Legal Definitions - bait and switch

The term bait and switch refers to a deceptive sales tactic where a seller advertises a product or service at an extremely attractive price or with highly appealing features (the "bait") to draw customers in. However, the seller has no genuine intention of selling that advertised item, or only has an insufficient quantity to meet demand. Once a customer expresses interest, the seller then discourages them from purchasing the advertised product and instead steers them towards a different, often more expensive, lower-quality, or less desirable alternative (the "switch"), which ultimately benefits the seller more.

This practice is considered unethical and is illegal under consumer protection laws because it misleads consumers by creating a false impression of a deal to generate traffic or inquiries, only to then push a different, less favorable offer.

• Example 1: Electronics Retailer

  A large electronics store advertises a popular 65-inch 4K smart television for an incredibly low price in its Sunday flyer, promoting it as a "doorbuster deal" available all week. A customer visits the store specifically to purchase this advertised TV. Upon arrival, a salesperson informs the customer that the advertised model "just sold out this morning" or "was a limited-quantity display model only." The salesperson then immediately tries to convince the customer to buy a similar, but significantly more expensive, model from a different brand, highlighting its "superior features" that were not advertised for the original TV. The original TV was never genuinely available in sufficient stock to meet expected demand.

  How it illustrates the term: The low-priced, popular TV was the bait used to get the customer into the store. The salesperson's immediate pivot to a higher-priced, different model after claiming the advertised item was unavailable constitutes the switch.

• Example 2: Internet Service Provider

  An internet service provider sends out flyers promising "lightning-fast fiber internet for only $40/month for new customers, guaranteed for two years with no installation fees." A homeowner, attracted by the low, fixed rate, calls to sign up. During the sign-up process, the representative explains that the "$40/month" rate only applies to a much slower, basic plan, or that the advertised speed is only available for the first three months before the price jumps significantly. They then attempt to upsell the customer to a more expensive, higher-speed plan with a different promotional structure, claiming the initial offer was "misprinted" or "only for a very limited, specific address range" that doesn't include the customer's home.

  How it illustrates the term: The attractive, low-cost, high-speed internet plan with a long-term guarantee was the bait to get the customer to call. The subsequent revelation of hidden conditions or the push for a more expensive, short-term promotional plan was the switch.

• Example 3: Car Dealership

  A local car dealership advertises a specific model of a popular SUV, fully loaded with premium features like a sunroof and navigation system, at an exceptionally low price in an online ad, stating "only one available at this price!" A potential buyer visits the dealership, asking specifically to see the advertised SUV. The salesperson shows the customer a stripped-down version of the same model, lacking many of the advertised premium features, and explains that the "fully loaded" version at that price "just sold this morning" or "was a data entry error." They then try to sell the customer the basic model at a higher price than the advertised fully loaded one, or pressure them into buying a different, more expensive model altogether, claiming it's a "much better value."

  How it illustrates the term: The fully loaded SUV at an unbeatable price was the bait to attract the customer to the dealership. The unavailability of that specific car and the subsequent push to buy a different, less desirable, or more expensive vehicle constituted the switch.