FK Distribution has been found guilty of abusing its dominant position in the physical flyer distribution market, according to a ruling by the Maritime and Commercial High Court. This decision supports the initial findings of the Danish Competition and Consumer Authority.
The case originated when FK Distribution, a part of North Media, became the sole nationwide distributor of physical flyers after PostNord ceased this service in January 2018. Subsequently, FK Distribution mandated that the distribution of physical flyers was contingent on purchasing digital display advertising on their platforms, including minetilbud.dk.
Tine Rønde, Deputy Director of the Danish Competition and Consumer Authority, stated that this condition was likely to restrict competition and was therefore illegal. The agency believes that this practice hindered competitors operating digital flyer platforms.
The Competition Council initially reached the same conclusion in 2020, prompting FK Distribution to appeal the decision. At the time, the company stated that the appeal was a matter of principle and expressed confidence in their success. FK Distribution also noted that they had changed their practices following the initial decision. The period of abuse, according to the agency, spanned from 2018 to October 2019.
The Competition Appeals Tribunal previously upheld the Competition Council’s decision in April 2021. The Competition Council has also reported the case to the police for criminal prosecution, with this aspect of the case awaiting the Maritime and Commercial High Court’s ruling.