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Fake promotions: Boohoo is likely to pay $100m

Fake promotions: Boohoo is likely to pay $100m

Fast fashion retailer Boohoo, together with its other labels, PrettyLittleThing and Nastygal, have been accused and taken to court because of “misleading prices”, appositely modified to deceive clients. The penalty could cost $100m.

This is not the first time that such fake promotions appear on the market, even if law dispositions tried, in the last years, to stop them, with high fines as a deterrent. Several brands had been accused to use such practice with lucrative aims. Just before sales, prices are raised, so that the discount later applied is lower if none. Very few customers notice it, overwhelmed as we are by communication and products: the majority fall for it, buying full price.  

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Boohoo is known worldwide for its low and competitive prices. A spokesperson of the brand declared to the the press that they are only “focused on bringing our customers designs that they love at affordable prices” and added that “running promotions is just one of the ways that we invest in our customer proposition”.

As stated at the beginning, the competent authorities are now working to find information and evidences, in order to reach a fair conclusion. It will be released later this month. However, the situation is rather sensitive and, if the accuses will be proved right, the aftermath will be heavy – not only in terms of money but also of credibility. We are today in a crucial time of our history, where consumers are more aware than ever about their position in the market: honesty and transparency are, under every aspect, the only policy.

We thus hope that everything will make clear in the best way possible.

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