Short Rules on Price Reduction Campaign in Serbia

• Price reductions 
  • clearance sale 
  • seasonal sales promotion
  • price promotion (i.e., price reduction)
• Loyalty programs
• Free products and coupons
• Introductory offer price

According to the Trade Law, it is prohibited to advertise price reduction for goods in such a small quantity so that it is obvious that the seller intends to attract customers to buy different products. The exception to this rules is the situation when the seller clearly indicates available quantities at the beginning of the sales promotion.

Clearance sale may be run in situations where the seller is closing down its business or shutting specific outlets or canceling the sales of certain products. The seller is obliged to physically separate goods that are subject to clearance sales from other products that are sold under regular terms. From the beginning of clearance sales until its end, the seller cannot order or increase the stock of products offered through the clearance sales. 

Yes. Price reduction campaigns cannot last for a period longer than 31 calendar days.

Seasonal sales periods are set by the law. Trade Law foresees two seasonal sales periods per year, and they are annually fixed. The winter sales period may commence from  25 December until 10 January, whereby the summer sales period may commence from 1 July until 15 July. During these sales periods, the seller may start seasonal sales that can last maximum 60 calendar days.  

Price reduction needs to be announced by indicating a new (lower) price together with the indication of the previously applied (higher) price. The only exception is if the price promotion period is shorter than 3 days when the seller may indicate price reduction in terms of percentage. 

Prior price does not have to be crossed out. 

No.

If the seller does not comply with the price promotion requirement this may constitute a misdemeanor and subject to an administrative fine administrative fine ranging from RSD 500,000 (approx. EUR 4,250) to RSD 2,000,000 (approx. EUR 17,000). The responsible person may be inflicted with a fine ranging from RSD 50,000 (approx. EUR 450) to RSD 150,000 (approx. EUR 1,200). In addition, a protective measure prohibiting performance of certain business activities can be imposed on both the legal entity and the responsible person as well as public announcement of the judgement.