Harry Hatwell reports on the enforcement action awaiting companies indulging in nudge, sludge & other aggressive sales practices
- Retailers should take note when telling customers that a page or product is popular. Even where such urgency messaging expressly relates to the number of views a product page has received, retailers will be misleading consumers where increased views have not resulted in increased sales or decreased stock.
In 2022, the Competition and Markets Authority (CMA) opened an investigation into mattress seller Emma Group’s compliance with consumer law and, in particular, its use of ‘online urgency claims’. Having engaged and gathered evidence, in 2023, the CMA issued a consultation letter detailing possible breaches by the company of consumer protection law through its online sales activities. In May 2024, the CMA sought undertakings from Emma Group to adapt its online sales practices, otherwise it would pursue enforcement action through the courts.
By July 2024, it seems, Emma Group had not agreed undertakings sufficient to assuage the CMA and so the CMA warned the company against unnecessary delay. In October 2024,
