A leading pamphlet and catalogue distributor for major retailers like Harvey Norman, The Good Guys, JB Hi-Fi, Officeworks, Retravision and Kmart has been pulled up by the ACCC for misleading delivery claims.
PMP Distribution delivers advertising material, publications and product samples to Australian households through a network of distributors and deliverers, known as ‘walkers’, who deliver material by hand to home letterboxes.
“During 2007 and 2008 PMP Distribution, a wholly owned subsidiary of PMP Limited, provided some of its customers with reports that included incorrect pamphlet delivery statistics—claiming deliveries had taken place in certain areas when they had not,” said Australian Competition and Consumer Commission chairman, Graeme Samuel.
“The irregularity came to light as a result of an internal audit by PMP Distribution. When it discovered the problem, it contacted affected customers and approached the ACCC to resolve any Trade Practices Act concerns.”
The ACCC acknowledged that PMP Distribution has been very cooperative in resolving the matter from the outset and accepted the court enforceable undertakings outlined by the company.
These undertakings include: implementing business procedures to ensure details provided to customers is accurate, it will provide the ACCC with an independent auditor’s report of its business procedures and it will establish and implement a trade practices law compliance program.
Samuel finished by warning businesses that they must not mislead consumers.
“Businesses must ensure they do not use misleading or false representations in the supply or promotion of their products and services.”