Dubious advertising of refurbished electronics
July 19, 2022
The Federation of German Consumer Organisations (vzbv) warned three operators of online platforms selling renewed smartphones and electronic devices and criticised greenwashing statements, misleading price information and illegal advertising cookies.
The vzbv has warned three unnamed operators of online marketplaces that offer renewed smartphones, notebooks and other electronic devices. The consumer advocates accused the suppliers of the “refurbished” products of misleading advertising with fictitious price advantages, greenwashing with questionable environmental statements and the illegal use of advertising cookies.
“Buying used equipment is actually a good thing. However, providers often advertise that CO2 is saved and electronic waste is avoided simply by buying a renewed mobile phone or laptop. That’s not true,” said Susanne Einsiedler, Legal Officer at vzbv. “It’s also annoying when advertised with unrealistically high price advantages.”
“CO2 emissions are reduced by 70%”, “100 % climate-neutral”, “100% sustainable”, “194 grams less electronic waste”, these are just a few of the many questionable claims that suppliers make when advertising refurbished products, according to the vzbv.
In fact, the refurbishment of used devices also produces CO2 emissions and electronic waste, for example, when batteries and other parts are replaced. However, one looks in vain on their websites for the measures companies take to minimise harmful environmental impacts when replacing devices, selling them and shipping them. According to the vzbv, this is misleading.
The warned online shops advertised high reductions when buying a renewed device. Immediately next to the asking price was a much higher crossed out price. It remained unclear whether the strike-through price was based on the price previously demanded by the retailer, whether it was for a used, a new device or another price.
An online shop offered a renewed smartphone for €275 ($282) with an alleged price saving of 69% compared to the crossed out price of €909 ($932). The device was listed as expensive on the manufacturer’s website when it went on sale in 2019. The device was currently being offered by dealers on the Internet for prices starting at €424.50 ($435) and used from €242 ($248).
The warned companies also did not take the protection of privacy very seriously. They stored cookies on customers’ devices for advertising and analytics purposes without first obtaining the necessary consent. One company even used the advertising cookies after expressly rejecting their use.
Two of the three warned companies showed an understanding of the issue, issued a cease-and-desist declaration, and changed their website. The vzbv has filed a lawsuit against the company based in the Netherlands.
Consumers in France were also affected by these business practices. The French consumer organisation UFC-Que Choisir has also filed a lawsuit against one of these companies.
Categories : World Focus
Tags : Consumers Greenwashing Lawsuits Refurbed Electronics vzbv
