ASA Adjudication on kgb (UK) Ltd
kgb (UK) Ltd
Cardiff Gate Business Centre
13 June 2012
Internet (sales promotion)
Number of complaints:
Claims on www.kgbdeals.co.uk offered "£139 for a two-night stay for two people, including a three-course meal on your first night, worth up to £730 at Norwood Hall Hotel - save up to 81% on a stunning Aberdeen escape".
The complainant challenged whether the claim that the value of the stay was "worth up to £730" was misleading and could be substantiated.
CAP Code (Edition 12)
kgb (UK) Ltd (kgb) said the deal was arranged with the merchant, Norwood Hall Hotel Ltd, and provided a copy of the signed Merchant Order Form, which specified the details of the deal that were agreed with merchant which they said covered the value and discount claims. They said that the signed form confirmed that the three-course meal for two was priced at £70, and had been for the previous 28 days, and that the room rate for a double room at Norwood Hall Hotel was priced at £330, which was the rate for the next six months.
The ASA noted the advertised prices listed in the merchant's e-mail were for the next six months and acknowledged that the total was £730, which was the value price listed in the ad. We noted, however, that we had not seen any documentation, such as invoices or receipts, which showed that the room rate and meal had been previously sold at £330 and £70.
Because we had not seen evidence that showed that the room rate and meal had been sold at the value price in the ad, we concluded that the claim that the value of the stay was "worth up to £730" was misleading.
The ad breached CAP Code (Edition 12) rules 3.1 (Misleading advertising), 3.7 (Substantiation) and 3.17 (Prices).
The claim must not appear again in its current form. We told kgb to ensure they held supporting documentation for their pricing claims.