Advice: re pursuing possible misleading Economy X pricing display on Virgin website

eastwest101

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Hello all,

I have started a minor dispute with Virgin about the advertised price of some Economy X seats that were selected and paid on the evening of the 31st of October 2024, just two passengers on a one-way domestic economy booking on the Virgin website. Long story short, there was some sort of Virgin promotion for a limited time where Economy X seats were reduced from $50 ea in this case to $15 ea., it must have been a wider promotion for Economy X and this promo apparently ended on the 28th Oct. but as described below was still appearing on the evening of the 31st October.

My screenshot below was taken during the booking process: (unfortunately this is the only screenshot I took and for future reference, this is a learning exercise to be able to take much larger and more complete screenshots in the future as airlines try to rely on tricky T&C that may not appear on the booking site itself but might reside on a different page - see further below).

Annotation 2024-11-07 084015.jpg



I genuinely wouldn't have considered paying the $50 ea for a 1hr 45min flight but at $15 ea I thought it was a pretty good price. I did notice that the fare was calculated and then priced with the $50 Economy X fee during booking but thought that it would have just been a Virgin website bug or the maybe correct price would be calculated further on in the booking, hence me taking the screenshot. As it was late at night I thought I would be on fairly good ground to get this error corrected in the next few days as I doubted that calling the call centre at 10pm would have resulted in a satisfactory result.

The next day I noticed that I had been charged the Economy X seating charge of $50 ea for these two passengers and called the Virgin call centre to ask for the difference between the advertised Economy X price and the actual price that was charged to my credit card along with the fares. I was requesting the difference between the usual Economy X fee of $50 and what I believed would be the reduced price of $15. Pretty simple routine request you would think?

This first call resulted in the agent eventually hanging up/or becoming disconnected, so I tried the HUCA method. This second attempt resulted in an explanation from the call centre that the reduced $15 Economy X fee was for exit rows only. At this point, I decided that this might be better pursued by more official channels with better documentation, so I started this process by using the customer feedback form on the Virgin website.

In my claim/dispute, I was clear that I only wanted a refund for the price difference between the advertised Economy X fee and what was charged to my credit card. As I intend to take these flights and the Economy X fee is included in the one Fare transaction with Virgin I didn't want to go down the dispute process with my credit card yet, as its only a partial refund that I'm seeking and don't want to reverse the entire transaction.

Anyway - as a result of this first claim Virgin came back with the following response:


Dear Eastwest101,

Thank you for your email regarding your refund request. We acknowledge the importance of having this organised.
We have reviewed your reservation and can confirm that you made a purchase for your Economy X seat on the 31st of October 2024. Please be aware that our $15.00 AUD Economy X seat is only applicable for new bookings or when managing existing Eligible Flight bookings made between October 21 and October 28, 2024, through www.virginaustralia.com. or via the Guest Contact Centre.


We would like to let you know that we cannot issue any refunds as this is a limited time offer. For more details, please see our Economy X page on our website. Please note that pre-reserved seating is subject to availability and is not guaranteed. Seats may be changed by Virgin Australia for operational or safety reasons at their discretion. Thank you for taking the time to contact Virgin Australia, Marcus. Your utmost understanding is greatly appreciated.
Kind regards,



So my response again was an email to them with the same screenshot, with the suggestion that the offer period may have been limited to the 28th October but (probably due to an error on Virgin's website this reduced Economy X advertising) this price still appeared in the booking page on the 31st Oct). I pointed them to the relevant sections of ACCC guidance about errors in advertised prices, in the case of the merchant offering erroneous or out-of-date prices the advertised and displayed price must be honoured and asked for a review of this decision:

The next response from Virgin was this:


Dear Eastwest101,

Thank you for your email response.

Please note that our $15.00 AUD Economy X seat offer is only valid between 21st October and 28th October 2024. There is no price mismatch on the website as we need to follow our rules for offering promotions to our guests so they can purchase it within a limited time.

Moreover, even if you saw that there was a discount listed on the time and date of your purchase, you still missed the promo period. We can't guarantee if there are any discounted Economy X seats available at that time.

As much as we want to help you, we would like to inform you that we are unable to issue any refunds as this is a limited-time promotion. For further information, kindly refer to our Economy X page on our website.

