OECD Ministerial, 08-09 October: Outcomes to make Consumer Protection fit for the future
This week Consumers International was honoured to represent the consumer voice at the first-ever OECD Consumer Policy Ministerial Meeting in Paris. The event entitled Consumers at the Centre of the Digital and Green Transitions brought together ministers, industry, international organisations and civil society across 55 countries to discuss a shared roadmap to strengthen consumer protection.
The event saw the launch of a Declaration on Consumer Protection endorsed by ministers and other representatives and a Global Forum on Consumer Protection to help unite collaborative efforts. Throughout the agenda, collaboration was an essential theme – now needing to evolve beyond traditional actors – to counter modern marketplace issues such as cross border enforcement, redress and exclusion of groups of consumers.
OECD Declaration sees commitment to Consumers International Recommendations on Product Safety
We are delighted to see our input to the Declaration included within. This includes the recommendations shared by Consumers International and Members Which? (UK), CERC (India), CHOICE (Australia), CADEF (Nigeria), Tec-Check (Mexico), Hong Kong Consumer Council, Consumer Reports and Consumentenbond (Netherlands). The Declaration sees a commitment to ensure online marketplaces take responsibility for the safety of the products listed on their sites. This draws on our base recommendations in our Online Product Safety Guidelines to ‘remove unsafe products when they are identified, and prevent the same or similarly unsafe products from being listed’.
The Consumer Voice cuts across the agenda
During the event our delegation including influential leaders across our Members shared their support of discussion topics, and presented new global consumer insights and recommendations. We convened a multi-stakeholder VIP lunch: A shared roadmap for safety and sustainability, and were represented in sessions relating to the Digital Transition, Product Safety, Green Transition, Inclusivity and Consumer Protection across Borders.
The digital transition must be designed and deployed with and for consumers. Only 59% of countries have laws covering online consumer protection and recent estimates have valued the e-commerce market at US$7.9 trillion by 2027. This shows the extent of consumer shopping online and underscores the importance of strengthened consumer protection in the digital transition.
During discussions we amplified the message there we need to better understand the different experiences of consumers who are more exposed to issues in the modern marketplace. This means paying attention to age – to prevent younger and older consumers from harm, and to consider gender and other distinctions which can expose certain groups to harms.
Fresh evidence and issues were raised across personalised pricing and the need for more research into misleading advertising and dark patterns. Consumer organisations can play a core role in mitigating these issues, by building research incorporating the consumer voice and in helping to monitor markets and enforcement.
Ambitious actions must be taken for consumer safety. Discussions at the OECD and elsewhere show an evolving understanding of what consumer safety in the marketplace now means. It includes both traditional and new issues – from product safety to mental wellbeing online and covers both products and services such as digital finance. It is affected by global crises such as the cost of living and the climate crisis. For example, points were raised that a lack of affordable products can encourage more unsafe products to enter the market. Greater support is also needed to help people understand the inherent risks associated with shopping online.
During our VIP luncheon we explored the nexus between safety and sustainability and emphasised that converging issues can be tackled together. When doing so, we can enhance consumer protection at the same time as meeting global goals. The event joined together 40 leaders from across government, industry and consumer groups to explore topics such as promoting safe reuse and repair and the adoption of environmentally friendly product design. The discussion shared the role innovation can help to catalyse impact. For example, through fair and responsible AI which can be used to identify product safety issues.
Safety can also be applied to ‘sustainability’. The triple planetary crisis of climate change, pollution and biodiversity loss threatens both the future safety of people and our planet, and so the crisis can be tackled through a safety lens. Consumers – with immense purchasing power – can help to meet the crisis, but this won’t happen by waiting for consumer preference alone.
Consumers need better information and incentives to help them drive sustainable practices. For example, last year our report on sustainable lifestyles showed that affordability remains a barrier for 94% of consumers who want to shift towards sustainable living.
Inclusivity in the transitions means tailored approaches to help vulnerable consumers. We have long documented how certain groups of consumers are more exposed to harms. In product safety we found vulnerable groups encounter the greatest risk from unsafe products. Our research in digital finance has shown that 50% of highly vulnerability consumers have been exposed to scams, and that vulnerable consumers are more likely to depend on influencers for financial advice. In a new era of consumption calls, more investment in research is needed to understand the extent of how vulnerable consumers are affected. And a customised approach to help them is essential.
We remain committed to building robust consumer protection measures to benefit all consumers. To find out how you can partner with us contact impact@consint.org.