Swedish Government Targets Black Friday Price Manipulation Amid New Evidence of Retailer Tactics
Swedish authorities and consumer experts expose widespread price inflation tactics by online retailers ahead of Black Friday, prompting calls for stricter enforcement and possible legal reforms.
- • 13% of online prices increased by over 10% in October ahead of Black Friday sales.
- • Retailers are inflating prices temporarily to mislead consumers about discounts.
- • The 2022 Price Information Act requires disclosure of the lowest price in 30 days during sales.
- • Minister Erik Slottner calls such tactics an abuse and considers tightening regulations.
- • Consumers are advised to compare prices over weeks or months to avoid deception.
Key details
A recent investigation into Swedish online retailers has revealed a growing trend of price manipulation ahead of Black Friday sales, where many companies artificially inflate prices in October to create the illusion of discounted sales during the event. According to the price comparison platform Prisjakt, 13% of online prices increased by over 10% last month, a move seen across sectors such as clothing, footwear, technology, televisions, and household appliances. This strategy undermines the Price Information Act (Prisinformationslagen), updated in 2022 to mandate retailers disclose the lowest price a product has had in the previous 30 days when advertising discounts.
Consumer experts Isabella Ahmadi and Maria Wiezell have raised concerns that the law has not worked as intended, with many companies failing to adhere to disclosure requirements and instead exploiting loopholes to mislead consumers. Ahmadi encourages shoppers to track prices over longer periods—ideally three months—to avoid falling victim to such tactics.
Minister for Consumer Affairs Erik Slottner condemned the practice as an abuse of the law, calling it "price manipulation" and highlighting government efforts to scrutinize retailers rigorously. Slottner stated, "This is very serious, and that is also why the Consumer Agency is conducting supervision of these companies. This is not how it should be done." He further indicated that the government is considering reviewing and potentially strengthening the Price Information Act to better protect consumers from deceptive pricing schemes.
The Consumer Agency is actively monitoring compliance to prevent misleading market practices. As Black Friday approaches, Swedish shoppers are advised to be vigilant and informed to avoid paying inflated prices disguised as discounts.