What is a bait and switch?

Definition

A bait and switch is a sales tactic in which a customer is attracted by the advertisement of a low-priced item but is then encouraged to buy a higher-priced one.

Full glossary
Category
Scams
Also called
bait-and-switch, bait advertising
Last updated

Merriam-Webster defines a bait and switch as a sales tactic in which a customer is attracted by the advertisement of a low-priced item but is then encouraged to buy a higher-priced one. A second sense covers offering someone something desirable to gain their favor, then delivering something less desirable. The word has been in use in this meaning since 1962.

How it works

The bait is an offer that looks too good to pass up: a phone at a fraction of the usual price, a cheap flight, a free trial. The switch comes when you respond. The item is "just sold out", it's "not really suitable for you", or it turns out to have a catch, and the seller steers you to a more expensive alternative.

In the US, the Federal Trade Commission has Guides Against Bait Advertising (16 CFR Part 238). Its sections cover the bait advertisement itself, the initial offer, discouraging the purchase of the advertised item, and a switch after the sale.

A typical online example

You see a listing for a laptop at half price. When you click, the seller says that model is out of stock but offers a pricier one. Or you sign up for a "free" service and find that the features you wanted are only in a paid tier.

Why it matters for privacy and scams

Online, the bait often serves a second purpose: getting your details. A "free" offer may ask for your email, phone number or card details before you see the real terms. Once a scammer has them, the offer disappears and your details stay with them, which sets you up for phishing and spam.

  • Phishing pretends to be someone you trust to steal information. A bait and switch pretends to be a good deal.
  • Pretexting invents a false story to get information from you. A bait and switch changes the offer after you have shown interest.

How to protect yourself

  1. 1

    Be wary of prices far below the market

    If a deal is much cheaper than the same item elsewhere, find out why before you enter any details.

  2. 2

    Read the terms before you hand over data

    A free offer that wants your card number or phone number up front deserves a second look at what you're agreeing to.

  3. 3

    Don't accept the substitute under pressure

    If the advertised item is gone, you can walk away. Take time to decide on any replacement.

  4. 4

    Pay by a method you can dispute

    Credit cards and some payment services let you dispute a charge if the seller doesn't deliver what was advertised.

  5. 5

    Report it

    In the US you can report deceptive advertising to the FTC at reportfraud.ftc.gov.

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Frequently asked

Is bait and switch illegal?

Bait advertising is something the FTC has issued guides against in the US, and it can break consumer protection law elsewhere. Whether a specific case is illegal depends on the facts and where you live, so ask a consumer protection agency or a lawyer.

What is a bait and switch scam example?

An ad for a brand-name item at a very low price, followed by a message that it is out of stock and a pricier substitute is on offer.

What is the difference between bait and switch and false advertising?

False advertising means the claims in an ad are untrue. A bait and switch can use a truthful ad for an item the seller never intended to sell, then pushes you to buy something else.

Sources

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