Business ProfileforMinimax Electronics Inc.

BBB promotes truth in advertising by contacting advertisers whose claims conflict with the BBB Code of Advertising. These claims may come to our attention from our internal review of advertising, consumer complaints and competitor challenges. BBB asks advertisers to prove their claims, change ads to make offers more clear to consumers, and remove misleading or deceptive statements.

On 3/11/2022, BBB contacted the business regarding its unsubstantiated slash pricing and the entire website listed as on sale. Also, the business failed to clearly disclose that the list price may not necessarily be the price at which the product or service is sold as required by BBB’s Code of Advertising. 

The business advertised the following product on their website:

List Price: $249.99

You Save: $110.00

Your Price: $139.99

-The slash on the price indicates that there is a price comparison being made without disclosing the basis for the comparison.

- Business has not made it obvious and clear that the list price may not necessarily be the price at which the product or service is sold. Therefore, consumer may not be given a true sale on the items.

The BBB Code of Advertising States:

2. Comparative Price, Value and Savings Claims

BBB recognizes that truthful price information helps consumers make informed purchasing decisions and that comparative price advertising¹ plays an important role in promoting vigorous competition among retailers. At the same time, misleading or unsubstantiated pricing claims injure both consumers and competitors. The following examples offer guidance on ensuring that pricing claims are truthful and not misleading.

2.1 Advertisers may offer a price reduction or savings by comparing their selling price with:

2.1.1 Their own former selling price;

2.1.2 The current selling price of identical products or services sold by others in the trade area (the area in which the company does business or where the advertisement appears) (e.g., “selling elsewhere at $_______.”); or

2.1.3 The current selling price of a comparable product or service sold by the advertiser or by others in the trade area (e.g., “comparable value,” “compares with products or services selling at $_____,” “equal to products or services selling for $_____”).

2.2 In each case, the advertisement must clearly and conspicuously disclose which basis of comparison is being used.

2.3 When these comparisons are made in advertising, the claims must be based on the provisions in Sections 3 - 7.

6. List prices

6.1  “List price,” “manufacturer's list price,” “reference price,” “suggested retail price,” and similar terms, hereinafter collectively referred to as “list price,” may be used deceptively to state or imply a savings which was not, in fact, the case. To the extent that a list price does not in fact correspond to the price at which substantial sales of the product in question have been made, the advertisement of a reduction may mislead the consumer. Such a comparison must be substantiated by the advertiser prior to making any advertised comparison.

6.2 An advertiser, however, can also reference a list price non-deceptively where the advertiser:

6.2.1 Does not describe the difference as a “savings,” or use any other words of similar meaning; and

6.2.2 Clearly and conspicuously discloses2 that the list price may not necessarily be the price at which the product or service is sold. This disclosure may be unnecessary in situations where consumers generally know that the list price may not necessarily be the price at which the product or service is sold. This may be the case, for example, when an automobile dealer references, in its ad, a new car’s Monroney Sticker price.

As of 4/6/2022, business has not responded to BBB emails or modified website/substantiated claims.