About 1800 Holden Rodeo buyers will get a further $100 to $115 worth of Yakka Work Wear after an Australian Competition and Consumer Commission investigation into a Yakka Pty Limited/Isuzu - General Motors Australia Limited Let's Work promotion.
Many of the affected purchasers are from rural areas throughout Australia.
The Let's Work promotion ran between 16 November 1997 and 31 January 1998. It said Holden Rodeo buyers would get $300 worth of Yakka clothes, based on recommended retail prices. The promotion offered purchasers 100 points which were redeemable for Yakka clothing. Each item of clothing had a point value.
The ACCC alleged the promotion was misleading as the points assigned were based on 'notional' or 'expected' prices, not recommended retail prices. In fact, Yakka had no recommended retail prices and ACCC inquiries indicated that the goods sold for less than the expected value assigned. As a result the value of the clothing offered amounted to between $200 and $250 only.
Yakka and Isuzu have cooperated fully with the ACCC's investigation. Yakka acknowledges it was responsible for the pricing problem and that Isuzu relied on its advice. Yakka has offered the ACCC Court enforceable undertakings to:
- write to all affected purchasers of a Holden Rodeo vehicle during the period of the promotion who ordered Yakka Work Wear in fulfilment of the promotion offering an apology and an extra 50 points redeemable for Yakka clothing (equalling an additional $100 to $115 of value); and
- implement a trade practices compliance program.
The promotion was advertised nationally. The ACCC believes many purchasers live in regional Australia or are in small business. Both consumer groups are an ACCC priority area.
'Businesses must not mislead consumers as to the value and availability of promotional offers,' ACCC Chairman, Professor Allan Fels, said today.