Coles vs ACCC: High-Stakes Court Fight Over Discount Campaign

0:00This is Adelaide News Today, powered by AI and presented by The Daily News Now. Coles is in a high-stakes court fight with Australia's Consumer Watchdog, the ACCC, over its popular down-down discount campaign. The ACC claims the supermarket misled shoppers with fake price cuts on hundreds of everyday items like food and household goods. Instead of settling like others, Coles chose to battle it out in federal court, risking bad publicity to defend its practices. The case has exposed how Coles negotiates with suppliers and sets prices. Prosecutors say Coles raised prices briefly, then slashed them under down-down signs, making the discounts look bigger than they were. Coles admits breaking its own rules on some products, like biscuits and dog food, but blames errors, not a scheme. Experts warned this trial could erode customer trust, no matter the winner. Former ACCC chair, Alan Fells, says the revelations about Coles market power have lifted a veil on secret dealings. Consumer law specialist,

1:02Jeannie Patterson, notes shoppers have few alternatives with Coles and Woolworths dominating two-thirds of the grocery market. Key examples include baby formula that jumped from $18 to $24 for just 23 days before dropping to $21. Dollars on special, the ACCC argues shoppers would feel tricked ignoring the prior low price. Coles insists the ticket was accurate from the recent high and reflects real inflation pressures. Now a federal court judge is reviewing the evidence to rule. If Coles wins, it could validate its approach amid rival competition. Either way, the bruising fight has spotlighted supermarket pricing tactics for everyday Australians. Quick thanks to today's sponsor. See the description for more. Your favorite podcast, music, or sleep sounds coming from your pillow. No earbuds, no distractions, just listen and relax.