Jon Duffy: Consumer NZ CEO on New World's Smeg kitchenware promotion leaving customers unhappy

New World customers are struggling to get their hands on Smeg kitchenware, available under a 12-week promotion.

They can collect one sticker for every $20 spent.

But the highest-value option, the braiser, is running out - and New World says there won't be any extra deliveries. 

Consumer NZ, CEO Jon Duffy, says New World has specified this is 'while stocks last'.

But he says it's also required by law to have appropriate stocks. 

"With these promotions, this is not their first rodeo, they've done these over the years - so they do know that these promotions are popular."

LISTEN ABOVE

See omnystudio.com/listener for privacy information.

Episode Transcript

Speaker 1 (00:09):
You're listening to a podcast from News Talk z'b follow
this and our wide range of podcasts now on iHeartRadio.

Speaker 2 (00:16):
Yes again, Yes again, the New World promotion is out
of stock. What a surprise. Shops have started to run
out of the prize top option, which is the smeg Braser.
They're not going to get any more deliveries. Nobody from
Food Stuffs was available to speak with us today. Once again,
what a surprise. Consumer. New Zealand CEO John Duffy is
with me.

Speaker 3 (00:35):
Hello, John, Hi here, there are you going.

Speaker 2 (00:38):
I'm well, but this is like groundhold day, isn't it?

Speaker 3 (00:43):
Well? It is. Yes, every time a New World run
some of these promotions. Yes, we do get complaints that
that stock has run out. They do put up you know,
in their advertise and they say well stocked fast. But yeah,
often the stocks don't you know, the level of stocks,
don't meet people's expectations and they're run out.

Speaker 2 (01:04):
Hold an, did this launch? It feels to me like
this launch what like there's a four weeks ago or
am I not being fair here?

Speaker 3 (01:11):
No, it feels about four weeks ago.

Speaker 2 (01:13):
So they want to tell me that they're running out
of the thing that everybody wants about halfway through. That's byes,
isn't it.

Speaker 3 (01:21):
Well, yeah, under the Fit Training Act, they do need
to make sure even when they say well stocks last,
they need to have reasonable stocks to meet demand. And
I guess the thing is with these promotions. This is
not their first rodeo. They've done these over the years,
so they do know that these promotions are popular. I

(01:43):
can't make any comment on whether their stock levels are
appropriate because I don't know the level of demand. But yeah,
they need to buy law make sure that their stocks
are appropriate.

Speaker 2 (01:52):
Okay, So should I mean, look just for goodwill? I
know that they can't. I understand the logistics of the thing,
right they can't possibly actually fully imagine how many people engage,
how many people would want to have this particular thing.
But surely the smart thing to do for good will
would be to say, if you have a full of
the things and you want to bring it in and
we'll go and order you another one. Shouldn't they do
that because they can?

Speaker 3 (02:12):
Right Well, I'm not sure if they can. It may
depend on the deal that they've got with Smeg, who's
the manufacturer here. It could be that this is you know,
end of line stock or you know, whatever the deal
is that they've got so that they can offer them
on you know, effectively on special through the promotion. So

(02:33):
maybe that they can't get any more, that there's a
closed window. But I don't know that really is for
food stuff to say, did.

Speaker 2 (02:40):
Those I know in the past people have complained to
the Commus Commission about similar things. Do they ever go anywhere?

Speaker 3 (02:47):
Well, my understanding is that there was a promotion on
knives a couple of years ago or even last year,
and I think the knife block ran out earlier than people.

Speaker 1 (03:00):
As well.

Speaker 2 (03:00):
A that's the one people wanted.

Speaker 3 (03:03):
Well, it kind of was because you've got to the end,
you collected all the knives and you're like, well where
am I going to put these things? Let's go get
the knife block. But there I don't know what the
actual number was. There was only five available nationwide, and
they ran out pretty quickly. It wasn't that small. Please
don't sue me food stuffs, but.

Speaker 2 (03:19):
Cares if they do. I want to talk about it,
So whatever, you can say whatever you want, John right now.

Speaker 3 (03:24):
Well, the issue really was that that the knife blocks
ran out quicker than people anticipated. And my understanding was
there were complaints to the Comics Commision. Whether it was
specifically on that issue or not, I'm not sure, but
no doubt the Comms Comission had a look at it
and probably repeated to food Stuff's what I've just said that, Hey,
you need to make sure you've got reasonable stocks and
before you've advertised these promotions.

Speaker 2 (03:44):
And yet here we are again, John, Thanks so much,
John Duffy, Consumer New Zealand CEO. The promotion started on
the ninth of Junior idiot. Thank you. That harsh, but
we're in the mode of being harsh at the moment,
so i'ld take it. Ninth of June's that's two months
another month ish to go. So there two thirds of
the way through and they've run out. I still don't
think that I still don't think that's on for

Speaker 1 (04:06):
More from news Talks, there'd be listen on air or
online and keep our shows with you wherever you go
with our podcasts on iHeartRadio.