Black Friday: Beware of Shady Advertising Practices

11/24/2009

Bookmark & Share
  • MySpace
  • Digg
  • Delicious
  • StumbleUpon

Black Friday is upon us this week and many consumers may already have their action plan in place to take advantage of the annual sale frenzy.

Every year from now through Christmas, your Better Business Bureau Serving Denver/Boulder receives calls and complaints about confusion and deception in the holiday sale market. To avoid these problems this year, your BBB advises consumers to be proactive and savvy.

Consider the following before taking advantage of retailer sales this Friday and throughout the season:

o Read ads carefully before starting your shopping. Make sure you read and understand all of the fine print. If you have questions, contact the store ahead of time and get clarity on any policies or conditions they may affect your experience.

o Unavailability/Bait & Switch. One of the biggest problems during significant sale days like Black Friday is the deceptive practice of offering a popular, expensive item for a great sale price, but only stocking a very limited number of these products. This is somewhat of a bait-and-switch because even if that product is unavailable, you are likely to stay at the store and take advantage of other, less valuable sales. Our advice to avoid this problem is to contact the retailer before the sale goes into effect and ask what quantity of the featured item is in stock. Also ask if they offer rain checks to customers if they run out of the product unreasonably early.

o Rain checks. It doesn’t appear that Colorado State law requires businesses to issue rain checks for unavailable sale items. Food retailers however are required to conduct this practice according to a Federal Trade Commission Rule. In a perfect world, every business would have such a policy in place. As a savvy consumer, you should do your part in asking about the rain check policy ahead of time.

o Up-to savings claims. You may see exciting offers this Friday stating certain items are, “Up-to 70% OFF!!” or claims similar. The abuse we’ve seen with these kinds of claims is similar to the unavailability problems: “up to” is advertised because most of the products are marked at a much lower percentage off, perhaps at 30% off. That’s why BBB Code of Advertising guidelines state that a business should advertise the minimum and maximum amount of savings: “30% - 70% OFF”, so it’s clear that the savings are within that range. So be aware that if you see those kinds of claims, the product you want may not really be marked down as much as stated in the ad. If you come across this problem, please file a complaint with the BBB, (at www.denver.bbb.org) so we can contact the business and request that they modify the advertising.

# # # #

About BBB
The BBB is an unbiased non-profit organization that sets and upholds high standards for fair and honest business behavior. Businesses that earn BBB Accreditation contractually agree and adhere to the organization’s high standards of ethical business behavior. The BBB provides objective advice, free BBB Reliability ReportsTM on businesses and BBB Wise Giving ReportsTM on charities, and educational information on topics affecting marketplace trust. To further promote trust, your BBB also offers dispute resolution services for consumers and businesses. The first BBB was founded in 1912. Today, 125 BBBs serve communities across the U.S. and Canada. Please visit www.denver.bbb.org for more information.

Average Rating | Rate It
Tagged under |

z
Sign up for our monthly consumer newsletter!