The Polish competition authority, led by President Tomasz Chróstny, has raised concerns about the promotional pricing practices of Temu, a major online shopping platform backed by Chinese capital. The authority claims that Temu has failed to provide accurate information regarding the lowest price of products 30 days prior to discounts, which is a legal requirement.

During an investigation, it was found that consumers often lack a clear understanding of the actual discounts being offered. The analysis of Temu's website and mobile app revealed inconsistencies in how the lowest price was presented, with some products not displaying this crucial information at all. This lack of transparency can mislead consumers into believing they are getting a better deal than they actually are.

President Chróstny emphasized that accurate pricing information must be provided at all stages of the sales process, from advertising to the final sale. The failure to disclose the lowest price from the previous 30 days can lead to consumers overpaying for products, thinking they are benefiting from a significant discount.

Furthermore, the investigation uncovered instances where the lowest price displayed remained unchanged despite fluctuations in the actual selling price of the products. For example, a set of balloons had varying prices over a few days, yet the lowest price remained constant, misleading consumers about the true value of the promotion.

Consumer behavior studies indicate that promotions significantly influence purchasing decisions, with 82% of respondents considering discounts when choosing online stores. However, many consumers struggle to find the required information about the lowest price from 30 days prior to a discount, highlighting the need for clearer labeling and compliance with legal standards.

The Polish competition authority is currently monitoring promotional practices across various sectors and has initiated six proceedings against companies for similar issues, including Zalando and Sephora. The authority aims to ensure that all businesses adhere to the regulations set forth in the Omnibus directive regarding promotional pricing.