- A consumer showed that he bought the Philips Steam Iron PerfectCare on 23 September 2025 for R848.99, while it was later advertised at R999.00 as the “Lowest price of the year.”
- Amazon submitted that the claim applied only to products sold between 1 January 2025 and 30 October 2025, but did not attach the promotion’s terms and conditions to its response.
- The Advertising Regulatory Board Directorate found the claim untruthful and misleading in contravention of Clauses 2 and 4.2.1 of Section II of the Code and noted that the claim has been removed.
A promotional claim that a steam iron was selling at the “lowest price of the year” has been ruled misleading, after a consumer demonstrated he had bought the identical product for significantly less just weeks earlier.
The Advertising Regulatory Board upheld the complaint against Amazon Commercial Services South Africa Pty Ltd in relation to a product listing on its South African online store.
At the heart of the dispute was a Philips Steam Iron PerfectCare, advertised at R999.00 with a bold red banner reading “Lowest price of the year.” The consumer who lodged the complaint provided evidence of having purchased the same iron on 23 September 2025 for R848.99, inclusive of shipping and a promotional discount.
He argued that the advertised price had been artificially inflated and then discounted, creating a false impression of value. His screenshots captured both the September transaction history and the November listing, displaying the contested claim.
The parties and the jurisdiction issue
Amazon initially maintained that it is not a member of the Advertising Regulatory Board and does not submit to its jurisdiction. The company emphasised that its participation in the process was voluntary and did not constitute recognition of the ARB’s authority.
The Directorate clarified that, while it cannot issue binding rulings against non-members who have not submitted to its jurisdiction, it may still consider and issue a ruling for the guidance of its members. On that basis, it proceeded to evaluate the merits of the complaint.
The lowest price of the year claimed under scrutiny
In its defence, Amazon argued that the “lowest price of the year” claim applied only to products sold between 1 January 2025 and 30 October 2025, in accordance with the promotion’s terms and conditions.
The Directorate found this explanation unsatisfactory. First, Amazon did not attach the relevant terms and conditions to its response, nor did it provide a link to where they could be accessed. The Directorate reiterated that a misleading impression in an advertisement cannot be cured by fine print.
Second, the consumer’s September purchase fell squarely within the January to October period relied on by Amazon. The iron was sold for R848.99 in September, then advertised for R999.00 in November with the “lowest price of the year” label attached. On the objective facts, R999.00 was not the lowest price of the year.
The Directorate stated that a reasonable consumer would interpret the claim as referring to the current advertised price compared with all prices offered during the year to date. It noted that Amazon provided no explanation for the phrase, even though the consumer’s purchase history showed the claim was factually incorrect.
It was therefore concluded that the advertisement was untruthful and misleading, contravening Clause 2 of Section II, which requires advertising to be prepared with responsibility to consumers, as well as Clause 4.2.1, which prohibits misleading claims by implication, omission, ambiguity, or exaggeration.
Outcome
The Directorate confirmed that the disputed claim has now been removed from the product listing and that no further action was required.
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