DTI says Lazada, Shopee get most online complaints

Business

The Department of Trade and Industry (DTI) bared on Monday the Philippines’ two biggest online shopping applications have been recorded as having the most number of transaction complaints from consumers.

At the virtual meeting of the House Committee on Trade and Industry, DTI Undersecretary for Consumer Protection Group Ruth Castelo reported that 6,907 of the total 14,869 online purchase-related complaints from January to October this year were against shopping apps Lazada and Shopee.

DTI records show that compared to the full year of 2019, complaints against Lazada grew more than triple from 1,014 complaints to 3,475 in the first 10 months of 2020,

while those against Shopee increased over five times in just 10 months from 607 complaints at end-2019 to 3,432 complaints from January to October this year.

“Ninety percent of the total online complaints from October 2020 are against two of the more familiar platforms,” said Castelo, referring to Lazada and Shopee.

The remaining complaints last month involved deals on Facebook and other online platforms, she added.

Castelo said most of the online complaints of consumers were in violations to the Price Act, defective product, and “deceptive, unfair, or unconscionable” sales practices.

The Lower House’s Committee on Trade and Industry conducted the meeting following the growing report on online fraud. Recently, the story of a student from Guimaras named Arthur Baylon went viral after he ordered a laptop from Lazada but only received stones upon delivery.

Another online shopper also received wooden blocks instead of two cellphones she ordered online.

The Committee meeting also discussed the recent spate of internet scams and fake online bookings, particularly pranks in food delivery.

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