Woolies, Coles price gouging is morally indistinguishable from theft

GoneFishin

GoneFishin

Well-known Member
Location
Canada 🏠⛺🚤
Woolies, Coles price gouging is morally indistinguishable from theft. It will happen again

Investing corporations with their own legal identity was a mistake because it implies they have a soul. They do not.

Like all the best frauds, it is stunning in its simplicity. This example from the ACCC tells the story: the shelf price of a family pack of Oreo cookies at Woolies was $3.50 for two years, from January 1, 2021 to November 27, 2022. Then the price skyrocketed to $5.00.

Twenty-two days later, the Oreos price fell to $4.50. Woolies promoted it as a “Prices Dropped” special, showing the “was” price as $5.00.

This is the essence of the prosecution the ACCC has launched against Woolies and Coles: it says it has identified 511 instances between the two supermarket giants where they temporarily raised a product’s price, then reduced it to a level higher than the “real” underlying price, claiming to deliver customers a discount.
https://www.crikey.com.au/2024/09/25/woolworths-coles-price-gouging-supermarket-prices-accc-inquiry/
 

{shrug} it seems MIchael Bradley, the author of the opinion piece you quoted, has his panties in a knot over a pack of Oreos. Don't they sell Hydrox cookies in Canada? And I certainly don't see anything illegal or immoral or non-factual about the actions of the two grocers.
 
So, do they sell Hydrox cookies in Australia? Has the case been adjudicated in the courts?

And where is the "trick"? Their pricing algorithm miscalculated the price elasticity of demand, said oops, and lowered the price. bfd...
 
GoneFishin said:
Woolies, Coles price gouging is morally indistinguishable from theft. It will happen again

Investing corporations with their own legal identity was a mistake because it implies they have a soul. They do not.

Like all the best frauds, it is stunning in its simplicity. This example from the ACCC tells the story: the shelf price of a family pack of Oreo cookies at Woolies was $3.50 for two years, from January 1, 2021 to November 27, 2022. Then the price skyrocketed to $5.00.

Twenty-two days later, the Oreos price fell to $4.50. Woolies promoted it as a “Prices Dropped” special, showing the “was” price as $5.00.

This is the essence of the prosecution the ACCC has launched against Woolies and Coles: it says it has identified 511 instances between the two supermarket giants where they temporarily raised a product’s price, then reduced it to a level higher than the “real” underlying price, claiming to deliver customers a discount.
https://www.crikey.com.au/2024/09/25/woolworths-coles-price-gouging-supermarket-prices-accc-inquiry/
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A purely capitalist mindset says: It's all good. Pay up suckers.
 
Alizerine said:
If the object is to convince the consumer they are getting a deal when they are not I would call it a trick.
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I guess we will just have to disagree on this. Maybe they shoulda just left the price at $5 and made you happy...

I'm a Lemon Thin Oreo person myself, $4.88 for a 11.78 oz package at Walmart. The StarWars package (10.68 oz) is marked down from $14.67 to $4.88. Big drop.
 
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When I was addicted to Oreos I couldn't afford the $5 package. It was torture. Then they lowered the price by 50 cents. I would spend all my money on those. Then I became homeless because I couldn't pay for rent. I think it all had to do with that poison they put in them cookies, sugar mainly. They are like mean drug dealers, and can ruin your life if your not careful. :)
 
GoneFishin said:
The ACCC is Australia's competition regulator and national consumer law champion. They seem to think so
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And they are right to do so, after careful investigation and consideration.

Woolworths and Coles are effectively a duopoly that has monopolised the Australian market. They have eliminated small businesses from the corner store to the local hardware shop and the village butcher. They screw the primary producers on price and manipulate the customers using misrepresentation.

It is not just about Oreos. It also about Tim Tams!

And everything else!!!
 
