According to a new report from the European Commission, there are widespread problems for EU consumers attempting to purchase goods online from another member state, with 60% of orders refused.
An extensive independent mystery shopping exercise was carried out for the Commission, whereby shoppers across the EU tried to purchase a list of 100 popular products – for example cameras, CDs, books, clothes - from a cross border provider.
Over 11,000 test orders were carried out. The research found that 60% of cross border transactions could not be completed by consumers because the trader did not ship the product to their country, or did not offer adequate means for cross border payment.
Latvia, Belgium, Romania and Bulgaria are the countries where consumers are least able to make cross-border purchases. The survey also revealed that in all but two countries, the odds of succeeding in a cross-border purchase are lower than 50%.
The foregone benefits to citizens are also very clear, according to the report. In more than half of Member States, 50% or more or the products could be found 10% cheaper (transport costs included) from a website in another country. Additionally, a significant percentage of products searched could not be found on national sites, and were only offered by a trader in another Member State.
In response to these findings, the Commission has drafted a Communication presenting a series of measures to be taken to reduce the complex regulatory environment which is seen to be acting as a disincentive for businesses to serve consumers in other Member States.
In addition, and to boost confidence in online trading, the problems regarding the collection of commercial data and its use to profile and target consumers will be analyzed by a stakeholders forum.
Meglena Kuneva, Commissioner for Consumer Affairs, observed that: "The results of this research are very striking, we now have concrete facts and figures showing the extent to which the European single market for consumers is just not happening in online retail.
"Better deals and greater product choice for consumers on our vast European market could be just a click of a mouse away. But in reality online shoppers are still largely confined within national borders. Europe's consumers are being denied better choice and value for money. They deserve better. We must simplify the legal maze that is preventing online traders from offering their goods in other countries."
"Achieving a Digital Single Market is a top priority for Europe", added Viviane Reding, EU Commissioner for Information Society and Media. "We won't have a real Digital Economy until we remove all barriers to online transactions, also for end-consumers. This must be on top of the list of all policy initiatives to re-launch the single market project."
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