Simply implement legal requirements

Legally compliant price information with ESL labels

Correct and clearly legible price information is required by law. The German Price Indication Ordinance (PAngV) obliges retailers to display prices clearly on the shelf. Price Indication Regulation: Legal certainty with ESL labels is therefore an important topic for the retail sector. If prices are not up to date or accurate, there is a risk of warnings and loss of trust.

Find out here how electronic price tags can help you to efficiently comply with legal requirements and minimize risks.

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Beratung zur Preisangabenverordnung (PAngV) mit Dokument auf Klemmbrett – elektronische Preisschilder unterstützen bei der korrekten Preisangabe

1 What does the PAngV require?

The PAngV obliges retailers to indicate prices transparently:

  • Total price: Every sales price must be stated gross including VAT.
  • Base price: For products by weight/volume/length, the base price must also be shown(source : ihk.de). For loose goods, the basic price is usually sufficient.
  • Legibility and allocation: Prices must be "easy to read" and clearly attributable to the product(source : it-recht-kanzlei.de).
  • Information for promotions: In the case of price reductions, the lowest comparative price of the last 30 days must be shown since 2022(source : ihk.de). This also applies to special offers.
Elektronische Preisschilder im Supermarktregal – gesetzeskonforme Preisangabe gemäß PAngV dank automatisierter Preisauszeichnung
Information

Clear price labeling complies with the law and enhances the customer experience. It must be clear to the customer at a glance what the final price is. Violations can result in fines and warnings.

2. court rulings show: Errors in price information can be expensive

Courts in Germany and Poland confirm: Unclear or missing price information leads to sanctions. Retailers are obliged to display prices transparently and in accordance with the law - regardless of the advertised product or offer.

Düsseldorf Regional Court, 38 O 182/22 (31.10.2024)

Issue: In October 2022, a large German supermarket chain advertised a 23% price reduction on Fairtrade bananas. The previous price was shown as €1.69, although the product had already been sold for €1.29 at times in the previous 30 days. The advertising was therefore misleading about the actual lowest price.

Decision: The Düsseldorf Regional Court deemed this to be a violation of Section 11 (1) PAngV. The misleading indication of the reference price was not clearly comprehensible for consumers. The supermarket chain was ordered to cease and desist and to reimburse costs.(Source : nrwe.justiz.nrw.de)

Regional Court Amberg, 41 HK O 334/23 (29.01.2024)

Facts of the case: A large German discounter advertised a 36% discount on a 500 g pack of branded coffee in a brochure. The previous price was stated as €6.99, although the product had already been offered for €4.44 in the last 30 days. The discount was therefore not based on the actual lowest price.

Decision: The Amberg Regional Court found this to be a violation of Section 11 (1) PAngV. The reference price information was not comprehensible and therefore misleading. The discounter was ordered to cease and desist and must adapt future price advertising to the legal requirements.(Source : rsw.beck.de)

OVG Warsaw: II GSK 1061/23 (30.01.2024)

Issue: A Polish retailer operated a business that was officially designated as a wholesale business but also regularly served end customers. During an inspection, the price and quantity labels on the goods were missing. The reference "wholesale only" was not sufficient to waive the legal obligation to label prices to consumers.

Decision: The Administrative Court in Warsaw and the High Administrative Court confirmed the fine imposed. Both emphasized that when selling to consumers, the price and unit price must always be clearly and visibly indicated - even in the case of mixed sales models.(Source : inforlex.pl)

Gestresster Händler am Schreibtisch – Unsicherheit durch rechtliche Risiken bei der Preisauszeichnung mit Papieretiketten gemäß PAngV

3. paper labels - a legal risk

Conventional, paper-based price labeling is time-consuming and error-prone:

  • High labor costs: every price change (e.g. promotional prices, VAT adjustment) requires individual printing and replacement of labels in-store - a huge time and labor cost driver.
  • Susceptibility to errors: Manual entries easily lead to errors or outdated promotional prices on the shelf, which irritates customers and requires immediate corrections.
  • Legal uncertainty: Manual processes increase the risk of pricing errors - with possible consequences such as warnings, fines or reputational damage.

These challenges make it clear that purely manual price labeling is no longer up to date in complex store structures.

