hello. we’re glad you’re
getting in touch.
Fill in form below, or simply call us on 1800 888 966
one eagle – waterfront brisbane
level 30, 1 eagle street
brisbane qld 4000
+61 7 3235 0400
grosvenor place
level 11, 225 george st,
sydney nsw 2000
+61 2 8298 9533
Fill in form below, or simply call us on 1800 888 966
Loyalty scheme operators are on notice to ensure they are upfront with consumers after the Australian Competition and Consumer Commission (ACCC) delivered its draft report on loyalty schemes.
While the draft report focused on big players including Qantas, Virgin, supermarkets, and the big four banks, it is also relevant to any business operating a customer loyalty scheme.
The draft report focuses on a wide range of issues within the Australian loyalty scheme market. In particular, the ACCC highlights the following key themes.
The ACCC has major concerns about the (often limited) type of information about loyalty schemes, and the manner in which they are communicated to consumers. The ACCC fields many complaints from consumers that they have not earned, maintained, or redeemed their loyalty program points in the manner anticipated. The ACCC’s particular concerns include:
The ACCC recommends:
The ACCC is well aware customer loyalty schemes have multiple purposes for their operators, including maintaining customer loyalty, acquiring new customers, and increasing the incentive to make additional purchases. However, the increasing use of data analytics has also provided the opportunity for operators to collect increasingly specific information on their consumers.
As also reported in the ACCC’s recently released Digital Platforms Inquiry, they consider that data practises require thorough investigation (and closer scrutiny) to ensure they comply with the requirements of the Privacy Act and the Australian Consumer Law. In particular, the ACCC has expressed interest in two areas of data practice:
The ACCC is taking the lead role in many of the newly introduced and upcoming law reforms. What is very clear is practises around the use of personal information are no longer purely “privacy” matters within the realm of the Office of the Australian Information Commissioner, but will also be considered from a “competition” and “consumer” perspective under the regulation of the ACCC.
The ACCC has a watchful eye, and a very explicit enforcement mandate.
The draft report serves as an opportunity to review the T+Cs of any loyalty scheme your business may be offering. In particular, you should:
If you require any assistance or further information, please contact our Competition and Consumer team.
The information contained in this article is general in nature and cannot be relied on as legal advice nor does it create an engagement. Please contact one of our lawyers listed above for advice about your specific situation.
Loyalty scheme operators are on notice to ensure they are upfront with consumers after the Australian Competition and Consumer Commission (ACCC) delivered its draft report on loyalty schemes.
While the draft report focused on big players including Qantas, Virgin, supermarkets, and the big four banks, it is also relevant to any business operating a customer loyalty scheme.
The draft report focuses on a wide range of issues within the Australian loyalty scheme market. In particular, the ACCC highlights the following key themes.
The ACCC has major concerns about the (often limited) type of information about loyalty schemes, and the manner in which they are communicated to consumers. The ACCC fields many complaints from consumers that they have not earned, maintained, or redeemed their loyalty program points in the manner anticipated. The ACCC’s particular concerns include:
The ACCC recommends:
The ACCC is well aware customer loyalty schemes have multiple purposes for their operators, including maintaining customer loyalty, acquiring new customers, and increasing the incentive to make additional purchases. However, the increasing use of data analytics has also provided the opportunity for operators to collect increasingly specific information on their consumers.
As also reported in the ACCC’s recently released Digital Platforms Inquiry, they consider that data practises require thorough investigation (and closer scrutiny) to ensure they comply with the requirements of the Privacy Act and the Australian Consumer Law. In particular, the ACCC has expressed interest in two areas of data practice:
The ACCC is taking the lead role in many of the newly introduced and upcoming law reforms. What is very clear is practises around the use of personal information are no longer purely “privacy” matters within the realm of the Office of the Australian Information Commissioner, but will also be considered from a “competition” and “consumer” perspective under the regulation of the ACCC.
The ACCC has a watchful eye, and a very explicit enforcement mandate.
The draft report serves as an opportunity to review the T+Cs of any loyalty scheme your business may be offering. In particular, you should:
If you require any assistance or further information, please contact our Competition and Consumer team.