to the wind with regard to the Fair Trading Act, but as their business relies on these deliberately ambiguous claims they have probably taken advice to ensure they are (just) on the right side of the line.

What do you mean by "sue"? The most that you could get under the Commerce Act is to have your purchase refunded. The company could potentially also be fined by the Commerce Commission and have to change their advertising. This isn't America where you can sue for massive damages because of the "stress" this whole sorry tale has caused you.

Anyway, you haven't suffered in the slightest. You've bought a vacuum cleaner worth $79 for $79.

graemeh

2078 posts

Uber Geek

#403908 12-Nov-2010 14:59

talisker: They may be sailing close to the wind with regard to the Fair Trading Act, but as their business relies on these deliberately ambiguous claims they have probably taken advice to ensure they are (just) on the right side of the line.

Air NZ thought they had the right advice too, turns out they were wrong.

I think a lot of these companies rely on total apathy from the Commerce Commission which means that the largest penalty they are likely to get is a slap on the hand with a wet bus ticket.

savag3

188 posts

Master Geek

#403912 12-Nov-2010 15:09

The Commerce Commission is not the only organisation able to enforce the Fair Trading and Commerce Acts.
Anyone can enforce them via the Courts if they wish. Just like a private prosecution for criminal matters. The cost of doing so is another matter.

Sharesies

Trade NZ and US shares and funds with Sharesies (affiliate link).

nate

6473 posts

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#403936 12-Nov-2010 16:14

Lets stay away from the personal attacks and name calling please.

You know who you are.

robbyp

1199 posts

Uber Geek

#403958 12-Nov-2010 17:18

There are some good deals to be had on the site still. However these days you can often get just as good a deals with specials at the shops, for most things. Plus for clothing at least you can try on what you buy. A few things I have purchased recently are a water filtering system including a tap, which was definitely a bargain. Also a good brand of weather station and an icebreaker T. All those things were under the $50 mark, and they were definitely more elsewhere. However I believe the weather station and the water filter were drop shipped by the actual manufacturer/retailer who may have been trying to get rid of older or surplus stock, which is when you get the good deals. I mainly buy stuff for gifts, and some of the childrens toys can be cheap. They are definitely have the best of these deal of these websites in NZ, the others I don't even bother looking at.

If you are looking for a deal, how about this website http://www.dtr.co.nz/, scroll to the christmas freebies ad.

nakedmolerat

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#404009 12-Nov-2010 19:15

johnr: These sites make good money off idiots

excellent summary. remember if it sounds too good to be true, it is usually not true

Lias

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#404910 15-Nov-2010 15:29

I dunno.. I have brought some REALLY cheap things from 1-day, that were far below RRP, and if you can buy them cheaper, it's not to the general public at mainstream stores.

Things like Thomas the Tank Engine train set stuff for my son, I priced it up online and it was retailing for substantially more. 6 Dozen Demon for under $50 delivered or 24 Red Bull shots for $12 delivered, when they sell for $3-4 each in shops.

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1gkar

722 posts

Ultimate Geek

#405539 16-Nov-2010 20:38

I can't believe anyone believes a RRP these days. A generation+ ago, it represented a reasonably accurate accounting figure based on the break-even costing per unit with an acceptable profit margin attached.

Nowadays, it is simply based on the adage of, "if we can sell for this amount, we will", even if it means the company is making 1000%. Take supermarkets, for example: they will continue to up the retail cost of a product until there is a certain percentage drop-off of sales. They then put it on "special" at various reduced rates to gauge the maximum price they can make.

If anyone doesn't have a concern with this tactic, don't EVER complain about being ripped off, because I do. The way they act make the oil cartel look prim & proper with business. At least they drop their fuel retail price (hope this last statement doesn't cause a hi-jacking of the thread: not my intention).

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robbyp

1199 posts

Uber Geek

#405606 16-Nov-2010 23:03

1gkar: I can't believe anyone believes a RRP these days. A generation+ ago, it represented a reasonably accurate accounting figure based on the break-even costing per unit with an acceptable profit margin attached.

Nowadays, it is simply based on the adage of, "if we can sell for this amount, we will", even if it means the company is making 1000%. Take supermarkets, for example: they will continue to up the retail cost of a product until there is a certain percentage drop-off of sales. They then put it on "special" at various reduced rates to gauge the maximum price they can make.

If anyone doesn't have a concern with this tactic, don't EVER complain about being ripped off, because I do. The way they act make the oil cartel look prim & proper with business. At least they drop their fuel retail price (hope this last statement doesn't cause a hi-jacking of the thread: not my intention).

Some companies sell for way more than the RRP too. I was looking at logitech webcams, and the RRP on the logitech NZ website was $130, yet many stores were selling it for $200. On pricespy I managed to get it for $95 including shipping. So shopping around you can save alot.

graemeh

2078 posts

Uber Geek

#405745 17-Nov-2010 10:03

robbyp:
1gkar: I can't believe anyone believes a RRP these days. A generation+ ago, it represented a reasonably accurate accounting figure based on the break-even costing per unit with an acceptable profit margin attached.

Nowadays, it is simply based on the adage of, "if we can sell for this amount, we will", even if it means the company is making 1000%. Take supermarkets, for example: they will continue to up the retail cost of a product until there is a certain percentage drop-off of sales. They then put it on "special" at various reduced rates to gauge the maximum price they can make.

If anyone doesn't have a concern with this tactic, don't EVER complain about being ripped off, because I do. The way they act make the oil cartel look prim & proper with business. At least they drop their fuel retail price (hope this last statement doesn't cause a hi-jacking of the thread: not my intention).

Some companies sell for way more than the RRP too. I was looking at logitech webcams, and the RRP on the logitech NZ website was $130, yet many stores were selling it for $200. On pricespy I managed to get it for $95 including shipping. So shopping around you can save alot.

Briscoes seem to go for about 25% above RRP so when they are doing in a "30% off" sale people think they are getting a bargin when in reality they could get it for that price any day of the week at Farmers or less than that at Moore Wilson if they are in Wellington.

freitasm

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#405752 17-Nov-2010 10:09

Most online buyers have the impression they are getting a bargain. Just look at Trade Me buyers paying more for second handsets than they would pay for a brand new one from a store...

I'd be worried about the privacy implications of something like 1-day Live. Do you like the idea of your purchases being broadcast?

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