Friday, 16 March 2012

Groupon clampdown

Office of Fair Trading takes action against Groupon

The fast-growing discount offers website, Groupon, has promised the Office of Fair Trading to improve its trading practices.

An OFT investigation found widespread examples of Groupon's practices which in the watchdog's view breached consumer protection regulations.

Groupon has said it will change its practices to ensure that prices in its adverts are accurate and honest and that any limitations on availability are made clear.

It's also given assurances that it will check whether suppliers can provide goods in the quantities or time frame suggested.

Groupon was criticised by the Advertising Standards Authority last year for exaggerating savings, not providing evidence that offers were availalble and not clarifying terms and conditions.

The OFT warned Groupon today that it would monitor complaints closely and that any breach of the undertakings could lead to court enforcement orders.

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