Customers complain of fake sale offers

JEDDAH: As shopping centers and clothing stores offer markdowns of up to 70 percent, many are questioning whether these are merely classic bait-and-switch tactics to attract customers, and get rid of extra stock before the new season.
Customers say “buy one, get one free” or “final markdown” advertisements often only apply to a few items. They called for greater monitoring of stores and shopping centers to ensure there is no misleading advertising, a local publication reported recently.
Consumers Hussein Al-Amri and Salem Al-Juhni say shop owners often advertise huge price markdowns that are not true. In addition, they claim there is limited stock available when in reality they have much more still in storage. In addition, items on sale are often old or out of style.
Umm Abdullah, a consumer, said customers must also be careful because the items on sale may not be of top quality and therefore not worth the price.
However, salesman Mohammed Baamar says that shops prefer selling their old stock at lower prices as new items come in, rather than store them. This is especially the case if they have already made significant profits.
Fayez Abdullah, head of sales at a clothing company, agreed, and said that many stores have had exceptionally high sales figures recently. They had started their sales campaigns because Ramadan begins earlier this year, he said.
Meanwhile, chairman of the committee of commercial centers at the Jeddah Chamber of Commerce and Industry (JCCI), Mohammed Alwi, said that stores can only offer sales with approval from the chamber. The JCCI also monitors stores to ensure they comply with certain conditions, including the duration of sales periods.
He said there are “few” fake sales campaigns, and those engaging in such activities would be penalized. Regarding food and clothing products, head of consumer protection Sulaiman Al-Samahi said customers often purchase more products than they need; and should ensure products are still fresh and of good quality.
Muhieealdeen Hakmi, head of licensing at the JCCI, said that licenses are issued to shops wanting to have sales. “To obtain permits, shops must provide original purchase receipts for products, and pay a license fee between SR250 and SR500.”
He said permits are issued under the supervision of the Ministry of Commerce and Industry to protect consumers. A number of permits have already been issued this season, he said.
Sources at the ministry confirmed shops are not allowed to offer discounts or advertise sales without first obtaining official approval and permits. They must apply at least 30 days before their planned sales, and must provide reasons and the duration of their campaigns.
Shops must also provide a list of discounted items, inclusive of the original price, discounted price, and discount percentage, as well as proof and a pledge that the product was sold at the original asking price over different periods before the discount.
The ministry’s commercial fraud department reviews the requests and issues the permits within no more than 15 days from the date of application, provided all conditions have been met. Shops are informed of rejected requests within no more than 10 days, with reasons provided.
The clothing sector in the Kingdom is worth more than SR10 billion, due in large part to large-scale development over recent years and the entry of new global brands.