Advertising Law Update: The Federal Council decided on October 30, 2024, to amend the Price Disclosure Ordinance (PBV); the amendment to the ordinance came into force on January 1, 2025. The associated changes are outlined below.
The PBV and the Previous Regulation
When disclosing two prices, the normal and the reduced price, the conditions of the PBV must be observed. It does not inherently restrict the freedom to set prices, but rather regulates the ways in which price developments can be indicated.
The PBV was revised in the area of so-called self-comparison to offer companies more flexibility in price disclosure. The new regulation reduces administrative effort and complements the existing provisions for disclosing comparison prices, especially the so-called halving and two-month rule.
Previously, providers were only allowed to state comparison prices for a maximum of half the period they were previously valid – but no more than two months. The announcement of promotions or discounts was thus limited to a maximum duration of two months, and a two-month promotional price campaign required that the regular price was valid for at least four months before or after the promotion (the so-called halving rule). Under these conditions, temporal (or possibly also quantitative) restrictions on price advantages could be announced without further ado.
More Flexibility with Discounts
The new version of Art. 16 PBV now grants providers a second option: Comparison prices can now also be used indefinitely, provided that the goods or services were offered at the comparison price for at least 30 consecutive days. This makes price comparison more flexible for providers and reduces labeling effort and costs.
Additionally, providers can, after a temporary removal of a product from the offering, still refer to the last comparison price without having to re-limit this period.
The State Secretariat for Economic Affairs SECO has not yet updated the Guidelines on the Price Disclosure Ordinance. However, an update is expected.
This article is part of a series of updates and developments in advertising law:
- Advertising Law Update 1: Amendment to the Price Disclosure Ordinance – More flexibility in advertising with discounts (current article)
- Advertising Law Update 2: New rules for green claims in advertising
- Advertising Law Update 3: New Swiss youth protection rules for streaming services
- Advertising Law Update 4: Partial Revision of the Value Added Tax Act: Introduction of Platform Taxation from January 1, 2025
