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Consumer NZ claims that the New World supermarket chain is misleading customers with its price tags.
Head of Research Jessica Wilson said the chain prominently displayed its “Club card price” as the main price, while the regular price was in a much smaller font and easier to miss.
Until recently, teller operators were able to scan a temporary Clubcard for customers who did not have one, allowing all shoppers to access loyalty program discounts. But that has stopped ever since.
“We believe it is reasonable to assume [the Clubcard price] is what you will pay at the checkout. The normal price is shown on the label but in a much smaller font. You almost need to squint to see it, ”Wilson said.
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“The confusion doesn’t end there. A product that is a ‘Club Deal’ one week can be labeled ‘Saver’ the next, even if the price has not changed. You need a card to get the Club Deal price, but not to get the savings price, even when it is the same amount. “
Wilson said it was “disappointing” that the supermarket chain’s owner, Foodstuffs, had not addressed these issues and Consumer NZ would file a complaint with the Commerce Commission about price tagging.
Nikki Macdonald / Stuff
Consumer NZ says the regular price is easy to miss because the club’s offering is more prominently displayed.
A Foodstuffs spokeswoman said she had removed the temporary Clubcards from the checkout counters after “a lot of communication” with customers about the loyalty program.
The spokeswoman disagreed with Consumer NZ’s claims and said it did not point out that other retailers offered loyalty programs.
“All supermarkets and many other retailers nationwide have loyalty programs that require customers to register to access benefits. This is standard practice and consumers have enjoyed the kinds of benefits associated with supermarket loyalty programs for years, ”the spokeswoman said.
“To suggest that we are misleading customers is completely false.”
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Consumer NZ says the difference between New World loyalty prices is confusing.
Consumer NZ’s Wilson said that Countdown and New World supermarkets’ pricing tactics to promote loyalty-scheme discounts were concerning.
“Both chains use a confusing variety of discounts and promotional posters to entice shoppers.
“However, we have found that products can be discounted so frequently that consumers run the risk of being misled into the savings they are actually making,” said Wilson.
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A Foodstuffs spokeswoman says she removed her temporary club cards from the checkout counters after “a lot of communication” with customers.
“To get discounts in the loyalty program, buyers must also agree to share their personal data with stores. Supermarkets reserve the right to share this data with various undisclosed third parties. Collecting customer data is really the main goal of these types of loyalty programs. “
Countdown has been contacted for comment.
