Juicy Love Pty Ltd trading as Wicked Campers has paid four infringement notices totalling $26,400 to the Australian Competition and Consumer Commission for advertising which was misleading about the price of hiring its campervans.
Between February and August 2011, Wicked Campers made a number of misleading representations on its website and in a national backpacker magazine. The ACCC considered that these advertisements and representations failed to specify the single total price payable for the campervans and failed to adequately disclose certain mandatory fees and charges.
“Traders risk action by the ACCC if they advertise part of the price of goods or services without specifying the total single price payable or fail to adequately disclose the existence of mandatory fees or charges,” ACCC Chairman Rod Sims said.
The ACCC was particularly concerned that Wicked Campers’ advertisements appeared to be targeted at backpackers or budget tourists, who are often price-sensitive and who could have difficulty understanding complicated price arrangements in English.
“If information concerning price is not clear, consumers can be misled into thinking goods or services are cheaper than they actually are,” Mr Sims said. “This type of conduct not only harms consumers, but other businesses that do the right thing.”
The payment of infringement notice penalties is not an admission of a contravention of the Competition and Consumer Act 2010. The ACCC can issue an infringement notice where it has reasonable grounds to believe a person has contravened certain consumer protection laws.