Consumer watchdog collars Trivago over ads

HOTEL comparison website Trivago said it would “vigorously defend” itself after Australia’s consumer watchdog launched court action against their viral television ads.

The ACCC alleges the company made misleading hotel pricing claims in the TV ads and online, breaching Australian Consumer Law.

The ads, featuring glamorous Aussie model Gabrielle Miller, aired from at least December 2013, the ACCC alleges, and were shown more than 400,000 times.

The ACCC alleges the ads claimed to spruik an impartial and objective price comparison service when, in fact, Trivago’s website prioritised advertisers who were willing to pay the highest cost-per-click fee.

Trivago spokesman Sydney Burdick said Trivago’s priority was “to enable Australian travellers to find their ideal hotel”.

“We are disappointed by the action the ACCC has chosen to take in relation to trivago and will vigorously defend our interests,” he said.

In a statement yesterday, the commission said Trivago’s website, which displays prices from online travel sites and hotels, highlighted one price out of all their advertisers, which the ACCC alleges created an impression it was the best deal.

However, the ACCC alleges that in many cases the highlighted price was not the cheapest available at that hotel.