Investigations have commenced into the practices of eight companies regarding their online pricing strategies, with an additional 100 businesses expected to receive warnings. The firms under scrutiny include StubHub, Viagogo, AA Driving School, BSM Driving School, Gold’s Gym, Wayfair, Appliances Direct, and Marks Electrical.
The Competition and Markets Authority (CMA) is focusing on how these companies present fees online, potential misleading time-limited offers, and the automatic inclusion of optional charges without customer consent. Specifically, StubHub and Viagogo are being examined for additional charges on ticket purchases, while AA Driving School and BSM Driving School are being reviewed for fee transparency during the purchase process.
Gold’s Gym is facing scrutiny for its handling of a one-off joining fee for annual memberships, including its timing in the sign-up process. Similarly, Wayfair is being investigated for time-limited sales, Marks Electrical for default opt-ins, and Appliances Direct for the use of time-limited sales and default opt-ins.
The CMA has stated that these investigations are based on suspicions of consumer law violations, emphasizing that no final decisions have been reached yet. These cases mark the first actions taken under the CMA’s new consumer protection powers. In addition to the ongoing investigations, the CMA is reaching out to 100 other businesses to address concerns about their use of additional fees and sales tactics.
CMA’s chief executive, Sarah Cardell, highlighted the importance of ensuring consumers can shop online confidently without encountering misleading prices or illegal sales tactics. She emphasized the need for fair deals across various sectors, from concert tickets to gym memberships and home appliances.
Both the AA Driving School and Viagogo have responded to the investigations, with the former stating its transparency in fee disclosures and the latter expressing cooperation with the CMA. The Mirror has contacted Gold’s Gym, Wayfair, Marks Electrical, and Appliances Direct for their comments. BSM Driving School is affiliated with the AA, while Viagogo and StubHub share the same parent company.
