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Enabling Business, Empowering Consumers

PRICE TAG

Series of 2013
Enabling Business,
Empowering Consumers

GENERAL REQUIREMENT
◊ All consumer products
sold in retail shall bear an
appropriate price tag,
label or marking
indicating the price of the
article
◊ Consumer products shall
not be sold at a price
higher than that stated in
the price tag
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EXCEPTION: PRICE LIST/POSTER


◊ Minute or tiny articles, e.g., drugs,
medicinal instruments, hardware,
plumbing fixture, electrical
supplies, pieces of jewelry
◊ Perishable products, like
vegetables, meat, and poultry
products
◊ Nature of the product makes it
impractical to place a price tag
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ELEMENTS OF PRICE TAG


◊ Clearly written
◊ State the price of the
commodity per unit in
Pesos and centavos,
except when a law or
regulation allows a
consumer product to
be sold in foreign
currency as in the case
of duty free shops
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Elements of Price Tag…continuation…page 2/2

◊ Bears no alterations, erasures,


except in the following:
1. Sales promotion only for the
purpose of showing the
difference between the regular
and the discounted price
New Price
2. Superimposition of prices
provided only one (1) price is
visible to prevent confusion on Old Price

the part of the buyer.


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SHELF PRICING
◊ Sec. 3 (DAO 9) Establishments allowed to use shelf price
provided :
a) Use of itemized receipt or cash register tape which states
the description, size, quantity and individual price of the
consumer goods purchased; and
b) Each establishment shall install Price Verification
Counter/Machine strategically located therein to augment
shelf pricing. For purposes of determining the
effectiveness of the usage of PVC the BTRCP shall conduct
quarterly survey to determine
the necessity of installing
additional PVC for each
establishment.
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USE OF CODES
◊ General Rule: Prices of consumer products and services
shall not be written in codes
◊ Sec. 5 Shelf price in combination with Codes are allowed if
they are used in addition to the price tags, labels, markings
or price list/or which when scanned will show the price of
the item.
◊ In case of inconsistencies in the price shown on the shelf, on
the product itself or in the database price, which appears
when the item is scanned, the price which appears the
lowest shall prevail.
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ONE PRICE TAG REQUIREMENT


◊ Every retailer is required to
display a price tag to indicate
the price of each consumer
good and service.
◊ The price tag must be written
clearly, indicating the price of
the consumer product
including the Value Added
Tax (VAT) whenever the
consumer product is vatable.
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PRICE TAG PRACTICES


◊ When the consumer pays in cash, he shall pay only
the price indicated in the price tag.
◊ When the consumer pays through a
credit/ATM/debit card, he shall pay only the price
indicated in the price tag.
◊ When the retailer offers the consumer an option to
pay in cash, card or on installment, the same is
allowed provided the payment options shall be
disclosed by way of a separate information to the
consumer but not in the price tag.
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PRICE TAG MALPRACTICES


◊ Price tag indicating a
separate CASH PRICE TAG
and REGULAR PRICE TAG on
each product is not allowed.

◊ Price tag indicating a


separate CASH PRICE TAG
and CARD PRICE TAG on
each product or service is
not allowed.
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PRICE REDUCTION/
SALES PROMOTION
◊ In case of sales promotion involving
price reduction, seasonal sales,
reduced revenue sale, discount sales,
and other general or selected price
reductions, the usual price of the
New Price
products/services on sale as well as
the promotion price/or percentage of
price reduction shall be indicated in Old Price

the price tag/price list.


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PROHIBITION AGAINST
SURCHARGING BY RETAILERS
◊ All retailers who honor/accept Credit/ATM/
Debit cards for payment shall not require
the cardholder to pay a surcharge/extra
charge over and above the prices of
consumer goods and services.
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Q. WHEN ARE ERASURES OR ALTERATIONS


IN PRICE TAG ALLOWED?
A. Erasures or Alterations are
allowed only in price reduction
sales promotion campaign.

Q. ARE ARTICLES OFFERED FOR SALE AT


WHOLESALE COVERED BY THE LAW?
A. NO, only goods at retail are covered by
the law.
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Q. WHEN IS A PRICE LIST ALLOWED?


When a consumer product is too
small or the nature of which makes it
impractical to place a price tag thereon.
◊ In case of consumer services

Q. IS A PRICE TAG REQUIRED ON SAMPLES


OR DUMMIES ON DISPLAY?
A. YES, samples or dummies of products offered for
sale on retail when displayed within the retail
outlets shall also bear the prices of products
which they represent.
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PENALTIES
◊ Violations on the provisions of Articles 81 to 83 of
the Consumer Act and DAO No. 10, Series of 2005
shall be penalized under Articles 95(b) and 164 as
follows:
a) First time violation P200 but not more than
P5,000.00
b) Administrative Fine of P500 but not more than
P300.00.00
c) Additional Fine - not more than P1,000.00 for
each day of continuing violation
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