Supermarket Labels Confuse Shoppers

New data from CHOICE has shown that approximately one in four individuals find it challenging to determine if specific supermarket labels represent a genuine discount or not.

CHOICE asked over 1,000 consumers whether they could determine if a range of price tags photographed at Woolworths, Aldi, and Coles stores represented discounts on the usual price. They were also asked how easily and quickly they could discover if it was a discount or not.

"This Coles 'while stocks last' tag caused the most confusion,” said The Director of Campaigns at CHOICE, Rosie Thomas.

Supermarket Labels Confuse Shoppers

“When we asked our respondents if this price was a discount on the usual price, approximately one-third believed the product was discounted, roughly another third believed it wasn't, and the remaining third were not sure."

These labels, used by major supermarkets, confuse consumers, who struggle to determine what is and is not a genuine discount. This is particularly concerning considering that many people are trying to make their grocery shop as affordable as possible in a cost-of-living crisis.

For many of the labels in the survey, less than half of the respondents could quickly and easily determine if a product was discounted. If those are the results of an online survey, people rushing to do their weekly shop in a busy supermarket will likely have even less chance of correctly decoding these unclear labels.

"This Woolworths 'prices dropped' label also confused respondents, with only half of respondents saying they could quickly and easily tell if the product was discounted or not."'

Supermarket Labels Confuse Shoppers

She added that the price of this coconut water dropped from $6 to $4 in 2019.

“We doubt whether a product that has been the same price for almost five years should be promoted as having a 'dropped' price. It's no wonder consumers were confused about whether it was actually discounted.”

The ‘Super savers' label at Aldi also confused people, with around a third unsure if it was a discount.

Supermarket Labels Confuse Shoppers

CHOICE has submitted a request to the ACCC Supermarkets Inquiry to implement more robust regulations about how prices are displayed.

"People are sick of feeling like they are being tricked by the supermarkets each time they head in-store or online."

Thomas was also disappointed that none of the supermarkets acknowledged the harm these confusing labels are causing, further emphasising the need for stronger laws around pricing practices that would ensure supermarkets do right by consumers.