It was proved that High Street retailers of furniture and carpets were trying to deceive their clients offering them goods with false prices.
The results from the inspection of the stores of Carpetright, Dreams, DFS, SCS Upholstery, Furniture Village, Harveys and Benson Beds showed that these used different tricks in order to make people believe they saved money. You can buy a Contract for the Sale of Goods from The Legal Stop.
The OFT criticized the deals claiming to sell goods at half price. It found out that often before the reduction of a certain article no items of the sort have been sold.
The opinion of OFT is that the previously high prices of the goods were not quite legitimate and this is in fact the main reason why such big sales were now possible.
Usually customers are easily duped to buy something when they see its price is reduced so much.
The final decision of OFT on this matter was that this was an “endemic” problem within the industry.
Gaucho Rasmussen of the OFT said: “Reference pricing can mislead consumers into thinking the item they have bought is of higher value and quality”.
This week Tesco was fined because it claimed it was selling strawberries at half-price.
The danger which threatens stores which continue to mislead their customers is a fine of up to 30% of their turnover.
After these news shares in Carpetright fell as much as 3%.
The executive director of Which?, Richard Lloyd commented that the special prices should really be special otherwise OFT would resort to serious penalties.
No comment came last night from both DFS or Dreams.