Monday 03 / March / 2025
Muscat: Oman’s consumer protection body has said it will look into cases of companies that lure customers into buying their products by first jacking up their prices, and then offering a discount on those prices, so that it looks like the customers are getting a better deal, when in fact they are unknowingly being ripped off.
With many stores in the country genuinely offering discounts on products during this time of the year, in addition to some online shops bringing out offers, some shops attempt to make money off unsuspecting customers by first increasing the sale price of their goods, and then marking them down through means of a discount, with the resulting price after discount often being more than the original price of the product before its value was artificially inflated.
The Public Authority for Consumer Protection (PACP) decided to take measures against such shops who tried to trick customers after they received complaints from people who faced this treatment from shopkeepers.
After suspecting there was something wrong with the promotions these shops were offering, these individuals compared the existing price of the products, with their original prices, and found out that they would be paying prices that were significantly higher than the original sale prices of these goods, even after the discount was applied.
“We confirm that our committees do follow up on complaints of such offers and also follow up with the violating institutions, if any, to provide restitution to customers,” said an official from Oman’s PACP. “Customers are welcome to send more details about these violations by sending the name of the shop and the details of the complainant.”
PACP regularly conducts surprise inspections and raids against shops that try to make a fast buck at the expense of the customer. In 2018, according to the organisation’s annual report, a total of 150 violations were issued by PACP to shops that announced misleading discounts, and without the proper approvals from the authority. A further 137 were issued to companies that published misleading commercial promotions.
To manipulate prices in such a manner is illegal, according to Omani law, Royal Decree number 66/2014, as well as its subsequent regulations, which were included in Royal Decree number 77/2017. Article 36 states, “In making discounts over the prices of goods and services, the supplier shall comply with the following: obtaining the approval of the concerned authority after coordination with the authority to ascertain the prices in accordance with the regulations determined by the authority, provide a list of the number of goods available for each type of discount, and declare in a clear line the sale price before and during the period of discounts, as well as the percentage discount offered, for each commodity.”
A financial analyst in Oman said shops sometimes did this to prey on those who were unsuspecting, and just hopeful of buying things at a cheaper rate. He said, “These days, when you see the word ‘discount’ on any product, you automatically develop an immediate interest in that product and are curious to know what is on offer. Right now, people don’t have as much money to spend as they previously did, so are genuinely glad when they find they are able to buy whatever they need at a discounted price, or when they’re able to afford something they would not normally be able to. Unfortunately, you get some unscrupulous people who take advantage of these customers’ good nature, and make some quick money off of them. The customer thinks he has benefited, but it is the shopkeeper who has ripped off the customer. It is completely unfair on the latter and this practice should rightly be stopped.”
