B & M Stores - charging for 100% free teabags!

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  • ChrisEvanson
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    I'm still not sure they can actually charge what they want in this case. In the case of a 100g being say £2 and a 200g being £5 nobody is being conned unless it is claimed that the bigger pack is better value (the references to Sainsbury's claims to this are relevant to this thread).

    The point is that it is stated that the 100% extra is 'free'. If you charge more than the box without the extra whilst continuing to sell the box without the extra at a lower price then that "100% extra free" is not free. Take the non extra pack off sale and charge more for the extra free and I'd say while morally dodgy, legally they are Ok, and they can reduce the price again when they put the normal packs out. It's having both out at the same time that is legally questionable here.
    If I had a pound for every pound I'd lost, I'd be confused
  • gardner1
    gardner1 Posts: 3,154 Forumite
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    I'm still not sure they can actually charge what they want in this case. In the case of a 100g being say £2 and a 200g being £5 nobody is being conned unless it is claimed that the bigger pack is better value (the references to Sainsbury's claims to this are relevant to this thread).

    The point is that it is stated that the 100% extra is 'free'. If you charge more than the box without the extra whilst continuing to sell the box without the extra at a lower price then that "100% extra free" is not free. Take the non extra pack off sale and charge more for the extra free and I'd say while morally dodgy, legally they are Ok, and they can reduce the price again when they put the normal packs out. It's having both out at the same time that is legally questionable here.

    both boxes will have a RRP if they want to charge full rrp on one but not the other thats up to them
  • ChrisEvanson
    ChrisEvanson Posts: 645 Forumite
    edited 1 January 2012 at 7:52PM
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    I don't see what it's got to do with 'rrp'. The 'rrp' is simply the recommended retail price - "recommended" - no real basis in law as a retailer could choose to sell for more or less. The issue is selling a pack including extra free for more than the pack without extra free.

    Put it this way. You buy one of each at the same time. The one emblazoned with a claim to offer 100% extra free" has cost you more than the one without the extra. Simple case of mis-representation.
    If I had a pound for every pound I'd lost, I'd be confused
  • aldredd
    aldredd Posts: 925 Forumite
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    You're right Chris - but I suspect this will hang on a phrase that is probably on the packet stating that the 100% free is 'based on MRRP', not based on the retailers selling price. ie the 160 pack will cost no more than the mrrp for an 80 pack, whereas the 80 pack alone is at whatever the retailer decides to charge for it. It's of questionable legality for certain, but *may* not actually be doing anything wrong - not entirely sure though.
  • texranger
    texranger Posts: 1,845 Forumite
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    take the teabags as an example

    the retailer pays 30p wholesale for ther normal 80 pack and sells for £1, but the wholesale price to the 80+100% free is 50p, so he charges £1.20 for the 80+100% free. If the retailer has paid more does he not have the right to charge more
  • aldredd
    aldredd Posts: 925 Forumite
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    texranger wrote: »
    take the teabags as an example

    the retailer pays 30p wholesale for ther normal 80 pack and sells for £1, but the wholesale price to the 80+100% free is 50p, so he charges £1.20 for the 80+100% free. If the retailer has paid more does he not have the right to charge more

    That's a rather big assumption
  • texranger
    texranger Posts: 1,845 Forumite
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    aldredd wrote: »
    That's a rather big assumption

    hows that its just a senario. if you are a retailer then if you pay more for an item then you will increase your retail price to cover your profit margin.
  • MarkyMarkD
    MarkyMarkD Posts: 9,912 Forumite
    First Post First Anniversary Combo Breaker
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    Most shops wouldn't sell both the item without 100% extra free and the item with 100% extra free at the same time. That is what has caused the problem here.

    Promotions like "x% extra free" are not always fully funded by the manufacturer, so it is harsh on low margin retailers to be expected to lose money by selling for the normal price when it may cost them more.
  • Pound
    Pound Posts: 2,784 Forumite
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    MarkyMarkD wrote: »
    Most shops wouldn't sell both the item without 100% extra free and the item with 100% extra free at the same time. That is what has caused the problem here.

    Agreed, if the shop had taken the standard item off the shelf first the OP may well have paid £2.39 thinking that they were getting twice as much for their money (when it was more like 74% extra)

    I wonder if supermarkets do this? Most people would be none the wiser to this kind of trick.
  • ChrisEvanson
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    Checked the Yorkshire Tea with 100% extra free and they have no mention of RRP at all.
    If I had a pound for every pound I'd lost, I'd be confused
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