'Sneaky' Supermarket Chains Tricking Customers: DAB

The DAB claimed on Sunday that Hong Kong's major supermarket chains, ParknShop and Wellcome, are using "sneaky" practices to deceive their customers, by matching their prices and offering fake discounts.

The pro-Beijing party said such practices have been going on for a long time, but it is flagging up the issue now because the government will soon be compelling supermarkets to offer discounts and cash vouchers to the needy when they receive a second round of wage subsidies under the coronavirus relief fund.

"There are two main problems... first is that they use the strategy of first increasing their prices, and then they do discounts, so that the public will be deceived into thinking the price is lower, when in fact the price hasn't changed much or actually it's the same price," said the party's Lau Tin-ching.

The second problem is that supermarket chains offer exactly the same discounts on the same products, Lau said.

"So basically, we think there may be a parallel price situation happening here and they're trying to manipulate the price of everyday goods," he told RTHK's Richard Pyne.

The DAB called for changes to be made to consumer protection and competition laws, more resources for the Competition Commission, and for customers to be allowed to protect themselves through private litigation.

"The government should look into the existing ordinance to better protect consumers. Especially, we should learn from Australia and learn from the UK that there should be a definition for 'original price' and there should be regulations on promotions and discounts," Lau said.