Please be aware that pre-reserved seating is subject to availability and cannot be guaranteed. Virgin Australia may change seats for operational or safety reasons at their discretion. The dynamic nature of seat availability and pricing necessitates real-time updates, and these may change without prior notice.

We need to follow our rules for offering promotions to our guests so they can purchase it within a limited time.

Thank you for taking the time to email us, Marcus. Your utmost understanding is greatly appreciated.


Kind Regards, Virgin Ausrtalia


So they haven't been rude about it or anything, but they seem to be trying to construct some sort of specious argument on several fronts along with a bit of general irrelevant info and standard template copy-and-paste responses that don't address the relevant issue:

Are they trying to argue that:

1. Somehow that dynamic pricing and subject to availability exclude them from price display consumer law.
2. Somehow limited-time promotions exempt them from consumer law to the point where refunds are refused? not relevant in this case but seems to be on very shaky ground if they are trying to make such an argument?

I know this is only a matter of around $35 ea, but its really the principle of the thing to me now, and not reading and understanding the complaint that has got me thinking about how to pursue this while still being able to take the booked flights. Is this really such a slam dunk case of an error in price display by the merchant, or are their T&C's elsewhere in the website able to sidestep this? Is something like the Wayback machine going to be any help in this situation?

I haven't even considered the Airline Consumer Advocate due to its reputation, but have raised a dispute with my local QLD Dept of Fair Trading office with the initial back and forth, I will need to append the second response to that, but before I spend too much time, does anyone have any suggestions about how to resolve this and what other course of actions are open? Just want a reality check if there is something obvious I have missed?

Thanks very much if anyone has any suggestions. Or even a standard formal email or response or other course of action that might get their attention and get them to move on this.

Mods - feel free to move to a more relevant discussion forum if this isn't the correct place.
 

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Just as an update here, the relevant State Fair Trading body is still in the process of dealing with this complaint, I don't hold out much hope of a clear win, as others on here have made the point that the word "From" may be a loophole that merchants can drive a bus through, but I did notice something interesting in the Virgin website on the full browser version at least, note how they have redesigned the Virgin website to display all the different options of "Economy X seating and note that they all now have colour coding and clear pricing? It wasn't like that a few weeks ago.

Redacted screenshot of a dummy booking today:

Annotation 2024-11-14 090021.jpg


Anyone else noticed when this change happened? Or has this been like this for a while, but maybe it temporarily looked different during that promo period?
 
It was very clear IMO, as noted in the promo, see here:

Starting from as little as $15, plus the price of your fare*​

*Economy X seating in an Exit Row is on sale for $15 and is available for Eligible Flights up to 28 days before scheduled departure unless sold out prior.


I understand that you feel ripped off, which isn't ideal, but what is your time worth for a relatively small amount of money?
 
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Yeah - its not a huge amount of money for me in this case, but its the principle of how things are displayed on airline websites was why I was making the effort. As I said before - the T&C's in an email are irrelevant for a customer that wasn't even aware of the promotion at the time.

Virgin have subsequently changed the format of how Economy X seats are displayed and selected in the intervening few weeks from my original screenshot to the current one put up today, what does that tell us? My apologies for trying to get airlines to display accurate/transparent prices and maybe make the world a slightly better place for consumers.....:rolleyes:

ps: the public servants would be there doing their job anyway, it is literally their job, if they had told me my matter was trivial then I might have heard that by now, but as mentioned - they have not got back to me yet. The amount might be trivial to many, but if its systematic/unintentional or replicated across the entire industry and/or airline over a long time I would think that the regulators would be interested.
 
Yeah - its not a huge amount of money for me in this case, but its the principle of how things are displayed on airline websites was why I was making the effort. As I said before - the T&C's in an email are irrelevant for a customer that wasn't even aware of the promotion at the time.
To be honest, and it's only my point of view, this sounds like a, you, problem (I am not trying to be rude, just honest).
I've been called out on this by my family and friends before also when thinking I've been short-changed ;)

You agreed to pay the $50 on the final payment screen, which clearly states the amount that will be processed, right there and then, and you click to agree on that price, nothing hidden, all charges are shown!

