Consumer Ombudsman Takes Elisa to Court Again
The Finnish Consumer Ombudsman is suing telecommunications operator Elisa over its pricing campaign, alleging that it did not disclose the legally required minimum price for offers.
The Consumer Ombudsman of Finland has initiated legal action against telecommunications operator Elisa, specifically targeting its 'Etuhinta' pricing campaign. According to a statement from the Competition and Consumer Authority (KKV), Elisa failed to disclose the legally mandated minimum price of 30 days when presenting its offers to consumers. This oversight has prompted the Consumer Ombudsman to seek an injunction against the company, along with sanctions of up to 200,000 euros for its practices, which are considered misleading.
Elisa has defended its pricing strategy by arguing that it pertains specifically to pricing for loyal customers rather than a standard price reduction announcement. The company's advertising for the 'Let’s Etuillaan' campaign suggested that existing customers could purchase mobile phones at lower prices under a special 'advantage price.' However, the fine print included a higher 'normal price' applicable to non-loyal customers, raising questions about the transparency of the pricing model presented.
Furthermore, the Consumer Ombudsman has raised concerns that consumers could obtain the lower price by registering or creating accounts on Elisan's online store. This process was available to all consumers without any obligations or prior affiliation with the company, suggesting that the distinction made by Elisa regarding customer categories was misleading. The case underscores issues around consumer rights and transparency in marketing practices in Finland's telecommunications sector, potentially setting precedents for future regulatory actions against misleading pricing tactics.