Direct selling companies often break online retail rules

The Dutch Consumers Association said that many “drop shipping” companies are operating illegally and they have no way of contacting them if something goes wrong with the goods. Consumer AssociationSaid on Tuesday.

Dropshipping is a business model where an intermediary online retailer transfers orders to a supplier or manufacturer, who then ships the products directly to the buyer.

Two-thirds of 100 people Dropshippers Checked out by Consumentenbond, no return address, phone number or Dutch Cavity of trading Registration number, even if required by law.

The Consumer Bond Association said a total of 82 people were unaware of the return fees, which is also illegal.

“To return a product, customers must Contact the retailer first to get the correct address, That is “This is common in China,” the agency said. “It makes returns costly. And some companies don’t accept returns, for example because the item is on sale. This is illegal.”

About 2,500 members of the Consumer Association were also asked about their use of DropshippersAbout 88% of people who bought products from a distributor said they wished they had not done so. Long delivery times and high return costs and Quality was one of the main reasons they cited.

Consumentenbond has forwarded its findings to the Dutch competition authority ACM.