You even said "I did notice that the fare was calculated and then priced with the $50 Economy X fee during booking but thought that it would have just been a Virgin website bug or the maybe correct price would be calculated further on in the booking"

So you didn't believe the "from $15", you didn't read the T's&C's and you didn't believe the final price, to which you agreed.

The final booking price is the final booking price, and you agree to those terms on the final page after entering your payment method, now you want them to refund you because you, didn't believe that the final booking price was, correct? :/
 
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To be honest, and it's only my point of view, this sounds like a, you, problem (I am not trying to be nasty, just honest).
You agreed to pay the $50 on the final payment screen, which clearly states the amount that will be processed, right there and then, and you click to agree on that price, nothing hidden, all charges are shown!
I think the contention here is the pricing isn’t shown upfront as is required under Australian consumer law. If an airline advertised a return fare to the U.S. at $700 but later on check out they added government taxes, fees and fuel surcharges to boost the price up to $1400 I suspect many consumers would complain that’s an unfair consumer practice.its no different here, Virgin advertised the seat price at $15 only to boost it up once they get to the checkout. It’s deceptive and something that Australian Consumer Law was crafted to deal with
 
Virgin advertised the seat price at $15 only to boost it up once they get to the checkout. It’s deceptive and something that Australian Consumer Law was crafted to deal with
They advertised Econ X "from $15", from means, starting from/beginning at.

If you see a sale of "Up to 50% off" do you think everything is 50% off? We all know to check the final price at checkout, before agreeing to pay.

Not only that, the total price was presented well before agreeing to pay.

Anyway, I will leave it at that - interesting points of view :)
 
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It was shown as soon as you clicked on the seat you wanted. Frivolous case here
Per their screenshot that was clearly not the case. They selected their seats and it continued to say from $15.

There is a difference between advertisement puffery and misleading consumers. Having a big banner on a webpage or storefront saying “mega sale up to 50% off” is one thing. Failure to disclose the price when you are selecting a product or service is a material misrepresentation in my opinion.

-RooFlyer88
 
It was very clear IMO, as noted in the promo, see here:

Starting from as little as $15, plus the price of your fare*​

*Economy X seating in an Exit Row is on sale for $15 and is available for Eligible Flights up to 28 days before scheduled departure unless sold out prior.
Although there are T&Cs that state this it shouldn’t have any bearing on the price. That exit row seating was discounted to $15 doesn’t preclude the possibility that other seats are discounted either as part of the promotion or elsewhere. If someone offers you a service for x dollars they need to honour their end of the bargain.
I understand that you feel ripped off, which isn't ideal, but what is your time worth for a relatively small amount of money?
If we tolerate these types of in my mind deceptive practices, what is to stop other airlines and companies from doing the same? The only reason why Australian Consuler Law works is that there are people willing to put up a fight and hold businesses accountable when they do not honour their obligations under the law.

-RooFlyer88
 
Per their screenshot that was clearly not the case. They selected their seats and it continued to say from $15.

There is a difference between advertisement puffery and misleading consumers. Having a big banner on a webpage or storefront saying “mega sale up to 50% off” is one thing. Failure to disclose the price when you are selecting a product or service is a material misrepresentation in my opinion.

-RooFlyer88
Actually during the booking process when you click on the seat the price comes up, then you hit ok. The price for the booking then updates but the seat legend remains the same.
 
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Although there are T&Cs that state this it shouldn’t have any bearing on the price. That exit row seating was discounted to $15 doesn’t preclude the possibility that other seats are discounted either as part of the promotion or elsewhere. If someone offers you a service for x dollars they need to honour their end of the bargain.
As soon you as click on the seat, it shows the exact price for that seat and updates this on screen, so you can change seats or continue with that selection.
Zero is misleading, it is clear.

Same as the payment screen, when you click on the payment method it updates to indicate if any card charges or you can change payment method to avoid this.
 
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If we tolerate these types of in my mind deceptive practices, what is to stop other airlines and companies from doing the same? The only reason why Australian Consuler Law works is that there are people willing to put up a fight and hold businesses accountable when they do not honour their obligations under the law.

