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DigiDirect fined almost $40,000 for three ‘storewide’ sales that excluded hundreds of products

One of Australia’s biggest camera stores has been slugged almost $40,000 for promoting ‘storewide’ sales that left out hundreds of items.

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One of Australia’s leading camera stores has been slugged almost $40,000 for misleading customers about “storewide” sales that actually excluded hundreds of items.

DigiDirect, which operates six stores in Sydney, Melbourne, Brisbane and Perth as well as a prominent online site, paid the $39,240 penalty issued by Australia’s consumer watchdog after holding three promotions that used the same tactic last year.

The “storewide” sales that promised 15 and 20 per cent off goods across its store in June, July and October were promoted on its website, social media and in marketing emails sent to customers.

ACCC chairman Rod Sims said stores should not promise ‘storewide’ sales if hundreds of items were not discounted. Picture: Zak Simmonds
ACCC chairman Rod Sims said stores should not promise ‘storewide’ sales if hundreds of items were not discounted. Picture: Zak Simmonds

But an investigation by the Australian Competition and Consumer Commission found hundreds of products, including popular digital camera, lenses and photographic accessories were not discounted as part of those sales, and exclusions were only alluded to in fine print.

ACCC chairman Rod Sims said DigiDirect’s sales broke Australian Consumer Law and misled consumers by excluding between five and seven per cent of its products despite promises of widespread bargains.

“A business that advertises a ‘storewide’ sale but excludes a significant number of items is, in our view, clearly misleading consumers, which is unacceptable,” Mr Sims said.

“In this instance, the offer of storewide discounts will have attracted many consumers to the DigiDirect sale.

“While those consumers may not have been misled about whether or not the discount ultimately applied to the product they wanted to purchase, it is still unacceptable for a business to entice customers to a sale on the promise of discounts that may not apply.”

The ACCC issued DigiDirect with three infringement notices for the sales, and the company has since stopped advertising “storewide” discounts.

The camera store has been contacted for comment.

Originally published as DigiDirect fined almost $40,000 for three ‘storewide’ sales that excluded hundreds of products

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Original URL: https://www.thechronicle.com.au/business/companies/digidirect-fined-almost-40000-for-three-storewide-sales-that-excluded-hundreds-of-products/news-story/e0644da80e6cbc385e54c574f8f6c811