1 00:00:00,080 --> 00:00:03,480 Speaker 1: The Commerce Commission is going to file criminal charges against Woolworst, 2 00:00:03,560 --> 00:00:06,760 Speaker 1: New Zealand and two individual Pack and Save supermarkets. The 3 00:00:06,800 --> 00:00:10,400 Speaker 1: ComCom has accused the supermarkets of having inaccurate pricing and 4 00:00:10,480 --> 00:00:14,920 Speaker 1: misleading specials. John Duffy is the CEO of Consumer en Z. John, 5 00:00:14,960 --> 00:00:17,680 Speaker 1: Welcome to the show. Do we know exactly what the 6 00:00:17,720 --> 00:00:19,480 Speaker 1: supermarkets are alleged to have done here? 7 00:00:21,560 --> 00:00:24,920 Speaker 2: The Commers Comission's media release is a little bit they 8 00:00:25,160 --> 00:00:28,480 Speaker 2: but based on the complaint that Consumer end Z put 9 00:00:28,520 --> 00:00:31,240 Speaker 2: in the kick this whole thing off, it looks like 10 00:00:31,360 --> 00:00:34,960 Speaker 2: there's a range of conduct involved. So it could be 11 00:00:35,120 --> 00:00:38,600 Speaker 2: from something as simple as the shelf an item on 12 00:00:38,640 --> 00:00:42,080 Speaker 2: the shelf at the supermarket, the shelf price not matching 13 00:00:42,080 --> 00:00:46,080 Speaker 2: what you're charged at the till, through to site more 14 00:00:46,120 --> 00:00:54,680 Speaker 2: complicated potential offending around misleading promotions. So examples where the 15 00:00:54,960 --> 00:00:57,400 Speaker 2: on special price is actually more expensive than it was 16 00:00:57,920 --> 00:01:00,640 Speaker 2: the item was originally, or where you know two for 17 00:01:00,720 --> 00:01:03,120 Speaker 2: one deals where when you buy the twin pack is 18 00:01:03,120 --> 00:01:06,360 Speaker 2: actually more expensive than buying each item individually. 19 00:01:07,000 --> 00:01:09,960 Speaker 1: Is it fair to say this is minor stuff in 20 00:01:10,040 --> 00:01:15,200 Speaker 1: terms of a shopper's bill. 21 00:01:13,280 --> 00:01:15,880 Speaker 2: Well, for each individual shopper who turns up and I 22 00:01:15,880 --> 00:01:18,440 Speaker 2: don't know it's charged fifty cents extra for their tin 23 00:01:18,520 --> 00:01:22,120 Speaker 2: of baked beans. It might appear minor in isolation, but 24 00:01:22,160 --> 00:01:26,880 Speaker 2: if you expand that out across all shoppers nationwide every day, 25 00:01:27,080 --> 00:01:29,399 Speaker 2: if every shopper is going to one of the other 26 00:01:29,400 --> 00:01:32,280 Speaker 2: supermarks has been charged fifty cents extra that they shouldn't 27 00:01:32,280 --> 00:01:35,959 Speaker 2: have been charged for their baked beans, actually that really 28 00:01:36,000 --> 00:01:39,480 Speaker 2: adds up, and there's potentially millions of dollars. But over 29 00:01:39,520 --> 00:01:40,400 Speaker 2: the course of a year. 30 00:01:40,360 --> 00:01:42,959 Speaker 1: Except that these charges and will put more ways to assign. 31 00:01:43,000 --> 00:01:44,880 Speaker 1: For a second, but Pack and Say it is named 32 00:01:44,920 --> 00:01:48,400 Speaker 1: specific stores because you know, obviously they are franchises. So 33 00:01:48,400 --> 00:01:51,120 Speaker 1: you've got Silverdale and you've got one in Hamilton. So 34 00:01:51,240 --> 00:01:53,160 Speaker 1: that's only two stores that they've managed to come up 35 00:01:53,200 --> 00:01:56,320 Speaker 1: with from that entire business. 36 00:01:57,200 --> 00:01:59,840 Speaker 2: Well, the Commission's media release also notes that there's more 37 00:01:59,840 --> 00:02:02,840 Speaker 2: to come, so that they're saying their investigations are ongoing. 