-RooFlyer88
What's the deception? It says EconomyX was "From $15". And EconomyX was from $15. That doesn't mean every EconomyX seat was $15.

If it said "EconomyX $15*" and * hidden somewhere else said "* From $15" that would be deceptive. This wasn't.
 
What's the deception? It says EconomyX was "From $15". And EconomyX was from $15. That doesn't mean every EconomyX seat was $15.

If it said "EconomyX $15*" and * hidden somewhere else said "* From $15" that would be deceptive. This wasn't.
To provide you with another analogy, suppose you find a nice pair of jeans at a department store and turn over the price tag and it says from $15 but then when you ring it up the total is $50, would that be considered legal under Australian Consumer law? Again, I'm not arguing that the airline cannot promote their sales and prices, all I am saying is they need to provide specifics to their customers when they do select that seat or flight. While they can always disclose the full pricing details at the end, such a practice makes it difficult for someone to compare prices and make an informed decision.

Now others have pointed out that Virgin does tell you the exact cost (as a popup) once you select the seat. Maybe that is the case, to be perfectly honest I'm not a huge believer in paying for something that should already be free (seat selection). But even if we were to accept that premise for a moment, that pricing should remain persistent on the page. It should not be an ephemeral disclosure that pops up and goes away. Other airlines do disclose at these costs quite clearly as you are selecting seats.

-RooFlyer88
 
What's the deception? It says EconomyX was "From $15". And EconomyX was from $15. That doesn't mean every EconomyX seat was $15.

If it said "EconomyX $15*" and * hidden somewhere else said "* From $15" that would be deceptive. This wasn't.
Additionally, what is most importantly missing in the original screenshot is that when you click on an Econ X seat, a pop-out window appears with the exact price.
You need to click, 'select seat', and your initials then appear on the seat (as seen in the original posters screen shot, after this pop-out window I've attached is gone).
As all regular VA flyers are well aware, this part has not changed.
In other words, you cannot select an Economy X seat without agreeing to this price first.
 

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To provide you with another analogy, suppose you find a nice pair of jeans at a department store and turn over the price tag and it says from $15 but then when you ring it up the total is $50, would that be considered legal under Australian Consumer law? Again, I'm not arguing that the airline cannot promote their sales and prices, all I am saying is they need to provide specifics to their customers when they do select that seat or flight. While they can always disclose the full pricing details at the end, such a practice makes it difficult for someone to compare prices and make an informed decision.

Now others have pointed out that Virgin does tell you the exact cost (as a popup) once you select the seat. Maybe that is the case, to be perfectly honest I'm not a huge believer in paying for something that should already be free (seat selection). But even if we were to accept that premise for a moment, that pricing should remain persistent on the page. It should not be an ephemeral disclosure that pops up and goes away. Other airlines do disclose at these costs quite clearly as you are selecting seats.

-RooFlyer88
It doesn't go away it's added to the cost of your fare on display at the top of the page. The OP knew exactly what they were being charged but chose to proceed and then dispute it later. It's a good improvement this new legend but OP was not deceived.
 
To provide you with another analogy, suppose you find a nice pair of jeans at a department store and turn over the price tag and it says from $15 but then when you ring it up the total is $50, would that be considered legal under Australian Consumer law? Again, I'm not arguing that the airline cannot promote their sales and prices, all I am saying is they need to provide specifics to their customers when they do select that seat or flight. While they can always disclose the full pricing details at the end, such a practice makes it difficult for someone to compare prices and make an informed decision.

Now others have pointed out that Virgin does tell you the exact cost (as a popup) once you select the seat. Maybe that is the case, to be perfectly honest I'm not a huge believer in paying for something that should already be free (seat selection). But even if we were to accept that premise for a moment, that pricing should remain persistent on the page. It should not be an ephemeral disclosure that pops up and goes away. Other airlines do disclose at these costs quite clearly as you are selecting seats.

-RooFlyer88

A closer analogy would be a display of jeans marked as "from $15", with individual price tags indicating the actual price for the specific article. There just has to be some jeans at $15 in there.

In any case, the OP has proceeded with the full $50 for the specific chosen seat known to them and included in the overall price.

It would be like taking a pair of jeans marked at $50, then complaining when they weren't $15.
 

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