CRESTA FURNITURE COMPLAINS TO OFFICE OF FAIR TRADING ABOUT PRICE FIXING OF NATUZZI FURNITURE

Retailer notifies competition watch-dog about “consumers being ripped-off”

Preston furniture retailer Cresta Furniture Limited has today complained to the Office of Fair Trading that consumers are paying artificially inflated prices for Natuzzi furniture because of unlawful price fixing arrangements operated in the United Kingdom by the Italian furniture manufacturer.

The Office of Fair Trading has been provided with evidence of how Natuzzi took steps to ensure that consumers could not obtain furniture at prices lower than those set by Natuzzi, including a secret recording of a meeting of distributors in Manchester on 9 April 2008 where Natuzzi sought agreement that consumers would not be offered Natuzzi furniture at prices less that the recommended retail price less 20%.

Cresta has also brought a claim against Natuzzi for unlawful price fixing as Natuzzi has tried to stop Cresta selling its furniture at prices lower than those set by Natuzzi. At a hearing in the High Court Mr Justice Briggs remarked to Cresta’s legal advisors “Take it as read that your materials have thus far persuaded me that it is an arguable case that they are trying to force you as a reluctant independent into a price fixing arrangement which they wish to have in place with all their UK distributors…..”

Cresta has distributed Natuzzi furniture for the last seventeen years. “We have always sought to provide our customers with what they want – high quality furniture at the best price” remarked Cresta spokesman Neil Stewart `We believe in the benefits of free competition, price fixing is unlawful, Cresta will not be party to ripping off customers`

The Office of Fair Trading has the power to investigate and fine any company engaging in unlawful price fixing. Consumers who have suffered loss as a result of unlawful price fixing may seek compensation for their loss. “Thousands of consumers may have paid thousands of pounds more than they needed to for the Natuzzi furniture that they have bought. We have asked the Office of Fair Trading to take immediate action to end unlawful price fixing by Natuzzi. Consumers must be protected” remarked Mr.Stewart.

Natuzzi SpA is Italy’s largest furniture manufacturer with a turnover of €660m. Cresta is an independent retailer based in Preston, Lancashire .Natuzzi sells its furniture through Harrods, Selfridges, House Of Fraser, Barker and Stonehouse, Natuzzi owned stores and various other independent retailers.

Ends

Notes for editors:

For more information on this issue please contact the Cresta spokesperson, Neil Stewart, on 07895 695984 or email

Press contact: Neil Stewart

Tel: 01772 709638

Mob: 07895 695984

Email: 1288b19



  Comments (12)
1. Written by RealityCheck on February 16, 2012 from leicester, england, UK
Well, I bought a sofa from the natuzzi main dealer and had horrific delays on delivery, poor customer service with plenty of broken promises and faulty products. Your brand has a lot of issues to solve I think!
2. Written by keepcalmandcarryon on February 20, 2010 from woking, england, UK
Sure, customers ripped off. Not by Natuzzi but by CRESTA!
3. Written by keepcalmandcarryon on February 20, 2010 from woking, england, UK
Order placed in Sep 09 while Cresta was fully aware that furniture would not be delivered. Where is our furniture? Where is our money? We were told by Cresta that delivery was now 4 weeks off and would we now pay the outstanding balance? We were surprised that delivery would be before Xmas! What a scam, what a rip off. How could they? Anyway Cresta has now gone into liquidation and we, the little customer,end up with nothing! :(
4. Written by keepcalmandcarryon on February 20, 2010 from woking, england, UK
Order placed in Sep 09 while Cresta was fully aware that furniture would not be delivered. Where is our furniture? Where is our money? We were told by Cresta that delivery was now 4 weeks off and would we now pay the outstanding balance? We were surprised that delivery would be before Xmas! What a scam, what a rip off. How could they? Anyway Cresta has now gone into liquidation and we, the little customer,end up with nothing! :(
5. Written by PISSED OFF CRESTA CUSTOMER! on February 3, 2010 from birmingham, england, UK
Lancashire Evening Post: Published Date:  

30 January 2010  

By Matthew Squires  

 

Furious customers who paid out thousands of pounds for new furniture have been left in limbo because of a row between a Preston firm and its supplier. 

 

Italian company Natuzzi is involved in a long running dispute with Ribbleton-based company Cresta – leaving customers out of pocket. Now, after paying up to £3,100 for the goods, customers have received a letter from Natuzzi saying they may never receive them. 

 

The row centres over allegations of price fixing made by Cresta about Natuzzi and subsequent ongoing high court action. 

 

College lecturer Paul Jones, 32, from Penwortham, is among the customers who has not received his furniture.  

 

He staged a four-hour sit-in protest at the Cresta store after waiting more than 20 weeks for his £1,150 of furniture. 

 

He said: "On September 12 I went to Cresta and purchased a three-seater sofa and a single chair. They estimated that the delivery date would be December 19 and I was assured that it would be before Christmas." 

 

After it failed to show up on that date, he was told bad weather had affected deliveries and he would have his goods by the middle of January. 

