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CHANGE IN CONSUMER RIGHTS: WHAT DOES THIS MEAN FOR YOUR BUSINESS?

Courtney Blackman
21 August 2012

New measures are being put in place to deliver greater transparency on consumer rights – concerning both businesses and their customers.

The Consumer Rights Directive has announced plans to introduce a new bill that will make transactions simpler, particularly within the online space. Whilst purchasing habits have become increasingly internet based, the laws surrounding e-commerce models lack both clarity and consistency. In a bid to enhance confidence in the retail sector, the CRD is looking to regiment conditions throughout Europe. These changes will need to be implemented by 13th December 2013.

They will include more information to be given before a consumer buys goods – whether that be on the premises or at a fair, via the internet or over the phone. Delivery times will become dependent on standardised deadlines, with more responsibility placed on the business in question if there is a problem. Helplines will not charge any more than the basic rate should an existing customer follow up, and any additional payment surcharge will be banned without the clear consent of the customer. Pre-ticked boxes which the consumer must ‘untick’ will no longer be allowed.

This will supposedly contribute to the long-term growth of retailers, as the bill looks to pursue efficiency and boost trust. The CRD, in accordance with the European Commission, believe that the current shortage of transparency is undermining consumer confidence in the sector, which in turn means that customers are less likely to purchase from SMEs with the potential to become the blue chips of the future.

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