ACCC Figures Show Product Recalls Rising

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Product recalls are on the rise, Australian Competition and Consumer Commission (ACCC) figures reveal.With a new Product Safety Australia website having launched, ACCC deputy chair Delia Rickard noted that in the last financial year there were 670 recalls in Australia compared to 596 in the previous year.

Cars were at the top of the number of recalls by product category, with 182 up from 169 year-on-year. Among the other categories, electrical and gas saw a reduction, with 80 down from 104 year-on-year, while IT, phones and multimedia grew from 9 to 11.

Rickard stated that consumers can easily check recalls information.

“It doesn’t matter if you’re at home, work or on the go, as our new Product Safety site is fully mobile responsive, enabling you to keep up-to-date on the latest product recalls and safety information from any device,” Rickard commented. “By following the advice on this site, you can buy and use products wisely and protect yourself.

“Businesses can also use this helpful tool to ensure that unsafe products are removed from shelves.”

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An ACCC project carried out this year exploring what factors may influence recall success found that recall rates are influenced most by: price point, the availability of a customer list (so suppliers can contact affected consumers), the lifespan of a product, and consumer perception of the risk and hazard of the product.

“Our study indicated that the first eight weeks following notification are the most important,” Rickard stated. “During the first six-to-eight weeks of a recall campaign, over 80 per cent of all products that are likely to come back are returned.

“The ACCC conducted a consumer survey to determine if there is a specific price point at which consumers would be motivated to return recalled consumer products. The poll results suggest that 70 per cent of people will return a recalled good that cost $25 or more.”

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