ACCC puts retailers on notice ahead of Boxing Day sales: misleading discounts remain under scrutiny

The Australian Competition and Consumer Commission (ACCC) has issued a clear warning to major retailers ahead of the Boxing Day sales period, reminding them that promotional activity must comply with the Australian Consumer Law (ACL).

The warning follows an ACCC sweep of Black Friday sales advertising, which revealed that potentially misleading and deceptive practices remain widespread across the retail sector, despite repeated regulatory warnings and prior enforcement action.

Boxing Day sales face increased ACCC monitoring for misleading pricing practices.

ACCC concerns: familiar tactics, ongoing risk

According to the ACCC, its initial findings indicate that some retailers continue to use sales strategies that may mislead consumers, including:

• Countdown timers or “limited time only” claims that do not reflect the true duration of the sale

• Advertised discounts that overstate the extent or availability of savings

• Broad “storewide” or “sitewide” sales that include significant exclusions

ACCC Deputy Chair Catriona Lowe made it clear that Boxing Day promotions will be closely monitored.

“All retailers must ensure that any sales or discount claims they make during the Boxing Day sales are accurate, clear and not likely to mislead or deceive consumers,” Ms Lowe said.

The ACCC has confirmed that misleading pricing practices remain a compliance and enforcement priority, particularly for large retailers with significant consumer reach.

What the ACCC expects retailers not to do

The ACCC has reiterated that retailers should avoid making the following representations during sales promotions:

• Misleading time pressure claims, such as “3 days only” or countdown timers that do not match the actual sale period

• False storewide or sitewide claims where exclusions apply

• Fine print disclaimers that undermine bold headline offers, including member-only deals or broad product exclusions

• “Up to X% off” claims where the “up to” qualification is not prominent or only applies to a very small number of items

• Misleading ‘was/now’ or strikethrough pricing, particularly where the reference price was not genuine

These practices can create a false sense of urgency or exaggerate the value of a promotion, both of which may breach the ACL.

Enforcement action is already underway

The ACCC’s focus on retail promotions is not theoretical. Following a similar sweep of Black Friday and Boxing Day advertising in 2024, the regulator launched multiple investigations.

In June 2025, Michael Hill, MyHouse and Hairhouse Online paid penalties after allegedly making false or misleading representations about Black Friday discounts. The ACCC has confirmed that further investigations into retail sales practices are currently ongoing.

Ms. Lowe reiterated that enforcement action will follow where breaches are identified.

“If a retailer is found to be in breach of the law, we will not hesitate to take enforcement action.”

What this means for businesses

For retailers, the message is straightforward: sales and discount campaigns must be able to withstand regulatory scrutiny. Promotions should reflect genuine savings, accurate timeframes, and clear conditions, not marketing spin designed to rush consumers into purchasing decisions.

With sales periods becoming longer and more frequent, businesses that rely heavily on promotional pricing face increasing compliance risk if their advertising is not carefully reviewed.

Retailers are encouraged to review the ACCC’s guidance on advertising and promotions and to stress-test their campaigns before launch.

A note for consumers

The ACCC has also urged consumers to be cautious during major sales events. Shoppers are encouraged to:

• Compare prices across retailers

• Look beyond headline discounts

• Focus on the final price, not the percentage saving

• Check for exclusions, disclaimers and conditions

Consumers who believe they have seen misleading sales advertising can report it directly via the ACCC website, including screenshots and supporting detail.

How Bane Legal Services can help

Bane Legal Services is not a law firm and does not provide legal advice.

However, we act as a trusted legal matchmaker, connecting retailers, franchisors and business owners with the right commercial lawyer or legal services provider for their specific circumstances.

With more than 30 years of business experience, we understand how promotional activity, pricing strategies and compliance obligations intersect, and when specialist legal advice is essential.

If your business is reviewing sales campaigns, facing ACCC scrutiny, or wants to proactively reduce consumer law risk, Bane Legal Services can connect you with an experienced Australian commercial lawyer who understands the regulatory landscape.

Source: Australian Competition and Consumer Commission (ACCC), media release dated 18 December 2025.