Online Shopping Consumer Inquiries Increase... Sharp Rise in Proportion of Those Aged 60 and Over
Korea Consumer Agency Analyzes Approximately 660,000 Consumer Consultation Cases
[Asia Economy Reporter Lim Chun-han] Consumer consultations related to e-commerce are increasing due to the spread of non-face-to-face consumption caused by COVID-19.
On the 2nd, the Korea Consumer Agency announced that consumer consultations related to e-commerce received at the 1372 Consumer Counseling Center increased from 204,057 cases in 2018 to 219,500 cases in 2019, and 234,208 cases last year. The year-on-year consultation growth rates were 7.6% in 2019 and 6.7% in 2020.
As online shopping transaction amounts grew from 113.3 trillion KRW in 2018 to 136.6 trillion KRW in 2019, and 159.4 trillion KRW last year, consumer complaints and damages are also expected to increase.
Among consultations over the past three years, domestic online transactions accounted for 75%, followed by mobile transactions (8%) and TV home shopping (7.8%). In particular, as mobile shopping rapidly grew, mobile transaction consultations nearly doubled from 12,152 cases in 2018 to 22,181 cases in 2020.
By age group, those in their 30s accounted for the highest proportion of consultations at 35.9%, followed by those in their 40s (25.5%), 20s (16.2%), and 50s (14.4%). While the consultation proportion of people in their 20s and 30s is generally decreasing, the proportion for those in their 50s and 60s and above is increasing. Especially, the year-on-year consultation growth rate for elderly consumers aged 60 and above was 48% last year, the highest among all age groups.
Last year, the COVID-19 pandemic also affected the types and numbers of consultations. During the first wave of the pandemic in February last year, when confirmed cases surged, consumer consultations increased by 67.1% compared to the same month the previous year. During the second wave in August and the third wave in December, consultations increased by 3.9% and 6.4%, respectively. These figures greatly exceed the average growth rate of 1.7% during other periods.
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Regarding consumer consultation items last year, air passenger transport services had the highest number at 12,971 cases. This was due to a surge in disputes over reservation cancellations and refunds as overseas travel was blocked by the COVID-19 pandemic. In 2018-2019, consultations related to clothing and textiles were the most common. During the early stages of the COVID-19 pandemic, demand for masks and hand sanitizers surged, making consultations on various health and hygiene products (10,558 cases) the second most frequent last year.
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