Price-gouging rife as online sellers pounce
HUNDREDS of dollars are being added to the price of everything, from workout equipment to whitegoods, amid claims unscrupulous businesses and private sellers are exploiting shoppers during the pandemic.
Massive mark-ups online have led to prices of more than $50 for liquid soap, $48 for a disposable face mask, $269 for dishwashing liquid, and even rusty dumbbells with asking prices of $200.
Choice campaigns and communications director Erin Turner said they were investigating price-gouging.
She said there were two types of exploitation: retailers taking advantage of high demands and individuals using digital platforms to list goods at outrageous prices. “We’ve seen a mix of retailers and individuals try to take advantage of the situation on goods that people really value, whether that’s hand sanitiser, face masks, or gym equipment,” she said.
“We’ve been assessing the various policies of companies like eBay, Facebook and other online marketplaces and we think they should be much stronger on this,” she said.
But Ms Turner said while raising prices could have terrible consequences for consumers and supply, the practice was not illegal.
“Choice’s position is that it is deeply unethical,” she said.
“It is taking advantage of people at a time when we are all really vulnerable.”
A spokeswoman for the Australian Competition and Consumer Commission said the watchdog was looking at allegations of unfair price rises, even though it had “no direct enforcement power”.
An eBay Australia spokeswoman said the company had removed “hundreds of thousands of listings and blocked millions from appearing on the platform” to reduce attempt to fleece consumers.
The selling platform also restricted the sale of face masks, hand sanitiser, toilet paper and baby formula “to business sellers”, she said.