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The organization, which also oversees consumer protection, stated that Infinite Style E-Commerce Co Ltd. (ISEL), functioning under the Shein brand, deceived consumers regarding the extent of discounts.
After a year-long investigation, the regulator identified deceptive discounts as one of the violations, specifically the creation of a false sense of a bargain by displaying an exaggerated “previous price” in new promotions.
An evaluation of Shein's promotional discounts from October 1, 2022, to August 31, 2023, revealed that in 57% of instances, the product price remained unchanged from the original, and in 11% of instances, it was actually increased.
ISEL reported that the French regulator informed it of the irregularities in March of the previous year, and it modified its practices within two months.
The company said that all recognized problems were resolved over a year ago.
In May of this year, the European Commission announced that Shein's sales tactics breached EU regulations and the company might incur penalties.
source: reuters.com
After a year-long investigation, the regulator identified deceptive discounts as one of the violations, specifically the creation of a false sense of a bargain by displaying an exaggerated “previous price” in new promotions.
An evaluation of Shein's promotional discounts from October 1, 2022, to August 31, 2023, revealed that in 57% of instances, the product price remained unchanged from the original, and in 11% of instances, it was actually increased.
ISEL reported that the French regulator informed it of the irregularities in March of the previous year, and it modified its practices within two months.
The company said that all recognized problems were resolved over a year ago.
In May of this year, the European Commission announced that Shein's sales tactics breached EU regulations and the company might incur penalties.
source: reuters.com
