Loyalty program raises competition concerns

The ACCC has announced that it proposes not to allow plans by Caravan Tarde and Industries Association of Queensland (Caravanning Queensland) to offer a loyalty program to members.

The ACCC intends to revoke an exclusive dealing notification lodged in respect of the proposed loyalty program, with Commissioner Ridgeway observing that loyalty programs ‘should reward members for purchasing more of your products or services, rather than linking the reward to an agreement not to purchase your competitors’ products or services.’

The ACCC issued a draft notice today. Submissions by interested parties are due by 10 July 2020.

See ACCC media release.