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Evening Standard
Evening Standard
Josie Clarke

CMA’s online pricing investigations – the firms involved

The competition watchdog has described its opening of investigations into eight firms over online pricing practices as an “important milestone” in ensuring they “do the right thing by their customers”.

The Competition and Markets Authority (CMA) said it had reason to suspect the eight businesses had infringed consumer law in relation to their use of fees, use of misleading time-limited offers or by automatically opting consumers in for optional charges.

Here is a breakdown of why the CMA is investigating each of the businesses.

– StubHub

Secondary ticketing site stubhub.co.uk is under investigation over its presentation of mandatory fees, specifically whether these fees are included in the total price the consumer sees at the beginning of the purchase process.

– Viagogo

Like StubHub, fellow secondary ticketing site Viagogo is under investigation for how it presents its mandatory fees to consumers during the buying process.

– Viagogo has said that it has continually engaged constructively with the CMA and would be fully cooperating with their investigation.

– Automobile Association Developments Limited

The CMA said it was investigating Automobile Association Developments Limited, trading as the AA and the AA Driving School and as BSM and BSM Driving School, over its presentation of mandatory fees.

A spokesman speaking on behalf of both driving schools said: “We are comfortable that the £3 booking fee for lessons is already transparent and in line with the CMA’s rules and are more than happy to additionally notify customers earlier in the journey as well, which we have already done.”

– Gold’s Gym

Gold’s Gym is under investigation over its presentation of a one-off joining fee for its annual membership, and whether the way it presents this fee breaks the law – specifically by introducing it part way through the sign-up process and not including it in advertised membership costs.

– Wayfair

The CMA said it was investigating homeware retailer Wayfair to determine whether its time-limited sales ended when they said they would.

– Appliances Direct

Electricals retailer Appliances Direct is also under investigation in relation to time-limited sales, and also whether customers are being automatically opted in to buying additional services.

– Marks Electrical

Marks Electrical is under investigation in relation to customers being automatically opted in to buying extra services.

The CMA said it had reached no conclusions about whether the law has been broken in any of these investigations.

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