Customers of the deals website Groupon who were told by the firm they had to accept a credit note could be due cash refunds after the UK’s competition watchdog ordered the company to improve the way it treats users or face legal action.
The Competition and Markets Authority (CMA) said this week it had found evidence that Groupon does not always provide customers with refunds or replacement items when there is a problem with an order. Shoppers have sometimes only been offered Groupon “credits”, potentially breaking consumer law, it says.
Groupon started out selling vouchers for experiences such as hotel teas and outdoor activities, and now sells a bewildering range of “discounted” items and services – from lawnmowers to deodorant.
The company partners with retailers and other service providers to offer items, and helped to spawn a huge voucher and deals industry. However, some customers have reported huge frustration when it comes to getting refunds or a replacement when the service or item can’t be provided as advertised or simply fails to arrive.
The CMA has told…