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EU sweep finds widespread misleading online discounts during Black Friday and Cyber Monday

Black Friday sale signs are shown at an outdoor shopping mall in Carlsbad, California, U.S., November, 25, 2024. REUTERS/Mike Blake

Brussels, Belgium. A coordinated consumer protection sweep involving Cyprus and 22 other EU member states found that 30 per cent of screened online traders referenced discounts incorrectly during Black Friday and Cyber Monday sales. The results were released this week by the European Commission and national authorities.


Sweep scope and legal requirements

The sweep, carried out with consumer protection authorities from EU countries as well as Iceland and Norway, examined 314 online traders to assess whether discount and pricing practices during major sales events complied with EU consumer law.
Under the EU’s Price Indications Directive, when a business advertises a discount, the reference price must be the lowest price applied during the previous 30 days.
Authorities found that nearly one in three traders failed to follow that rule.

Other sales practices flagged

Beyond misleading discount claims, the screening identified other sales tactics that may affect consumers’ purchasing decisions.
Authorities said 36 per cent of the traders checked attempted to add optional items to consumers’ baskets, and four in ten of those cases were done without clearly seeking the consumer’s consent.
In addition, 34 per cent displayed price comparisons, but six in ten of those did not clearly explain the basis of the comparison.

Pressure-selling and additional charges

The sweep found that 18 per cent used pressure-selling techniques, including claims that products were running out or the use of countdown timers.
More than half of those cases were found to be misleading, with authorities noting that such tactics can breach EU rules when claims of scarcity are false.
A further 10 per cent used “drip pricing”, where extra charges such as shipping or service fees were added late in the buying process.


Have you noticed unclear discount references or added charges when shopping online during major sales events?

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