Go for cash coupons as price plan fails to sell

Maisy Mok

Around 90 percent of HK$181 million supermarket rebates will be given in cash and meal coupons by the two chain giants, Wellcome and ParknShop.

The government said that Wellcome's initiative to freeze price for over 300 items cannot be included in the give-back proposal and hence, the $100 million rebate proposal of Wellcome does not include such initiative.  

A Wellcome spokesman said the freeze-price scheme was "self-initiated in the hopes of supporting customers in tough times."

The spokesman added that the at least six months freezing price measure is to ensure customers will be protected from price fluctuations.

Also the freezing price measure is part of their ‘Heartfelt Give-Back’ programme to support the public community amid the pandemic.

A government spokesman said yesterday that Wellcome will allot 54 percent of its HK$184.5 million Employment Support Scheme subsidy into its rebate scheme, while ParknShop will put in 50 percent of its HK$161.96 million subsidy.

He said the government do not support the inclusion of discount offers by supermarkets as part of their giveback programs, which include price reductions and freezing prices, because discounts are hard to measure and lack transparency.

"It is difficult for the government, as well as the public, to monitor the products' pricing," the spokesman said.

"It is also hard to differentiate discounts given under the giveback plan from the regular discounts."

Although Wellcome's freeze-price measure is not part of its giveback plan, it said it welcomed any additional discounts the chain may offer on its own.

"In the give-back proposal of Wellcome, 90 percent of the minimum rebate amount is attributable to the cash coupons, meal coupons and one-on-one matching donation for the underprivileged,10% is attributable to the rewards to be given to frontline staff," the spokesman said.

For ParknShop's giveback plan, the government spokesman said half - HK$80.98 million - will come in the form of meal vouchers to underprivileged groups.

Around 39.5 percent - HK$32 million - will be distributed as cash coupons through a lucky draw and 10 percent - HK$8 million - will be given as bonus to frontline staff.

ParknShop has said the public can register for its HK$32 million lucky draw online and over the phone, with no purchase needed.

But Consumer Council chief executive Gilly Wong Fung-han criticized the lucky draw, saying it cannot ease people's difficulties as it depends on luck. Also, mass lucky draws in the past have led to overloaded online registrations, she added.

And some people "might scam the elderly to provide personal information in the name of helping them to register for the online lucky draw, so seniors and those who do not know how to use the internet should stay alert," Wong said.

Wong also said the watchdog inspected multiple Wellcome supermarkets on Saturday and noticed that many of the 300 frozen price items are from the chain's own brand.

In one branch, only three out of 100 such items were not from its own brand.

Wong said supermarkets should give back to people by offering discounts for each checkout receipt.

She also said the council has received over 10,000 complaints this year regarding online shopping involving purchase of masks, travel packages and educational classes.

Wong reminded people to refrain from impulsive purchases, especially those promoted on social media livestreams.

maisy.mok@singtaonewscorp.com