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Internet shopping

7 March 2008

The OFT has continued its study of internet shopping and has published a web sweep report. We worked with Local Authority Trading Standards Services (TSS) to check whether the most popular shopping websites were complying with key requirements of the Distance Selling Regulations and Electronic Commerce Regulations. This sweep, which was carried out in December 2007 by officers in 90 TSS across the UK, looked at 530 sites.

Download the web sweep analysis (pdf 436 kb).

See press release.

We have also worked with key partners to help raise awareness of the regulations, and assist compliance and enforcement. From July to December 2007, the Office undertook a number of activities, which aligned with the distance shopping theme of National Consumer Week in November 2007, including:

preparing a range of summary materials to supplement existing OFT guidance documents, integrated into the Consumer Direct website.
updating the OFT's advice to business, including a summary of key regulatory requirements, and advice for small firms on online security.
working with top online auction sites and price comparison sites in the UK to provide more information to consumers about their rights, see press release 155/07.

19 June 2007

The OFT has released its report into internet shopping. The report concludes that the rapid growth of internet shopping is a success story that benefits both consumers and businesses across a range of markets, but that both could do more to make the most of the opportunities it provides.

Key findings

The UK internet shopping market is estimated to be worth over £21.4bn, and last year over 20 million people shopped online with nearly a third of them spending over £1,000. But the report also found that some shoppers could find better deals by searching more effectively, many could do more to protect themselves online, and most do not know that they have cancellation rights when shopping on the internet.

The OFT also found that many businesses did not know their obligations under the Distance Selling Regulations which provide additional protection for shoppers when buying online. Some businesses could also do more to address consumers' concerns about privacy and security.

The fact-finding study identified some areas where more could be done to ensure people get the most from buying online, and how they can feel confident and protected when doing so. The findings include:

awareness of online shoppers' rights is low for businesses and consumers
the anonymity, speed of change and borderless nature of the internet, can pose particular challenges for the enforcers of shoppers’ rights
shoppers have significant fears about security and privacy, which put some off buying online altogether
by searching more effectively, shoppers can find big savings.

Download Internet shopping: an OFT market study (pdf 1.17 mb).

Annexes - all pdf files