By Ian Walker
LONDON--The U.K. Office of Fair Trade, or OFT, said Friday eight
supermarkets have agreed to a set of principles that address
concerns over special offers and promotions for food and drink,
following concerns that shoppers could be confused by the way
prices are displayed, advertised and promoted.
Marks and Spencer Group PLC (MKS.LN), J. Sainsbury PLC
(SBRY.LN), Tesco PLC (TSCO.LN), William Morrison Supermarkets PLC
(MRW.LN), Aldi, Co-Op, Lidl and Waitrose all signed up to the new
principles which clarifies the OFT's view on how promotional claims
should be used.
OFT Chief Executive, Clive Maxwell, said the principles, taken
together with previous guidance, provide supermarkets with a clear
benchmark for how they should be operating so their food and drink
promotions reflect the spirit, as well as the letter of the
law.
"We are pleased that supermarkets have engaged constructively
throughout our investigation and we will keep a watching brief on
promotional practices in this sector," Mr. Maxwell said.
The OFT said it has made no finding that the supermarkets have
breached the law or were engaging in misleading promotional
practices. However, it did find inconsistency in the way the law
was being interpreted and applied.
The OFT's investigation involved mystery shopping exercises, a
consumer survey, a round-table attended by consumer groups,
industry associations and the supermarkets, and bilateral meetings
with the supermarkets.
Write to Ian Walker at ian.walker@dowjones.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires