Advertise with fastmoving.co.za
 
 

Woolworths will not be keeping the profits it made from the sale of baby carriers similar to those of a Cape Town-based small business, Ubuntu Baba.
Woolworths will not be keeping the profits it made from the sale of baby carriers similar to those of a Cape Town-based small business, Ubuntu Baba.

Woolworths to donate profits from baby carriers and pay back Ubuntu Baba

RETAILER NEWS

By Lameez Omarjee - Feb 11th, 15:10

Woolworths will not be keeping the profits it made from the sale of baby carriers similar to those of a Cape Town-based small business, Ubuntu Baba. 

This is according to a joint statement issued by Woolworths and Ubuntu Baba on Friday afternoon after the parties reached a resolution.

Founder of Ubuntu Baba Shannon McLaughlin in January blogged about how Woolworths appeared to have copied her baby carrier product.

Following an investigation, Woolworths admitted there were "striking similarities" between the products and subsequently pulled the baby carriers from shelves.

The retailer later said it would also remove Woolworths branding from the carriers and donate the carriers to under-resourced communities.

The parties continued to engage on proposals for the development of small businesses.

As part of the joint statement on Friday, Woolworths announced it would not be "retaining any profits" from the baby carrier sales. It would donate a "large portion" of those proceeds to a "credible institution" to educate, support and develop small businesses in SA.

"The remaining proceeds will be paid to Ubuntu Baba." No amounts were mentioned.

The retailer said it would also be putting in place measures to avoid similar incidents in the future.

"Some examples of these enhanced measures include an Intellectual Property e-learning module to ensure enterprise-wide reach of training, increasing Intellectual Property training to Woolworths employees and all relevant suppliers, and to explore additional systems functionality to support these measures," the statement read.

Woolworths added that investigations into two employees who ordered Ubuntu baba carriers found they had done so in their personal capacity, as "legitimate mothers-to-be".
Fin 24 

Related News

Five things you need to know about the pharmaceutical industry
14/06/2019 - 11:10
The pharmaceutical sector - both locally and globally - is following suite with general retail and going through uncertain times. More consumers are shopping the basics with baskets of necessities only. As CEO of the Shoprite Group, Pieter Engelbrecht, said in response to their interim results (which speak for the average South African), “In the external operating environment, economic conditions have left the group's core customer under significant financial pressure.”

Shoprite opens its first distribution centre in Botswana
13/06/2019 - 09:40
Shoprite Botswana recently opened its own world-class distribution centre (DC) in Taung, Gaborone.

British online fashion retailer Boohoo bucks subdued industry trend
13/06/2019 - 09:12
British online fashion group Boohoo bucked a tough retail market with robust sales growth in its latest quarter as its offer of cheap clothing, delivered quickly, chimed with shoppers.

Woolworths share price recovers on renewed optimism
13/06/2019 - 09:04
Shares in Woolworths have rebounded in recent weeks, thanks to a recovery in the sector and optimism that the worst may be over for the high-end retailer, whose foray into Australia has proven costly for investors.

Retail sales jump in April, giving hope of avoiding a recession
12/06/2019 - 15:44
SA’s retail sales jumped 2.4% in April, led by clothing retailers, adding to hopes that a technical recession may be avoided in the second quarter.