Coles' par-baked bread claims misleading, Federal Court finds

False, misleading and deceptive: these were the terms the Federal Court used to described Coles’ “Freshly Baked” and “Baked Today” marketing claims.

The Australian Competition and Consumer Commission (ACCC) instituted Federal Court proceedings against the supermarket giant after a number of consumer complaints about some of its Cuisine Royale and Coles Bakery bread products, which were found to have been par-baked off-site, frozen and ‘finished’ at Coles stores.

Coles promoted these products using claims such as “Baked Today, Sold Today” and occasionally “Freshly Baked In-Store”.

“The ACCC brought these proceedings because it was concerned that Coles’ “Baked Today” and “Freshly Baked” claims about par-baked bread were likely to mislead consumers,” ACCC Chairman Rod Sims said.

“These claims also placed independently owned and franchised bakeries that freshly bake bread from scratch each day at a competitive disadvantage.

“[The] decision confirms that Coles misled consumers about the baking of these bread products. Consumers should be able to rely on the accuracy of credence claims made by businesses like Coles to promote their products, especially where those claims are used to compete with smaller businesses which are genuinely offering a differentiated product.”

A Federal Court hearing will be held at a later date to determine the outcome of the case. The ACCC is seeking penalties, declarations, injunctions, costs and other orders.