Noticed prices jump at checkout? ACCC just taught one cinema a $19,800 lesson
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Many Australians trust that the price they see is the price they’ll pay—especially when it comes to something as simple as a movie ticket.
But a recent penalty handed down by the consumer watchdog suggests that may not always be the case.
A major cinema chain has found itself under scrutiny for allegedly falling short of pricing transparency obligations.
A well-known cinema chain with ties to one of Hollywood’s most recognisable names has been hit with a financial penalty after falling foul of Australia’s consumer laws.
The Australian Competition and Consumer Commission (ACCC) took action against Dendy Cinema, alleging the company did not properly disclose the full price of its movie tickets during the checkout process.
While many customers might assume they’re seeing the full cost upfront, the ACCC said that wasn’t the case—at least not until the final stages of purchasing.
Dendy Cinema, which was purchased by Mel Gibson and Bruce Davey through Icon Film Distribution for $21 million back in 2008, has since grown to operate six locations across the country.
But despite its established presence, the cinema chain was fined $19,800 after the ACCC issued an infringement notice.
According to the watchdog, the issue centred on unavoidable fees not being clearly displayed early enough in the transaction.
‘Consumers are sometimes lured into purchases they would not otherwise have made when businesses display only part of the price upfront and reveal the total price only towards the end of the purchasing process,’ said ACCC Deputy Chair Catriona Lowe.
‘By initially only displaying part of the total price for a movie ticket, Dendy has reduced the ability of consumers to make an informed purchasing decision.’
The company has paid the fine, and the ACCC has confirmed that its investigation forms part of a broader look into pricing practices across the cinema industry.
The watchdog is now keeping a close eye on whether other businesses are complying with the same pricing obligations.
Icon Film Distribution was contacted for comment.
It’s not the first time the ACCC has cracked down on big business for putting customers second.
If you care about fairness and knowing your rights, this one’s worth a watch.
Source: Youtube/7news
With so many of us used to trusting the price we see at the box office, do you think businesses should face harsher penalties for hiding extra fees? Let us know your thoughts in the comments.
In a separate incident involving cinemas, one Sydney moviegoer was shocked to find mould on a seat during what should have been a relaxing outing.
For seniors who value comfort, cleanliness and a fuss-free experience at the movies, stories like these highlight why transparency and standards really matter.
If you’ve ever had a cinema visit fall short of expectations, this one’s worth a look.
Read more: ‘It smelt like vinegar’: You’ll never guess what one cinema-goer had to deal with
But a recent penalty handed down by the consumer watchdog suggests that may not always be the case.
A major cinema chain has found itself under scrutiny for allegedly falling short of pricing transparency obligations.
A well-known cinema chain with ties to one of Hollywood’s most recognisable names has been hit with a financial penalty after falling foul of Australia’s consumer laws.
The Australian Competition and Consumer Commission (ACCC) took action against Dendy Cinema, alleging the company did not properly disclose the full price of its movie tickets during the checkout process.
While many customers might assume they’re seeing the full cost upfront, the ACCC said that wasn’t the case—at least not until the final stages of purchasing.
Dendy fined over hidden ticket fees. Source: Dendy Cinema Southport
Dendy Cinema, which was purchased by Mel Gibson and Bruce Davey through Icon Film Distribution for $21 million back in 2008, has since grown to operate six locations across the country.
But despite its established presence, the cinema chain was fined $19,800 after the ACCC issued an infringement notice.
According to the watchdog, the issue centred on unavoidable fees not being clearly displayed early enough in the transaction.
‘Consumers are sometimes lured into purchases they would not otherwise have made when businesses display only part of the price upfront and reveal the total price only towards the end of the purchasing process,’ said ACCC Deputy Chair Catriona Lowe.
‘By initially only displaying part of the total price for a movie ticket, Dendy has reduced the ability of consumers to make an informed purchasing decision.’
The company has paid the fine, and the ACCC has confirmed that its investigation forms part of a broader look into pricing practices across the cinema industry.
The watchdog is now keeping a close eye on whether other businesses are complying with the same pricing obligations.
Icon Film Distribution was contacted for comment.
It’s not the first time the ACCC has cracked down on big business for putting customers second.
If you care about fairness and knowing your rights, this one’s worth a watch.
Source: Youtube/7news
With so many of us used to trusting the price we see at the box office, do you think businesses should face harsher penalties for hiding extra fees? Let us know your thoughts in the comments.
In a separate incident involving cinemas, one Sydney moviegoer was shocked to find mould on a seat during what should have been a relaxing outing.
For seniors who value comfort, cleanliness and a fuss-free experience at the movies, stories like these highlight why transparency and standards really matter.
If you’ve ever had a cinema visit fall short of expectations, this one’s worth a look.
Read more: ‘It smelt like vinegar’: You’ll never guess what one cinema-goer had to deal with