 

But on January 8 he got the letter from Natuzzi. He rang Cresta again 

who insisted the furniture would arrive within seven days. 

 

"It didn't add up so I went into the store and there were two other customers there with the same letter, very irate." 

 

"My problem is not with Natuzzi, my contract is with Cresta. The most frustrating thing is they keep saying my furniture is going to come when I have a letter from the maker saying it isn't." 

 

Another customer, Brian Wareing, 57, from Bamber Bridge, bought almost £2,000 worth of Natuzzi goods in August last year. 

 

He said: "As soon as July comes the bank will be asking us to pay the money for the suite and we won't have any goods the way it is looking." 

 

Cresta has apologised and says the problem has been caused by a dispute between the firms after it refused to sell Natuzzi furniture at pre-fixed higher prices. 

 

High Court action, and reporting Natuzzi to the Office of Fair Trading, has led to orders being delayed, the company claims. 

 

A spokesman said: "Cresta is currently still working to reach a settlement with Natuzzi which it hopes will result in outstanding deliveries being made and some compensation to customers who have waited." 

 

A spokesman for Natuzzi said: "The court will deal with all matters raised, including any allegations of resale price maintenance – allegations that Natuzzi are vigorously defending against." 

 

Jim Potts, Lancashire's chief trading standards officer, said: "Clearly while it is laudable they are seeking to sell furniture at a good price, at the end of the day if they have a contract to sell furniture at a certain price, it remains the responsibility of Cresta to make sure they either get the goods for customers or refund them in the event of non-supply." :( :( :( WHY TAKE CUSTOMERS ORDERS AND MONEY WHEN YOU CRESTA KNEW YOU HAD A PROBLEM AND THE CUSTOMERS WOULDN'T GET THERE SOFAS!!! CRESTA MADE THIS PROBLEM BIGGER JUST TO GIVE BAD PRESS TO NATUZZI!!!! :( :(
6. Written by Staff on February 3, 2010 from birmingham, england, UK
Natuzzi is a high class retailer selling beautiful designer sofas and accessories to the top end consumer. As a member of staff I am feed up with customers telling us that they have bought a Natuzzi sofa outside of Natuzzi and at *** prices! After buying from an independent retailer the customers then tells us of many problems from customer service and damaged furniture that the retailer will not put right or repair! The customer then calls the store thinking we can help, but we can’t - they didn’t buy from the main dealer!  

 

At the end of the day you can’t buy a Louis Vuitton handbag outside of Louis Vuitton, so if you bought a designer handbag on eBay and think it is rubbish then you are probable right! You get what you pay for!!! Why should we be in a price war with ourselves? Natuzzi should pull out of all retailers and just run their own stores, that way we will keep the high standard and image of Natuzzi (HIGH CLASS AND NOT CHEAP!)
7. Written by Natuzzi Staff on February 3, 2010 from birmingham, england, UK
Natuzzi is a high class retailer selling beautiful designer sofas and accessories to the top end consumer. As a member of staff I am feed up with customers telling us that they have bought a Natuzzi sofa outside of Natuzzi and at *** prices! After buying from an independent retailer the customers then tells us of many problems from customer service and damaged furniture that the retailer will not put right or repair! The customer then calls the store thinking we can help, but we can’t - they didn’t buy from the main dealer!  

 

At the end of the day you can’t buy a Louis Vuitton handbag outside of Louis Vuitton, so if you bought a designer handbag on eBay and think it is rubbish then you are probable right! You get what you pay for!!! Why should we be in a price war with ourselves? Natuzzi should pull out of all retailers and just run their own stores, that way we will keep the high standard and image of Natuzzi (HIGH CLASS AND NOT CHEAP!)
8. Written by Natuzzi Staff on February 3, 2010 from birmingham, england, UK
Natuzzi is a high class retailer selling beautiful designer sofas and accessories to the top end consumer. As a member of staff I am feed up with customers telling us that they have bought a Natuzzi sofa outside of Natuzzi and at *** prices! After buying from an independent retailer the customers then tells us of many problems from customer service and damaged furniture that the retailer will not put right or repair! The customer then calls the store thinking we can help, but we can’t - they didn’t buy from the main dealer!  

 

At the end of the day you can’t buy a Louis Vuitton handbag outside of Louis Vuitton, so if you bought a designer handbag on eBay and think it is rubbish then you are probable right! You get what you pay for!!! Why should we be in a price war with ourselves? Natuzzi should pull out of all retailers and just run their own stores, that way we will keep the high standard and image of Natuzzi (HIGH CLASS AND NOT CHEAP!)
9. Written by Disgruntled customer on January 16, 2010 from manchester, england, UK
I placed my order in July and still waiting for delivery. When did you placed yours?
10. Written by Noni2233 on December 3, 2009 from london, england, UK
Hey guys, you know what they say - NO SMOKE WITHOUT FIRE! 

 

Why is a huge company like Natuzzi replying on a consumer forum website?!? Back off Natuzzi this site is for us, THE CONSUMERS!!!

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