The Advertising Standards Authority of South Africa (ASA) has dismissed a complaint against Takealot.
The complaint was based on an advert for a Berlinger Haus 9-Piece Marble Coating Cookware Set – a “Daily Deal” at 65% off the normal price of R3,837. It was being sold for R1,339.
The complainant said the product’s normal price was R1,399, however, which meant the saving were below 10%.
Takealot informed the ASA that even though it is not a member of the body, it elected to respond to the complaint.
It said the R3,837 price on the deal was the list price, which was clearly indicated on its website.
The list price is the recommended retail price, which is suggested to it by the suppliers from time to time.
The ASA verified this and found that the cookware had the advertised list price on the Berlinger Haus website.
As a result, it found no fault with Takealot’s advertising of the deal.
Takealot also undertook to address the issue of having a “weak deal” – relative to the “normal” selling price – in its Daily Deals section.
It said it didn’t sell this item directly, but that one of its third-party sellers was responsible for the deal. In such instances, Takealot only acts as a transaction platform.
It contacted the seller, informed them about the complaint, and warned them that the adjustment to the product’s pricing was unacceptable and contrary to the customers’ best interests.
“The difference of R60 saving between product’s normal price and deal price cannot be justified as being a deal or saving,” said Takealot.
To avoid future complaints, Takealot said it instructed the seller to only post deals where there is a significant saving – for example, 20%.
For an item to be listed as a Daily Deal, the discount compared to the list price must also be a minimum of 20%.
Takealot said it trusts that the measures imposed will prevent future complaints.