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Boohoo hit with €2.3m French fine over deceptive discount practices
France’s consumer watchdog said 40% of Boohoo promotions were not real price reductions and found 48% involved price increases.
Boohoo has been fined €2.3 million by France’s consumer watchdog for deceptive discounting practices, including promotions that gave shoppers a false impression of savings, according to the directorate-general for competition, consumer affairs and fraud control.
In its review of promotions, the regulator found that 40% were not genuine price reductions, 7% had smaller reductions than advertised, and 48% were actually price increases. The watchdog also said Boohoo used terms such as “leather” or “suede” to sell synthetic products, which it said violates French product labeling rules.
The fine comes about four years after Boohoo reached a settlement in a $100 million US lawsuit alleging the retailer used fake promotions to mislead shoppers, a case it resolved without admitting liability, the outlet reported.
Boohoo’s broader challenges have included rising competition from low-price rivals such as Shein, Temu, and Vinted, as well as increased delivery costs and tariffs in the US, as reported by Guardian Business.