38 00:02:02,880 --> 00:02:06,360 Speaker 2: So based on what we've seen, we would expect more 39 00:02:06,400 --> 00:02:09,000 Speaker 2: food stuffs brands supermarket. So that's Pack and Say for 40 00:02:09,160 --> 00:02:13,560 Speaker 2: Square and a New World to be involved in this 41 00:02:13,680 --> 00:02:15,800 Speaker 2: enforcement action, have to wait and see. 42 00:02:15,600 --> 00:02:17,920 Speaker 1: It's will worse because war worst has come out and said, look, 43 00:02:18,040 --> 00:02:21,040 Speaker 1: obviously we will cooperate. We don't know what's happening yet. 44 00:02:21,160 --> 00:02:23,919 Speaker 1: We're waiting to find out ourselves. But sometimes errors happen. 45 00:02:24,240 --> 00:02:27,639 Speaker 1: We're updating our technology, we have a refund policy. We're 46 00:02:27,639 --> 00:02:32,760 Speaker 1: a big business. We make mistakes. What are you saying, Well. 47 00:02:33,480 --> 00:02:35,720 Speaker 2: To be frank, the supermarkets have been running that line 48 00:02:35,760 --> 00:02:39,800 Speaker 2: for years but nothing has improved. So you know this 49 00:02:39,880 --> 00:02:42,960 Speaker 2: isn't new news. People have been being overtarched to the 50 00:02:42,960 --> 00:02:48,600 Speaker 2: supermarkets for years and rather than investing in technology that 51 00:02:48,639 --> 00:02:52,720 Speaker 2: could improve this, I mean, it's twenty twenty four. Getting 52 00:02:52,720 --> 00:02:55,160 Speaker 2: the price on the shelf the same as the price 53 00:02:55,200 --> 00:02:57,960 Speaker 2: in your database. It's not rocket science. It's actually one 54 00:02:57,960 --> 00:03:02,240 Speaker 2: of the fundamentals have been a grosser. There is enough 55 00:03:03,520 --> 00:03:04,119 Speaker 2: getting this wrong. 56 00:03:04,240 --> 00:03:06,000 Speaker 1: I guess for people who are listening to this, it's 57 00:03:06,040 --> 00:03:07,560 Speaker 1: not going to make a huge I mean, this is 58 00:03:07,560 --> 00:03:09,239 Speaker 1: going to be in the district court. Cases like this 59 00:03:09,280 --> 00:03:11,440 Speaker 1: are usually settled. It might be a million bucks for them, 60 00:03:11,639 --> 00:03:13,600 Speaker 1: you know, whack on the back of the hand with 61 00:03:13,600 --> 00:03:17,720 Speaker 1: a wet bus ticket, But for most consumers it's annoying 62 00:03:17,760 --> 00:03:19,720 Speaker 1: when they do it, but it's not going to save 63 00:03:19,760 --> 00:03:20,160 Speaker 1: the bank. 64 00:03:20,280 --> 00:03:25,960 Speaker 2: Is that at an individual level? You're right, although actually, 65 00:03:27,040 --> 00:03:29,919 Speaker 2: you know, thirty percent of consumers we've surveyed tell us 66 00:03:29,960 --> 00:03:35,080 Speaker 2: that they notice pricing discrepancies, but they move on. That means, 67 00:03:35,200 --> 00:03:38,720 Speaker 2: you know, seventy percent of consumers are not noticing these discrepancies. 68 00:03:38,800 --> 00:03:42,040 Speaker 2: So we don't actually know what the cost of the economy, 69 00:03:42,120 --> 00:03:45,400 Speaker 2: or cost to New Zealand consumers of overcharging is when 70 00:03:45,440 --> 00:03:49,680 Speaker 2: you extrapolate that out across everybody who's shopping every day. 71 00:03:49,840 --> 00:03:53,920 Speaker 2: Anything that we can do that actually reduces the amount, 72 00:03:54,160 --> 00:03:56,960 Speaker 2: the excessive amounts that the supermarkets are profiting and actually 73 00:03:57,040 --> 00:04:00,600 Speaker 2: leaves money and consumers back pockets is a good thing, 74 00:04:01,040 --> 00:04:04,640 Speaker 2: And ultimately we shouldn't be sitting aside and letting major 75 00:04:04,720 --> 00:04:09,040 Speaker 2: businesses consistently mislead consumers about the price of their goods. 76 00:04:09,200 --> 00:04:11,080 Speaker 1: John, thank you very much for joining me. John Duffy, 77 00:04:11,120 --> 00:04:12,440 Speaker 1: the CEO of Consumer and Zen. 78 00:04:13,000 --> 00:04:16,159 Speaker 2: For more from Heather Duplessy Allen Drive, listen live to 79 00:04:16,240 --> 00:04:19,279 Speaker 2: news talks. It'd be from four pm weekdays, or follow 80 00:04:19,320 --> 00:04:21,039 Speaker 2: the podcast on iHeartRadio.