DTI to sanction Taragis store owner if April 1 ‘promo’ lacks permit

(Photo from the video posted by Taragis on Facebook)

MANILA, Philippines — The owner of the Japanese snack shop named “Taragis,” who admitted to orchestrating an April Fools’ Day prank, could potentially encounter penalties if it’s confirmed that they lack a sales promotion permit from the Department of Trade Assistant (DTI), said a trade official on Thursday.

According to Trade Assistant Secretary Amanda Nograles, the act cannot be considered a sales promotion until store owner Carl Quion confirms that the prank was indeed scripted.

“Kung inaamin niya na marketing gimmick ‘yan, na ang intensyon ay para mang-engganyo na i-patronize ‘yung brand nya, sumikat ‘yung kanyang establishment, or kumbaga, para lalong dumami ang sales nila, so lumalabas na para talaga siyang promotional in that sense,” she explained over a Bagong Pilipinas Ngayon briefing.

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(If he admits that it’s a marketing gimmick, intended to attract customers to patronize their brand, to make the establishment famous, or to further increase their sales, it appears that it’s really promotional in that sense.)

“At kung wala silang DTI permit, pwede silang papanagutin ng DTI ng violation ng conducting ng promotion without securing first a DTI sales promo permit,” Nograles noted.

(And if they have no DTI permit, they can be sanctioned by the DTI for violation of rules on promotion without first securing a DTI sales promo permit.)

Nograles, who also heads the DTI consumer protection group, then advised all business establishments planning to engage in promotional or marketing gimmicks to first secure a sales promotion permit from the DTI.

“Kapag gagawa po tayo ng marketing stunt, mahuhulog ‘yan sa definition sa sales promotion, kasi ano ba ang purpose ng marketing stunt? Para dumami ‘yung mga customer mo, para tumaas ‘yung sales, at tsaka para lalong sumikat ‘yung brand,” she said.

(When doing a marketing stunt, it will fall under the definition of sales promotion because what is the purpose of the marketing stunt? To increase the number of customers, increase the sales, and make the brand more famous.)

Nograles said that if business owners are proven to be involved in marketing gimmicks without a permit, the DTI will require them to explain their actions through a show cause order.

She also mentioned that upon application for a sales promotion permit, the DTI checks the mechanics, scope, mode of winning, legality and morality of the activity.

On April 1, a store that sells Japanese snack Takoyaki posted a photo on its official Facebook page announcing that it would give P100,000 to someone who would have the store logo tattooed on his or her forehead.

The contest seemed legitimate until one clicks to see the whole photo, revealing that it was actually an April Fools’ Day prank.

However, a “challenger” accepted the dare and commented with a photo of the logo of the store tattooed on his head.

The person garnered sympathy and even cash donations, while the store received backlash.

In a video posted on the official Facebook page of “Taragis” a few days later, Quion admitted to planning a scripted April Fools’ prank way back on April 1, 2023 to gain traction for his business.