By David Farrier
In the first case of its kind, the Commerce Commission has issued a formal warning to a TradeMe user over price fixing.
The Commission says Ernie Travers emailed a competing TradeMe seller, asking him to agree to sell his products for the same amount.
Mr Travers, who trades under the pseudonym ‘pop 0071’, specialises in LED lights, but his recent online activity has attracted some negative feedback from the Commerce Commission.
“This case is pretty unusual, it’s the first case we’re aware of and the first case the Commerce Commission has investigated to do with TradeMe,” says TradeMe spokesman Chris Budget.
The Commission has issued a formal warning to Mr Travers, saying he emailed another TradeMe user requesting they fix their prices on the LED lights they were both selling.
“Hey, how about instead of continually discounting these lights we agree to one price - $189 – and stick to it,” Mr Travers says in the email.
“I am sure we will both get a share of the market if we are both consistent on the price.”
Mr Travers told the Commission he never sent the email, but could not explain who had.
Consumers Institute CEO Suzanne Chetwin says it is a reminder that online selling is a serious business.
“I think it is a warning to those buying and selling, it is a sophisticated operation these days and it isn’t just people selling the stuff out of their garage or clearing out their houses,” she says.
TradeMe has chosen not to ban ‘pop 0071’.
“We feel the members had this warning, and a pretty strong one at that,” says Mr Budget.
“With publicity around it he has hopefully learnt his lesson. We are keeping an eye on his membership to make sure he doesn’t do anything naughty again. If he does, we will call him and talk to him about it.”
The Commerce Commission does not play to take any legal action, apparently wanting to make an example of this user and remind others that big brother is watching.
3 News