A new report commissioned by the Telecommunications Industry Ombudsman (TIO) has revealed that Australians are getting stuck, stressed, or remaining silent about problems with digital services.
The Someone to Turn To report from the Consumer Policy Research Centre (CPRC) found four in five Australians have had at least one problem with digital services in the past 12 months.
Australians are losing an estimated $497 million each year due to these issues, with more than half of those having problems reporting lower trust in digital services.
The report found that two in five Australians never lodge a complaint in the first place because they think nothing will change, while two in three who do end up complaining aren't satisfied with the outcome.
The most common issues people are facing with digital services are:
- Account and access issues (56%)
- Fees and charges issues (54%)
- Slow or no customer service (52%)
One in three Australians' digital service issues were with an online retailer or marketplace, with the top five marketplaces people experienced challenges with being Temu, Amazon, AliExpress, Shein and eBay.
Whereas Australians have the option to exercise their consumer rights with online retailers as 'suppliers', this doesn't extend to online marketplaces under Australian Consumer Law. This leaves consumers in the lurch when they seek resolution if the original supplier isn't supportive.
29% of Australians have experienced issues with social media platforms, with one in seven pointing the finger at Meta. The top five social media platforms consumers experienced challenges with were Facebook, Instagram, YouTube, TikTok, and X (formerly Twitter).
The stress of dealing with these problems is also impacting Australians' well-being. One in six said their experiences have had a toll on their mental health, with the rate higher for younger people and people with a disability.
While these problems are growing nationally, there is no external dispute resolution body for people to go to when issues arise.
Report author and CPRC Deputy CEO Chandni Gupta said: “Too many people are getting stuck in a complaints loop – unable to reach a real person, passed between automated systems, and left without resolution or closure."
Three in four people who experienced problems with digital services indicated they wanted access to a free, independent complaints body for help. 83% were open to the TIO expanding its remit to help with digital complaints alongside telco.
TIO Ombudsman Cynthia Gebert said the TIO is prepared to step in as demand grows.
“People are asking for something simple: clear pathways to complain and access to human support when they need it. Right now, these basic expectations are not being met,” said Gebert
"The TIO is ready to take on this important work as the Communications Ombudsman. By strengthening consumer protections online, we can help improve accountability, lift standards and rebuild trust in digital services.”
Would you support the TIO expanding its remit to handle digital services?
Dylan Crismale
Digital Content Editor
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