§ 5-94 Range Discounts: "% to % Off," "Up to % Off Selected" and Similar Terms.
RCNY § 5-94
(a)If an advertiser uses terms such as: "Savings of ____ % to ____ %" "____ % to ____ % off" or other similar terms to indicate a price range, then: (1) the minimum percentage reduction must be stated as conspicuously as the maximum percentage reduction; and (2) the price from which the discount or reduction is taken must be either a genuine list, suggested or catalog price, the retail market price or the advertiser's bona fide selling price, for the same articles or services, unless another basis is clearly stated; and (3) "out-of-store" advertisements must disclose which of the above standards was or were used (if a single advertisement relates to merchandise or services offered at reductions according to different standards, it must disclose which standards apply to which types of merchandise or services); Example: "____ % to ____ % off the manufacturer's price" "____ % to ____ % off last year's price." (4) at least 15 percent of all types, models, or categories of items or services on sale in the advertised category must in fact be reduced by the maximum percentage reduction and a representative number of other models or types or services must be offered at various points in the range significantly separated and representatively scattered. Example: "PORTABLE RADIOS AND TELEVISIONS 10%-50% off our former prices" Complies if at least 15 percent of all models of portable radios and televisions available are selling at 50 percent off, and a representative number of the remaining models are offered at various points between 10 and 50 percent representatively scattered throughout that range.
(b)If the terms: "discounts from ..... %" "up to ...... % off" "as high as" "save up to ..... %" or other similar terms are used to advertise a range of reductions with no specified minimum reduction, (1) the prices used for comparison must be the advertiser's bona fide selling price, the retail market price, or a genuine list, suggested price for the same articles or services, unless another basis or a qualification is clearly stated; (2) "out-of-store" advertisements must disclose which of the above standards was or were used; (3) at least 15 percent of all the types, models, or services on sale in the advertised categories must be offered for sale at the stated maximum percentage reduction; and (4) a representative number of the remaining models or types or services must be offered at various points representatively scattered throughout the range from the stated maximum percentage reduction to the bottom of the range, or the majority of such other models or types or services must be offered at points in the higher portion of the range. Example: "BRAND Y CASSETTE TAPE RECORDERS" "Up to 30 percent off" Complies if at least 15 percent of all models of Brand Y Cassette tape recorders available are selling at 30 percent off and the remaining models are offered at various points representatively scattered throughout the range below 30 percent or the majority of the remaining models are offered at points in the higher portion of the range. If the range is 0-30 percent, the majority of the remaining models would have to be offered above 15 percent; if the range is 10-30 percent, the majority would have to be offered above 20 percent.
(c)If terms such as "formerly $ ..... to $ .....; now $ ....." are used, the maximum price in the range of advertised former prices must represent the advertiser's bona fide selling price for at least 15 percent of all the types, models or services advertised. Bona fide selling prices for the other items or services must have been at levels representatively scattered through the range of advertised former prices.
