CASE complaints hit all-time high in 2013

A car salesperson sits among cars in a showroom. The motorcar industry continues to receive the highest number of consumer complaints made against it to CASE in Singapore. (AFP file photo)

The number of complaints to the Consumers Association of Singapore (CASE) hit a record 29,354 last year.
 
This figure is a nearly 14 per cent increase from the number filed in 2012, according to a release from CASE issued on Thursday.
 
Of these, CASE said it successfully helped to resolve 77.5 per cent of 1,500 cases that they directly intervened in, recovering for consumers a total of more than S$2.35 million.
 
The figure recovered was markedly less than the amounts in 2012 and 2011, however, which topped S$3.3 million and S$3.5 million for 1,765 and 1,396 cases, respectively. The percentage of cases that CASE resolved, however, were lower for those years than in last year.
 
CASE noted also that the spike in the number of complaints "does not necessarily mean business standards have fallen”.
 
“A number of factors could have contributed to the figures, including greater willingness and empowerment by consumers to complain, higher expectations of quality services and lower tolerance for poor business practices within the industry,” the statement said.
 
Broken down by industry, motorcars remained the top industry with a total of 3,302 complaints filed against companies in the sector, a nearly 50 per cent increase from the number filed in 2012.
 
Calling the spike in complaints “astounding”, CASE said the majority surrounded the issue of defective cars as compared to 2012, where customers complained about unsatisfactory services. It attributed the spike to the continuous rise of COE prices for new cars, driving the sales of second-hand cars instead.
 
Notorious for customer abuse are the electronics and beauty industries, which switched places on the 2013 ranking to take the number two and three spots respectively. Complaints against electronics companies increased by a substantial 23.5 per cent, while the ones against beauty companies fell marginally by 2.4 per cent.
 
Complaints against companies in the handphone industry also surged 52.2 per cent, jumping six places from 10 to four in the list.
 
CASE said the complaints were chiefly about defective goods, followed by misrepresentation for the handphone industry and unsatisfactory services for the electronics industry. It has taken steps such as naming-and-shaming errant companies on signs in Sim Lim Square and People’s Park Complex, for instance, helping consumers to be more wary of them.
 
Turning to the beauty industry, complaints came from requests for refunds from pressure selling of pricey beauty packages, inappropriate treatments and unsatisfactory services provided by beauticians. CASE said beauty companies frequently use free gifts or highly-discounted treatments to lure customers in, and later on hard-sell packages to them.
 
Other industries in 2013’s top ten included furniture, which saw a 36.7 per cent increase in the number of complaints, timeshare and travel, both of which saw falls in the number of complaints, although CASE noted that concern still remains in the travel industry with the sudden closure of Five Stars Tours.
 
It said it is working on the implementation of an insurance scheme for its accredited travel agencies, to ensure that consumers will be insured should a similar situation happen with another travel agency.