The Competition and Markets Authority has launched an investigation to examine whether Simba Sleep has misled consumers about price reductions and put unfair pressure on consumers to make quick purchases.
The CMS says that the concerns being investigated focus on are: Simba Sleep’s use of potentially misleading claims about the extent of price reductions on its mattresses and related products and the use of urgency claims such as countdown timers that may mislead consumers on the availability of special offers.
The investigation follows the publication in March 2023 of an open letter from the CMA which called on UK businesses to stop using sales practices that could break the law. The letter provides practical examples of common online sales practices that may mislead consumers or apply undue pressure. Examples include price comparison claims that present consumers with a reduced price alongside a higher, struck-through price, when in fact very few items were sold at the higher price; or the use of countdown-timers that do not accurately reflect when offers will end.
‘It’s important shoppers can recognise a genuinely good deal, especially as the cost of living hits people’s pockets. More and more of us are buying online so it’s essential companies are being upfront and honest about claims they make about price reductions or when using countdown clocks that may pressure people into making quick decisions,’ says Sarah Cardell, CMA chief executive.
‘Discounts are a great way for firms to attract customers, but they must represent a real saving. We’re concerned that firms in the mattress sector and perhaps more widely could be using price reduction claims in a way that could mislead shoppers.
‘We’ve given Simba Sleep notice that we have launched a consumer investigation into its potentially misleading sales practices. Other companies in the mattress sector, and across the online economy should take the opportunity to look at their own practices to ensure the way they do business stays within the law.’
The CMA has an ongoing investigation into the pricing policies of Emma Sleep.
