Following an investigation launched by the Competition and Markets Authority (CMA) in December 2023, Simba Sleep has signed undertakings in relation to its online selling practices. The undertakings commit Simba to, amongst other things, an agreed set of rules around the use of discount claims and urgency claims (such as countdown clocks), including:
- avoiding discount claims that are potentially misleading: where Simba wishes to use a higher ‘was’ or comparison price, it must ensure that it establishes the higher price as a genuine price by achieving sales of the product at the higher price for a sufficient period of time and in sufficient volumes
- using clear and accurate countdown clocks: countdown clocks must not give consumers a false impression that they have to act quickly to avoid missing out on a deal
- Simba must also provide the CMA with a report within 6 months of signing the undertakings to demonstrate its compliance with the commitments
To further help businesses active in the online mattress sector comply with their legal obligations, the CMA has published discount and reference pricing principles: selling mattresses online. The purpose of these principles is to help businesses understand and comply with their existing obligations under consumer protection law when making discount claims in relation to mattress sales online.
The CMA has also informed Emma Group, which also sells mattresses online, that it is preparing to take court action and will launch proceedings if it does not commit to changing its practices without unnecessary delay.
Share