‘Misleading recommended prices, door sales, telemarketing European approach’ | News item

News item | 16-11-2023 | 13:30

Consumers still face deception and unwanted pressure through discount promotions, door sales and telemarketing. To reduce this, the Netherlands wants additional legal European options. Minister Micky Adriaansens (Economic Affairs and Climate) will argue in Brussels for a ban on a seller mentioning unused recommended prices in discount promotions. The Netherlands also wants the EU to make it possible for a Member State to ban door sales and/or telemarketing.

At the so-called Consumer Dialogue, the European Commission, Minister Adriaansens and consumer interest groups discussed current and future EU consumer policy in The Hague today. In addition to the deception approach, the minister’s proposals focus on encouraging sustainable products through longer legal warranty periods and on no longer allowing virtual treasuries (‘loot boxes‘) in games and on preventing an excess of information for consumers.

Minister Micky Adriaansens (Economic Affairs and Climate): “Consumer protection must keep up with the times. This is necessary, because developments in the digital market, for example, are happening very quickly. In particular, the approach to deception of vulnerable consumers can really be made even sharper. People should be able to buy with confidence, based on the right information. Good consumer protection is the basis for a well-functioning economy.”

The minister continues: “Many consumer regulations are European. This is important, because the market in which providers operate is international. That is why today I am calling for tightening of the European rules for recommended retail prices. But also for adjustments, because EU rules now do not allow certain things. For example, a possible ban on door sales and/or telemarketing: two sales methods that consumers often experience as undesirable and unpleasant.”

Deception in discounts through recommended retail prices

From January 1, 2023, a seller may no longer increase the price of a product for a short period of time, then reduce the price and then present this ‘before’ price as an offer or a significant discount. Despite this tightening, consumers are still faced with misleading discounts, especially in the run-up to the holidays. Unfortunately, according to the regulator ACM, the new rules are not being sufficiently complied with. In addition, sellers often refer to a suggested retail price when offering offers instead of the original retail price of the product.

That is why Minister Adriaansens is calling for a new EU rule. This should no longer allow companies to mention the recommended retail prices suggested by manufacturers in discount promotions if sellers do not actually use them. The use of completely invented recommended prices is already legally prohibited.

Dutch proposals

The Netherlands’ European commitment follows from the national Consumer Agenda that Minister Adriaansens presented in June 2023. The government already announced that it would come up with additional national policy. Such as that – in anticipation of a possible future ban – consumers are only bound to a contract when selling door-to-door if they have explicitly agreed to this after the conversation (for example by e-mail).

Read below the letter with proposals that Minister Adriaansens sent to EU Commissioner Reynders (consumer protection) and the House of Representatives. Various evaluations of EU consumer rules are planned in 2024 and elections will also take place that will lead to a new composition of the European Parliament and the European Commission.

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