An Australian Competition and Consumer Commission investigation into Coles' Dollar Dazzlers 21st Birthday competition has resulted in Coles Myer Ltd agreeing to provide consumers who won prizes of 21,000 Fly Buys points with an additional 399,000 points each.
The investigation follows consumer allegations that Coles had misrepresented the true value of the Fly Buys prizes.
In the national competition that ran during August 1999, Coles Supermarkets offered prizes including 21 prizes of 21,000 Fly Buys points, and stated on the competition entry form that each of these prizes was worth $4,200.
However the true value of the points, as later confirmed to Coles by Loyalty Pacific Pty Ltd which administers the Fly Buys scheme, was only $210. The valuations of other prizes on offer were not at issue.
Following the ACCC investigation, Coles will write to all 21 winners of the Fly Buys points to apologise for the mistake and provide each winner with an additional 399,000 points to bring the value of each prize to $4,200.
Coles will also put into place new checking and accountability procedures for the running of consumer competitions.
ACCC Chairman, Professor Allan Fels, said that the ACCC welcomed Coles' prompt, cooperative approach in acknowledging the misrepresentation and providing full restitution to all the relevant prize winners.
The investigation follows consumer allegations that Coles had misrepresented the true value of the Fly Buys prizes.
In the national competition that ran during August 1999, Coles Supermarkets offered prizes including 21 prizes of 21,000 Fly Buys points, and stated on the competition entry form that each of these prizes was worth $4,200.
However the true value of the points, as later confirmed to Coles by Loyalty Pacific Pty Ltd which administers the Fly Buys scheme, was only $210. The valuations of other prizes on offer were not at issue.
Following the ACCC investigation, Coles will write to all 21 winners of the Fly Buys points to apologise for the mistake and provide each winner with an additional 399,000 points to bring the value of each prize to $4,200.
Coles will also put into place new checking and accountability procedures for the running of consumer competitions.
ACCC Chairman, Professor Allan Fels, said that the ACCC welcomed Coles' prompt, cooperative approach in acknowledging the misrepresentation and providing full restitution to all the relevant prize winners.