Fake Discounts and Price Checks before Black Friday Ads Go Live

Практика:Corporate

Автор : Donghoo Sohn, Esq.



Fake discounts can expose New York retailers to deceptive pricing claims when advertised savings lack a genuine price basis.

Before approving a Black Friday campaign, match each “was” price to the product’s dated price history and availability records. Distinguish your own former price from MSRP, then check whether fees or purchase conditions change the offer. Keep the final ad alongside the records supporting its comparison.

Contents


1. What Records Support the Advertised Former Price?


A reference price needs more support than a number in a product database. Check when shoppers could purchase the same item at that price and whether the records support the wording you plan to publish.



Match the Records to the Product


Compare the advertised SKU, model, size, quantity, and accessories. A larger bundle’s price may not support a discount on a single item. Separate store and online records when their prices differ.

Collect dated listings, price changes, inventory records, and completed transactions. Include coupons and membership conditions that affected what customers paid. Frequent promotions can undermine the impression that the higher figure was the ordinary price.



Distinguish an Offer from a Completed Sale


The FTC’s Guides Against Deceptive Pricing distinguish a genuine former offer from a price inflated to manufacture savings. The former price should reflect an honest public offer maintained for a reasonably substantial period in the recent, regular course of business.

No completed sales at the higher price does not automatically make it fictitious. Records should nevertheless show that customers could realistically purchase the product at that price. Wording such as “formerly sold at” requires substantial actual sales, rather than a listing alone. The federal guide provides no universal 30-day safe harbor.



2. Identify the Basis before Calculating the Discount


A correct percentage can still mislead when the starting price creates the wrong impression. Identify whether the comparison uses your former price, MSRP, or another benchmark.



Separate Your Former Price from Msrp


A crossed-out figure beside “now” may suggest your store previously offered the item at that amount. Clearly identify an MSRP comparison instead of presenting it as your own price history.

A manufacturer’s price sheet establishes the suggested figure but does not necessarily establish genuine market savings. The FTC’s guidance warns against MSRP comparisons that misrepresent prices at which substantial sales occur in the relevant trade area. An MSRP label alone does not resolve that concern.



Check Older Prices and Intermediate Reductions


Preserve intervening markdowns rather than selecting only the highest historical figure. An older price may need an explanation of when it applied.

For advertising subject to New York City’s sales and discount rules, additional requirements address intermediate reductions and comparisons outside the recent, regular course of business. These municipal requirements should not be treated as statewide rules.

The broader advertising and marketing law framework also considers the advertisement’s overall impression. Qualifications should explain the comparison without contradicting the headline.



3. Check Costs and Conditions Across the Purchase Path


The advertised offer should remain understandable from the first impression through checkout. A price requiring membership or a qualifying purchase needs a different presentation from an unconditional discount.



Make Material Conditions Clear


For campaigns directed at consumers in New York, the applicable state framework includes prohibitions on false advertising and materially misleading omissions. Review the headline alongside the conditions that determine whether a customer receives the advertised price.

  • Identify membership, coupon, and minimum-purchase requirements near the offer.
  • State material exclusions and promotion dates clearly.
  • Check shipping, handling, and mandatory charges against the advertised message.
  • Confirm that checkout applies the discount to eligible products.

Optional services, shipping, taxes, and unavoidable retailer charges may receive different treatment under applicable requirements. A product-price discount should not imply the same percentage reduction in the total bill.



Review the Mobile Version


Inspect cropped social images, email previews, and mobile landing pages. Conditions visible in a desktop mockup may disappear in the published format.

As part of advertising and promotions review, compare the creative with the product page and checkout. A disclosure hidden behind a link may not correct a misleading main claim.



4. Connect the Final Advertisement to Its Evidence


Diagram: Review the comparison against price records. Retain supporting evidence, revise unsupported claims, or seek review of conflicting histories.
Diagram: Review the comparison against price records. Retain supporting evidence, revise unsupported claims, or seek review of conflicting histories.

Screenshots establish what customers saw. Price and transaction records address whether the comparison had support. Keep both together so reviewers can trace the advertised savings to the underlying facts.



Use a Claim Review Table


A short table can expose gaps before publication. Match the records to the precise claim rather than collecting documents without identifying what they establish.

Advertising ClaimSupporting RecordsQuestion to Resolve
“Was $100, now $60”Price history, listings, availabilityWas $100 a genuine former offer?
“Previously sold for $100”Completed sales and datesDo substantial actual sales support the wording?
“40% below MSRP”Manufacturer and market recordsDoes the comparison convey genuine savings?
“$60 with code”Coupon settings and checkout capturesAre the conditions clear and functional?

Retain original exports, dated captures, and the approved creative. An approval email records a decision but does not replace evidence supporting the claim.



Address Gaps before Launch


If records do not support the reference price, revise or remove the comparison. Advertising the current selling price without an unsupported savings claim may be appropriate if the remaining message is accurate.

Recheck campaigns before extending them. A continuing promotion or changed checkout condition can alter the basis for the original approval.

If price histories conflict, an attorney can assess the proposed wording and available evidence. A focused advertising compliance review can identify which claims have support, need qualification, or should be removed.


02 Nov, 2026


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