Measuring consumer detriment and the impact of consumer policy

Measuring financial consumer detriment in e-commerce

“…income), differences in individual e-commerce patterns or the product price (see Table A.F.12). Trust in a seller is slightly more important to those who use e-commerce most, but the differences are relatively modest and they still only represent the minority (32% of 'light' online shoppers disagree with the statement vs. 40% of 'heavy' online shoppers 46 ). Finally, for a few, trust is likely to be seen as an unaffordable luxury -the proportion prioritising price and availability over trust is slightly higher among…”

“…For example, in the case of Australia, the high relative increase in total detriment after the addition of time loss is driven mostly by the low average value of post-redress detriment (the initial value, excluding time loss), which, as discussed in Section 5.2, is partly the result of a small number of consumers that obtained very high redress. 46 'Light' = 1 -2 purchases in the past 3 months; 'Medium' = 3-10 purchases; 'Heavy' = 11 or more purchases 47 For example, the ordering of countries (as established by the coefficients on country dummies) remains roughly the same (in particular at the extremes of the distribution) in a regression that controls for the price paid, the type of product purchased, the type of seller (e.g. platform or specialised), redress sufficiency and time lost (not shown).…”

Enhancing online disclosure effectiveness

“… Inherently complex (e.g. financial disclosures, personalised pricing disclosures) (Jin, Luca and Martin, 2018 [33]; OECD, 2021 [11]);…”

“…Personalised pricing is one example of a subject which is inherently complex and about which disclosures can be difficult for consumers to understand. In 2021, the OECD conducted an experiment about the effects of personalised pricing disclosures on consumers (OECD, 2021 [11]). The disclosures were part of a relatively simple web design, succinct, substantial in size, seen repeatedly, and accompanied every single personalised price.…”

“…1 This report aims to provide policy makers with a more systematic, and operational, approach to online disclosure effectiveness across different policy areas. It builds upon a rich set of academic and public sector research, including OECD's previous work on online disclosures, which focussed, for example, on behavioural insights (OECD, 2018 [7]), product recall effectiveness (OECD, 2020 [8]; 2018 [9]; 2018 [10]), personalised pricing disclosure (OECD, 2021 [11]), data breach notifications (Iwaya, Koksal-Oudot and Ronchi, 2021 [12]), and financial disclosures (OECD, 2018 [13]). In particular,  It first examines key disclosure features (e.g.…”