Regal Rechtssicherheit ESL

4. ESL labels: More legal certainty at the shelf

Legally compliant price labeling is essential in retail - especially in the case of frequent price changes, seasonal promotions or complex product range structures. Incorrect or incomplete information can not only lead to warnings, but also affect customer confidence.

ESL labels offer a reliable solution here: they guarantee the correct display of all mandatory information, reduce manual sources of error and ensure price transparency directly at the shelf:

All mandatory information available

ESL labels ensure that mandatory information such as gross price, base price and strike price is displayed completely and correctly on the shelf at all times. Central control prevents gaps in the implementation of legal requirements - especially in the case of frequent price changes or short-term promotions.

Correct price display on the shelf

ESL labels reliably display the currently valid final price on the shelf in real time - regardless of whether it is a regular change or a promotion. Price discrepancies between shelf and checkout are thus avoided, preventing legal conflicts and customer complaints.

Transparency through additional information

ESL labels offer space for more than just the price: basic prices, units of measure, duration of promotions, QR codes or even origin information can be displayed directly. This extended information provides orientation and also meets increased consumer education requirements.

Reduction of price errors

The risk of human error increases at peak times or when several price promotions are running at the same time. ESL labels significantly reduce these risks: all price details are automatically transferred from the merchandise management and checkout system - complete, consistent and legally compliant, even when there is high footfall in the store.

ESL labels therefore offer not only a technical, but also a legally robust basis for modern price labeling in retail. They help companies to implement legal requirements securely, optimize operational processes and reliably meet customer expectations for price clarity and transparency.

OMS Retail supports you in implementing digital price labeling - efficiently, legally compliant and tailored to your requirements.

Get a non-binding consultation now

5. comparison: ESL labels vs. paper labels

Paper labels are associated with a high level of manual effort and entail an increased risk of incorrect or incomplete information. ESL labels, on the other hand, offer a structured, automated alternative that leads to greater process reliability, accuracy and transparency at the shelf. The comparison shows the most important differences:

Rechtssicherheit Aktualisierung

Update

Paper labels: Each price change has to be printed out and replaced individually - very time-consuming and labor-intensive.

ESL labels: Central cloud management enables real-time updates of all labels. Price changes are transmitted wirelessly to all shelf labels in seconds.

ESL Rechtssicherheit Fehlerrrisiko

Risk of error

Paper labels: Manual entries often lead to outdated or incorrect prices - causing unnecessary confusion at the checkout.

ESL labels: Automatic data transfer means that shelf and checkout prices always match - for clear and error-free price labeling.

Rechtssicherheit Rechtsklarheit

Legal clarity

Paper labels: Manual processes often lead to missing basic prices or late information - this is not legally compliant.

ESL labels: High security thanks to centralized processes: Legal requirements are met automatically. All mandatory information is correct, up-to-date and synchronized at all times.

Rechtssicherheit Transparenz

Transparency

Paper labels: Only basic information possible - additional product information and special instructions are missing.

ESL labels: Extended information directly on the label: All relevant prices and additional information (promotions etc.) are displayed. This increases customer confidence and satisfaction.

6 Invest in legally compliant price labeling with OMS Retail

Electronic price labels combine legal compliance with state-of-the-art efficiency. They help retailers to easily comply with the strict requirements of the Price Indication Ordinance and at the same time create transparency and flexibility on the shelf. Instead of error-prone paper labels, ESL labels offer a future-proof solution: current prices and mandatory information are available and synchronized at all times. This not only makes price labeling legally compliant and customer-proof, but also increases the efficiency and competitiveness of retailers. The use of electronic price labels combines legal certainty with a noticeable increase in productivity - an investment that quickly pays for itself.

OMS Retail supports companies as a manufacturer-independent full-service partner in all project phases - from planning and installation to ongoing maintenance. With over 20 years of experience in the industry and a team working across Europe, we offer solutions that make processes efficient and meet the demands of a digital clientele.

Get in touch now Our ESL service

USING ESL EXPERTISE

Your way to digital price labeling!

For further information, please contact Mr. Christoph Lange for a non-binding consultation.

Christoph Lange - Contact for digital price tags and retail services

Christoph Lange

Our ESL expert will be happy to advise you.

Mail: info@oms-retail.com
Call: +49 (0)511 / 515 283-0

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