Top > Webmaster > 2006 > April > 2006-04-03

Australian Public Choose Risk over Payment

Online shopping can be a positive experience. Online shopping sites can save you the trouble of leaving your home, they are open all the time, and it is rather simple to make an order. Nevertheless, there is also a negative and dangerous side to online shopping ? electronic fraud. The Australian people seem to disregard their government`s warnings regarding online shopping, and prefer to put their money at risk rather than paying fees. The Australian Government regularly issues warnings to online shoppers. The Australian Competition and Consumer Commission issued advice in February 2006 instructing Australian online shoppers to avoid paying for products via direct bank deposit, recommending instead the use of credit cards or third party payment systems such as Paymate.

In February 2006, OZtion conducted research into the payment preferences of both Australian shoppers and Australian businesses and individuals selling products online at OZtion. The survey found that 57% of shoppers prefer to pay for online item purchases using direct bank deposit. 31% prefer using a third party secure online payment system such as Paymate. Money orders/cheques were preferred by 5%. Credit Cards were preferred by only 5% of respondents. 1063 Australians responded to this question.

Philip Druce, General Manager for OZtion commented, ?Our research shows that Australian consumers overwhelmingly want to pay for online purchases by direct bank deposit. Australian online shoppers clearly understand that businesses selling online charge higher prices when processing credit card transactions, and are willing to ignore government warnings to avoid paying more.? It seems that the Australian public prefers taking a risk, rather than paying the fees. This notion will probably change once a big electronic fraud is made public. Like most times, people listen only after it is too late.