Australia's two biggest supermarket chains are heading 'down down' to federal court after allegedly misleading buyers with fake discounts and price gouging, according to consumer watchdog ACCC.
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00:00Down, down, prices are staying down, down.
00:04Australia's two biggest supermarket chains, Coles and Woolworths, are heading
00:08down, down to federal court after allegedly misleading buyers with fake discounts and
00:13price gouging on hundreds of products, according to consumer watchdog the ACCC.
00:18We allege that Woolworths and Coles offered the products at regular long-term prices for
00:26six months or more, then increased the price for a short period before placing the products
00:32on the Woolworths prices dropped promotion or the Coles down, down promotion at prices
00:39higher than or the same as the prior regular price.
00:43The Australian Competition and Consumer Commission today launched legal action
00:47against the grocery giants and called their price drop and discount claims misleading and illusory.
00:53As a result, the ACCC alleges that the price discounts as promoted were misleading because
01:01the discount was illusory. In addition, the ACCC alleges that in many cases, Woolworths
01:08and Coles planned the temporary price spike in order to establish a new higher was price
01:16for their was now price discount promotions.
01:19Aussies have vented their frustrations at supermarket price gouging, shrinkflation and
01:25massive profits posted by the chains as consumers deal with ongoing cost of living issues.
01:30Australians are not paying one cent more than they should when they go to a supermarket.
01:36The ACCC allegations relate to 266 products for Woolies over 20 months
01:42and 245 products for Coles across 15 months.
01:46Prices are down and staying down at Coles.
01:49It is seeking penalties, costs and community service orders for the
01:52supermarkets to fund charities that deliver meals to vulnerable Aussies.
01:57Coles has stated it will fight proceedings.
01:59Woolworths claimed it related to historical pricing schemes.