Online community pushes for changes in Consumer Act

ABS-CBN News

Posted at Jul 31 2011 05:58 PM | Updated as of Aug 01 2011 01:58 AM

MANILA, Philippines - The Internet and Mobile Marketing Association of the Philippines (IMMAP) is pushing for changes in the archaic Consumer Act of the Philippines amid a continuously evolving digital world.

IMMAP, an association for Internet and mobile organizations, said the 1992 law does not take into consideration the evolution of consumer behavior vis-à-vis the new marketing landscape.

The association took note of the Department of Trade and Industry’s rigid rules in connection with sales promotion. Websites, brands, web logs still need to get a permit from the DTI before they could raffle something away.

IMMAP said the law does not take into consideration the fact that:

  • a raffle can be conducted purely for goodwill purposes, and not by a company but rather an individual;
  • timelines to deploy and operate an online promotion have shrunk from weeks to days to hours (location-based promos);
  • individual user experiences online can vary depending on previous behavior, resulting in dynamic pricing or incentive models.

“Operating a 2011 economy based on a 1992 rule set does not make sense. Like everything else in this space, the laws need to shift to accommodate and grow a changed publishing and marketing environment,” IMMAP said.

The association asked the DTI to update its position in the interim until an updated law is passed.