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Tish said:
It has already happened over here, they are disgusting.
I am seriously thinking of changing to Aldi.
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@Tish i find aldi’s meat a fresh veggies ….100% their lamb is top rate , i buy a leg of lamb once a fortnight and the meat is so tender , unlike some other supermarkets that sell lamb that’s no more lamb than I’m ..🤣
 
all thru this election season, the term "price gouging" pops up frequently. I would like to ask you... no TELL you what price gouging really is. it's NOT higher than usual prices on Oreos. Oreos aren't necessary.

many of the people directly affected by hurricane Helene are without electricity... so no refrigeration. if someone rolls thru neighborhoods in a big freezer truck selling 5 lb bags of ice for $50... THAT'S price gouging. if it's winter and your town was struck with a big snow storm... if the local hardware/home store is selling bags of ice melt and/or snow shovels for $100... that's price gouging. charging 10 times normal price for diapers... that's price gouging cuz they are a necessity. doun;ing/tripling/quadrupling price of gasoline during a crisis... price gouging.

putting non-essential food items in smaller packages at equal or higher prices is not price gouging.
 
I'm glad we do some food gardening on our place. The sort of gouging described would make me want to boycott those businesses.

Other than that, I realize different communities have different retail-food options. In our household, normally about two-thirds of our purchased food comes from a food co-op we're members of; the co-op pays its operating expenses (including managerial & floor staff salaries) and does a volume business allowing for reasonable wholesale product prices. Basically, it's a not-for-profit business. Hence, the co-op can offer reasonable prices to us.

Their prices are often lower than the two big supermarkets in town. We do get some things from the supermarkets. And maybe once a year we drive four hours to a Costco, where we can buy in bulk. That's in Kelowna, a city of 250k residents, where there are other things to obtain and to do.

And here's the real edge: our friends are shoppers cut from the same cloth as us, using the same shopping approach. So we communicate up-to-date knowledge about where to get the best prices for particular items. We keep in touch about current prices (and "deals") on things, relating this by phone or email, or in-person. I'm sure in many places this could be done among friends via social media (though not all of our friends have that habit).
 
Warrigal said:
And they are right to do so, after careful investigation and consideration.

Woolworths and Coles are effectively a duopoly that has monopolised the Australian market. They have eliminated small businesses from the corner store to the local hardware shop and the village butcher. They screw the primary producers on price and manipulate the customers using misrepresentation.

It is not just about Oreos. It also about Tim Tams!

And everythiT.vng else!!!
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I saw on the T.V. the other evening Woolworths and Coles stores often buy up land in some places but never build on it, they just want the monopoly of owning land so other stores cannot move in.
 
Kadee said:
@Tish i find aldi’s meat a fresh veggies ….100% their lamb is top rate , i buy a leg of lamb once a fortnight and the meat is so tender , unlike some other supermarkets that sell lamb that’s no more lamb than I’m ..🤣
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I've been buying lamb cutlets from a Halal butcher. They are magnificent - fresh, fat trimmed and quite large. The supermarket ones are scrawny and more expensive.
 
I allow myself one piece of Lindt 70% Dark chocolate per night. One day Woolworths had them for $3.65 per block and Coles had them for $4.95. The next week each store had reversed the prices to $4.95 (W) and $3.65 (C). Only last week Woolworths had them for 3 blocks for $12.00 and Coles $6.00 each.
 
oscash said:
I allow myself one piece of Lindt 70% Dark chocolate per night. One day Woolworths had them for $3.65 per block and Coles had them for $4.95. The next week each store had reversed the prices to $4.95 (W) and $3.65 (C). Only last week Woolworths had them for 3 blocks for $12.00 and Coles $6.00 each.
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I think that they have spies in each other's camp and get a heads up on what the upcoming specials are.
 
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VaughanJB said:
A purely capitalist mindset says: It's all good. Pay up suckers.
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A purely socialist mindset says: the State produces a single wafer with no cream filling made of sawdust and lampblack and some beet juice available on special occasions such as Fearless Leader's birthday. There is no competition allowed and no incentive to offer anything better. How dare you complain?
 

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