Survey highlights lack of awareness of online returns and Distance Selling Regulations
There is a major gap in consumer knowledge surrounding Distance Selling Regulations and online returns, according to new research.
The latest eCustomerServiceIndex results from eDigitalResearch found that of the 2,000 online consumers surveyed, only 42% claimed to have heard of the Distance Selling Regulations.
Of those that were aware of the regulations, just two thirds (69%) rightly said that they were entitled to cancel an online order within seven days. 30% also correctly identified that if they returned an item, they would be entitled to a full refund including any standard delivery costs. However, 41% wrongly said that they should not receive a refund for any standard delivery costs when returning an online purchase, highlighting a major lack of consumer knowledge regarding Distance Selling Regulations.
The Distance Selling Regulations clearly state that when someone returns an online order, they are entitled to a full refund, including any standard delivery costs. Yet 40% of those surveyed claimed that they had experienced at least one situation where their delivery costs were not refunded when returning an item. Furthermore, an outstanding 88% of these shoppers said they were told by retailers that their delivery costs were not refundable.
Never Miss a Retail Update!5% of those surveyed claimed to have had a return rejected in the past with 22% of those shoppers saying they were told by retailers it was because the item was not in its original packaging, despite this not being a required condition under the Distance Selling Regulations. An additional 33% said they were told it was because the item was not in its original condition or that it was damaged or misused.
Over a quarter (27%) of online shoppers claimed to have encountered a hidden charge when ordering products online, despite retailers having to clearly identify all costs to consumers. 52% of those encountering a hidden charge claimed it was because the full delivery cost was not plainly stated when placing the order. Another 37% said it was because of credit card fees.
Derek Eccleston, commercial director at eDigitalResearch, said: “Not only is consumer knowledge surrounding their rights on Distance Selling Regulations worryingly low, but it also appears that a lot of retailers aren’t 100% complying with the rules and regulations. With the OFT’s recent announcement, it is important that all online retailers are clear on what they need to be conforming to, whilst OFT officials should consider looking at attempting to increase consumer knowledge.
“Online shopping has practically become an everyday occurrence for some consumers and is a trend that is only going to grow in the future with the introduction of smartphones and portable computer devices, such as tablets. It is therefore important that shoppers are clear on what they are entitled to, particularly around the right to cancel, the ability to reasonably inspect a product and a refund for their standard delivery.”