Tips from Louis the Lawyer- catalog marketing

CLARITY of communication
is the most important
consideration for agents
involved in catalogue
marketing. In section 33
of the CPA, catalogue
marketing is described
as a transaction not
entered into in person and
includes an agreement by
telephone, postal order, fax,
or any similar manner (the
latter could include online
transactions and the use of
brochures).
Important for the
agent to note is that all
cancellations, returns,
exchanges and refund
policies must be disclosed
to the client. Bear in mind
that these policies should
meet all the other CPA
requirements discussed
in previous inserts, for
example they must be
clearly visible and written in
plain language.
Section 41 of the CPA
also relates to catalogue
marketing as it deals
with false, misleading or
deceptive representations.
The part of this section
that is most important for
agents to be aware of is
the agent’s duty to ensure
that any wording used is
not misleading, ambiguous
or deceptive. The agent
is also obligated to clarify
any misunderstanding that
the client might have. In
the context of a one-on-one
sale, this may be deemed
reasonably apparent from
the client’s body language,
for example frowning during
a sale. However, this would
be very difficult to assess
via telephone or online,
so all documentation and
online information must
be carefully scrutinised
to ensure that any
misunderstanding is avoided
and addressed.
If any misunderstandings
are not corrected, the
communication may be
regarded as false or
misleading. I believe this
would include, for example,
not clearly explaining nonrefundable
deposit and
cancellation provisions.
What to do
Ensure that your
cancellation, refund and
non-refundable deposit
clauses are worded in
such a way that the
reader who is considered
an ‘average’ citizen and
someone who has not
travelled at all or much
before, can understand
them.
Do not hide your
cancellation, refund and
non-refundable deposit
clauses in unnecessarily
verbose wording or small
print.
Ensure that an objective
reading of your brochure
could not cause a possible
misunderstanding, as one
of your sales consultants
may not always be on
hand to explain it to the
client.