New analysis reveals that Australia's two largest supermarket chains, Coles and Woolworths, frequently synchronise their promotional pricing on a range of products, switching between sale and full price almost simultaneously. The data, provided by price-tracking website CW Scanner, shows that items such as Oral-B electric toothbrushes, Dr Oetker frozen pizzas, and Weis ice-cream bars often go on sale at one retailer while returning to full price at the other, with the roles reversing in subsequent weeks.
The practice, known as 'high/low' pricing, has raised concerns among consumer advocates, who argue it undermines genuine competition and misleads shoppers. Erin Turner, chief executive of the Consumer Policy Research Centre, stated: 'This is not what competition looks like. When markets work, businesses feel pressure to give customers a great deal all of the time – not every other week.' She warned that cyclical pricing could trick consumers into believing they are getting a rare bargain when the discount is actually a regular occurrence.
The analysis follows a court ruling last week that found Coles had deceived customers with misleading discounts in its 'Down Down' promotional program. The Australian Competition and Consumer Commission (ACCC) has previously scrutinised the 'high/low' strategy during its supermarket inquiry, noting that products can be on promotion for up to 26 weeks a year at Woolworths alone.
Consumer behaviour expert Dr Christina Anthony from the University of Sydney described the tactic as 'commercially rational' but acknowledged it could erode transparency, making it harder for shoppers to know the true price of items. Andy Kelly from Choice added that the strategy disadvantages consumers who cannot wait for sales or track pricing patterns, potentially skewing perceptions of value.
