The Chairman of the Office for Competition and Consumer Protection, Tomasz Chróstny, initiated proceedings against the OLX Group – informed the Office for Competition and Consumer Protection. The allegations relate to the system for posting opinions.
Consumers reported irregularities in the rating system. After analyzing the case, the Competition and Consumer Protection Bureau initiated proceedings against the OLX Group and filed two charges against it.
OLX under the microscope. What are the charges levied by the Competition and Consumer Protection Bureau?
First of all, doubts are expressed by the group of people authorized to post opinions on olx.pl, known as “buyers”. It turns out that – contrary to the general meaning of the above expressions – these are not only buyers, but also people who only contacted the seller. Therefore, purchasing a product on the website does not require the ability to post an opinion, which is then presented as a “buyer rating”. According to the Bureau, it may be misleading to suggest that the opinion comes from an individual who purchased and verified the product.
The second area concerns the issue of the rating scale used. The algorithm used by the website olx.pl gives a higher weight to positive reviews than to negative ones and additionally qualifies as positive reviews that fall below the middle of the rating scale. The ratings from which the user can choose (“Poor”, “Good”, “Excellent”) when rating the “transaction experience” are not identical to the categories of ratings presented later on the website (“I recommend not on”, “Not bad”, “Good”, “Great”).
To assign the reviews received by the seller to a specific category, olx.pl makes a number of calculations that are not communicated to users. As a result, the ratings displayed under sellers’ ads may suggest a higher value than is actually assigned by “buyers” in their opinions, the material explains.
Chróstny explains what the problem is
– The dynamics of technological development promote the evolution of services and the creation of new formats, which are not always optimal for the consumer. Online platforms should not forget the fundamental principles of customer relations, such as honest and transparent communication. This is not the case when the consumer is misled about the basic categories or terms used by the entrepreneur. It should not happen that in the description of the valuation “buyers” are mentioned, and in fact none of the opinions given to the seller need come from the person making the purchase – said the President of the Office for Competition and Consumer Protection, Tomasz Chrostny .
According to him, the described practices can mislead consumers and disrupt the transparency of the purchasing process. If the allegations are confirmed, the OLX.pl Group could face a fine of up to 10%. sales.
Source: Do Rzeczy
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
