Australian Consumer Watchdog Sues Burger Chain Over Tree Day Tuesday Promotion
The competition regulator alleges Grill’d overstated environmental donations tied to its Tuesday burger sales. Only 4 per cent of purchases met the complex conditions required for a $1 donation per burger.
The Sydney Morning HeraldThe three-year campaign, which ran from January 2021 to April 2024, stated that Grill’d would donate $1 for every burger purchased on Tuesdays toward planting trees. The regulator says the terms and conditions were so restrictive that only 4 per cent of purchases qualified.
Customers had to be loyalty members, order for in-store dining at the front counter, and scan a separate barcode for the donation to apply. Of roughly 5 million burgers sold on Tuesdays during the period, more than 1 million were purchased by loyalty members, but only 17 per cent of those met the donation criteria.
The regulator alleges that 26 advertisements across social media, online, and in stores exaggerated the circumstances under which donations would occur. The company stated it takes Australian Consumer Law seriously and that the issue centers on communication of specific terms and conditions.
The regulator’s chair said businesses appealing to environmental concerns must ensure conditions are properly disclosed, adding that those seeking to exploit such concerns will face enforcement action.
