In the previous article on the
Consumer Protection Bill, we discussed how South Africans will become the best protected consumers in the world. This article looks at the main topics the bill covers in more detail.
1.1 Consumers will be guaranteed equal access to markets. This means that suppliers must make goods and services available to everyone at the same price and quality, and also under the same terms and conditions. Of course there are exceptions, such as not selling alcohol to minors or being able to give children reduced price tickets. These exceptions are all clearly laid out.
1.2 Consumers’ privacy will be protected. The bill will lay out strict rules regarding direct marketing and the way it is carried out. Customers will be able to ask any marketer to stop marketing to them, and the bill may even put the groundwork in place to pre-emptively opt out of any direct marketing.
1.3 Consumers will have a right to choose. This affects a number of issues including:
- Not forcing customers to buy bundled services
- How customers can exit fixed term contracts
- Customers must sign off estimates for repairs and services before work commences
- Customers get five days to change their mind about a purchase
- What are fair cancellation fees if a customer cancels an advanced booking
- Products that are bought by mail order or from a sample must correspond with the original.
1.4 Fair disclosure of information to customers. This includes clear descriptions in plain language of products and services, clear pricing information, commissions charged by intermediaries, and even good identification when a supplier needs to go to a customer’s home.
1.5 Fair and responsible marketing. In addition to the opt-out rules surrounding direct marketing, suppliers may not use misleading or fraudulent marketing tactics. The following marketing practices will be illegal:
bait marketing – where a non-existent special offers lures customers into the shop; negative options – where customers have to ask NOT to be sold something, for example, not to be sent the book of the month from a book club else they will be charged for it;
referral selling – when customers are encouraged to buy products or services based on potential future rebates or commissions. And fair practices will be set in place for direct marketing, loyalty campaigns and competitions.
1.6 Customers will be entitled to honest and fair dealing. This includes issues such as overselling and overbooking of services. The bill will outline what compensation customers can claim, for instance if they miss a flight and subsequently miss a hotel or car booking. In addition force and other unfair tactics to get someone to buy something are banned.
1.7 Terms and conditions need to be fair, just and reasonable. The bill explains what this means, and also makes clear that supplier liabilities need to be highlighted.
1.8 Consumers should expect fair value, good quality and safe products. For the first time a law will make clear where liability lies, and also guide issues such as product recalls.
1.9 Suppliers’ accountability to customers sets out rules on how lay-buys should be offered. It also says that pre-paid vouchers and credits need to be valid for five years.
1.10 Finally, consumers have a right to be heard and receive compensation if they are unfairly treated. The bill outlines the procedures for doing this. Complaint and compensation methods need to be accessible and the consumer should not be victimised.
This is where getclosure! steps in. We fully support the South African government’s focus on increasing consumer activism to enhance market and price competition. Especially close to our hearts is helping consumers to be informed of their rights, and then to exercise them. Not only do we provide consumers with a quick, easy and effective way to complain and comment on services, but we also advise them on routes to take should they not reach a happy outcome with the supplier. In addition we also make a host of consumer rights news and information available to South Africans.
getclosure! is an independent online complaints management portal that helps South African consumers and businesses to effectively and discreetly resolve customer complaints. The
getclosure! service delivers complaints to the most appropriate person in an organisation to be resolved, saving consumers the hassle of repeatedly calling a customer department (and putting up with hours of irritating hold music).
And the good news for suppliers is that the
getclosure! service can be used as a plug-and-play customer service facility. This means suppliers can easily comply with government requirements to offer an accessible, easy-to-use complaints service. The service is fully customisable, with full reporting on correspondence and time to resolution as well as integration with suppliers’ existing processes. In addition, suppliers can show their commitment to customer service by displaying a
getclosure!seal on their web sites.
Back to part one. 
