Reducing the Risk of E-commerce Products
Buying and selling online has transformed the shopping experience. E-commerce products can be sold to customers across the globe. What’s more, buyers are no longer restricted by what is on offer in their local shops. However, there are growing concerns about certain items sold online and this has led to proposed reforms to UK Product Safety laws.
Cheap Goods Sourced Online
Following several high-profile cases, the London Fire Brigade has identified e-bikes and e-scooters as the capital’s fastest growing fire hazard*. They have been called out to a fire caused by charging faulty, damaged or poorly fitted batteries. They have identified a common factor in e-bike incidents is cheap batteries and chargers sourced online.
The issue isn’t limited to e-bikes and e-scooters. Unfortunately, unsafe e-commerce products are being shipped from overseas countries where British and European standards don’t apply. Electronic goods including appliances, toys and equipment are offered at tempting prices online. However, these products are unlikely to undergo the safety checks that British-made products have to meet.
These cheap, unregulated products present three major threats to e-commerce. Firstly, there is the risk to users who may receive goods that don’t work properly or can cause electric shocks and fires. Secondly, the reputation of sellers is damaged if customers receive faulty goods. Thirdly, these items undercut compliant e-commerce products, leading to unfair markets.
Reforming E-commerce Product Safety
In response to this issue, the British Government have proposed reforms to e-commerce product safety. The aim is to ensure that customers can expect comparable safety checks and standards whether they shop in-store or online.
The reforms are expected to focus on higher-risk items. The proposals include providing specific information on product listings. As a result, we could expect to see warnings, details of safety checks and all safety information as part of the e-commerce product description.
In addition, online marketplaces such as eBay and Amazon would have greater responsibility for monitoring seller listings. It is likely that they would need to initiate action, such as taking down listings or managing alerts and recalls for non-compliant sellers and unsafe goods. This additional work could be passed on to sellers of high-risk items in increased listing or insurance fees.
E-commerce Action: 3 Steps to Prepare for Change
The reforms were open to consultation until 24 October. The responses are now being considered and it may be some time before they become mandatory. However, if your e-commerce business ships potentially high-risk items from overseas, it is worth taking action.
- Firstly, read the proposed reforms document** to gain a deeper understanding of the issue and likely actions.
- Secondly, gather information from your suppliers about the potential hazards, safety checks and warnings.
- Thirdly, consider alternative suppliers who undertake quality and safety checks as standard.
You do not want your brand associated with devastating fires, electric shock and other hazards, so ensure that your e-commerce goods are up to standard.