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Online Retailers Banned from Drip Pricing

online retailer

Online Retailers Banned from Drip Pricing

The hidden ‘extra’ charges that get added at checkout are being banned – a practice known as ‘drip pricing’. It’s part of a bigger crack-down on the lack of transparency for online customers called the Digital Markets, Competition and Consumers (DMCC) Bill.

The New Guideline for Online Retailers

The Department for Business & Trade has said that all fees relating to a purchase must be declared in the headline price, and not revealed at the checkout stage.

An example of the type of retailer impacted by the new guideline will be those issuing tickets. Ticket sales are an item notoriously known for having additional fees added late into the purchasing process.

What’s been said…

The Minister for small business and enterprise said “modern day shopping provides customers with more choice than ever before. But with that comes the increased risk of confusion, scams and traps that can easily cost the public more than they planned.”

A spokesperson for the board responsible for policing the changes said “the power to fine companies under the new DMCC Bill will bolster the work we are already doing to protect consumers.”

If you’re an online retailer, do you feel that the new transparency guidelines are needed? How might this impact online sales for you? Do you feel hidden costs boost income or lead to cart abandonment?

A tip to boost your online sales…

Did you know that having a landline telephone number makes you stand out to potential customers? A landline number offers reassurance to a customer who’s contemplating spending money, they will more likely choose you over a competitor who only has a mobile number. You’ll instantly appear the more established business, traceable and having a base. But don’t worry if your business is based from home, or you don’t have an office, we can provide you with a virtual landline number that we can divert to your mobile. Or, if you’d rather not deal with any potential customer enquiries, we have the staff to handle those for you too!

For more information on how a virtual phone number works, give our team a call for an informal chat on 01273 741400.

For more information on the DMCC Bill read this article.

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