ACCC Takes GSK & Novartis To Court Over Misleading Marketing Of Voltaren

ACCC Takes GSK & Novartis To Court Over Misleading Marketing Of Voltaren
SHARE
THIS



The Australian Competition & Consumer Commission (ACCC) has instituted Federal Court proceedings against GlaxoSmithKline Healthcare Australia (GSK) and Novartis Consumer Health Australasia (Novartis), alleging they made false or misleading representations in the marketing of Voltaren Osteo Gel and Voltaren Emulgel pain relief products. 

The ACCC alleges that Novartis and GSK represented that Osteo Gel was specifically formulated for treating osteoarthritis conditions, and was more effective than Emulgel to treat those conditions, when the two products are identically formulated.

Both products contain the same active ingredient, diclofenac diethylammonium gel, which acts in a non-specific manner to reduce local pain and inflammation wherever it is applied. 

“We allege that consumers are likely to have been misled into purchasing Osteo Gel thinking that it is different to Emulgel and more effective for treating osteoarthritis conditions, when this is not the case,” ACCC chairman Rod Sims said. 

“In fact, the product has an identical formulation to Emulgel, and both products are equally effective in treating not only osteoarthritis, but also a range of other pain conditions.” 

Price sampling conducted by the ACCC at supermarkets and pharmacies found that Osteo Gel is often sold at a significant price premium to Emulgel. 

For example, Osteo Gel (150 grams) was found in-store at up to $7.50 (or 33 per cent) more than Emulgel (150 grams). The recommended retail price of Osteo Gel (150 grams) was $28.99 compared with $25.99 for Emulgel (150 grams). 

“We allege GSK and Novartis engaged in a deliberate commercial strategy to differentiate the products in a way that was likely to mislead consumers,” Sims said. 

“The alleged conduct is particularly concerning, given the significant penalties handed down by the court against the makers of Nurofen for what we consider to be similar conduct.” 

The ACCC is seeking declarations, injunctions, pecuniary penalties, a publication order, the imposition of a compliance program and costs.

Latest News

Clemenger BBDO’s ‘Exceptions To The Rule’ Recruitment Program Now Open
  • Advertising

Clemenger BBDO’s ‘Exceptions To The Rule’ Recruitment Program Now Open

The annual search for Australia’s best and brightest talent has launched today through Clemenger BBDO’s ‘Exceptions to the Rule’ program, with applications open for placements across Clemenger BBDO Melbourne and Sydney. ‘Exceptions to the Rule’ is a commitment to the agency’s belief that the future leaders of the creative industry aren’t solely coming through traditional […]

The Six Types Of Meetings People Despise
  • Media

The Six Types Of Meetings People Despise

Donna McGeorge (pictured below) is a speaker, author and mentor who helps people make their work work. She is also author of The 25-Minute Meeting: Half the Time, Double the Impact. In this guest post, McGeorge says most of us despise the office meeting and here’s the six worst types… I once heard a very senior leader […]

Opinion

by B&T Magazine

B&T Magazine
Mango Melbourne Announces Three New PR & Event Hires
  • Marketing

Mango Melbourne Announces Three New PR & Event Hires

Mango Melbourne, part of the DDB Group, has welcomed three new team members following recent business growth. Carol Laws (right in photo), Janette Henstridge (left) and Maddie Poulson (middle) bring with them experience across PR and events, in sectors including consumer, retail, telecommunications and fashion. An account director with previous roles at Kate & Co […]

Why Curiosity Matters In Leadership
  • Opinion

Why Curiosity Matters In Leadership

Corrine Armour (pictured below) is a leadership expert who helps leaders and organisations develop fearless leadership and deliver transformational results. Armour is also the author of Leaders Who Ask: Building Fearless Cultures by telling less and asking more. In this guest post, she asks are you a genuinely curious leader or just a judgemental one? Curiosity creates […]

Opinion

by B&T Magazine

B&T Magazine
Businesswoman hand connecting jigsaw puzzle, Business solutions, success and strategy concept
  • Media

Tealium Partners With The Lumery

Tealium, the leader in real-time customer data orchestration solutions, and The Lumery, a full-service customer experience agency, have partnered to bring to life the vision of a full MarTech ecosystem for Vocus Communications. Vocus recognised a huge opportunity for growth through the digitisation of their consumer brands. As such, Vocus has begun the process of […]

McCann Names New MD For Melbourne
  • Advertising

McCann Names New MD For Melbourne

McCann's new Melbourne MD is promising sweeping changes. Well, at the very least delicate carpet shampoo changes.