Discount Or Deception? Coles Found To Have Misled Consumers In "Down Down" Promotions

IN BRIEF

On 14 May 2026, the Federal Court of Australia (the Court), in a prosecution commenced by the Australian Competition and Consumer Commission (ACCC), found that Coles Supermarkets Australia Pty Ltd (Coles) had engaged in misleading conduct and made misleading representations about the price of products in trade or commerce between February 2022 and May 2023.

The proceedings, centred on Coles’ long-running “Down Down” promotional campaign which advertised lower prices on frequently bought grocery items, such as milk, bread and laundry liquid. 

The Court found that, for a discount on a product to be a “genuine discount,” it required the following:

• A pre-promotional price that was commercially justifiable and not artificially inflated.