Competition watchdog accepts pharmacy franchise’s administrative undertaking

The ACCC has accepted an administrative undertaking by a pharmacy franchise after it withdrew promotions about a myDNA genetic test. 

Chemmart, which joined forces with the Terry White Group in August, withdrew all of the promotional materials pushing the effectiveness of a myDNA genetic test in identifying an individual’s response to certain drugs after contact by the Australian Competition and Consumer Commission.

The pharmacy franchise has also agreed to refrain from making any statements in the future about the myDNA test that have the potential to mislead consumers.

According to a report by Inside Retail, competition watchdog was concerned that statements in Chemmart’s catalogues, television infomercials, in-store brochures and other promotional materials about the myDNA test risked suggesting a false or misleading impression regarding the usefulness of the genetic test, and the consumers for whom it may be appropriate.

“Consumers place a high level of trust in pharmacists and the information they provide,” said Sarah Court, ACCC Commissioner.

“They’re entitled to expect that products and services in pharmacies are promoted in a way that is clear and accurate, and explains both the benefits and limitations of those products or services.

“This is a reminder to pharmacies to avoid making statements about products in advertising and promotional materials that are overly broad or which do not contain sufficient qualification, and consequently have the potential to mislead consumers.”

The administrative undertaking is provided by EBOS Group Ltd, on behalf of its subsidiary Symbion Pty Ltd, the owner of the Chemmart pharmacy franchise.