What will raise online service standards?

Uganda National Bureau of Standards (UNBS) has finally pronounced itself on shifting its regulatory oversight to online businesses. This should avoid a further plunge in standards.
“We have received several complaints that some online service providers sell substandard products. Therefore in the near future, we shall work with Uganda Communications Commission (UCC) to ensure that all these online product salespeople are registered to ease follow up and quality monitoring of the products that they supply,” Ms Barbara Kamusiime, senior public relations officer UNBS, says.

It should be recalled that according to a countrywide baseline survey conducted in 2018, 54 per cent of the products on the market were found substandard. Most of the goods were locally made, comprising of electrical appliances, furniture and food.

Rise of e-commerce
E-commerce is still a new way to shop not just in Uganda but Africa. GeoPoll’s 2019 survey on Youth Online Shopping Behaviour across Six African Countries that picked responses from 400 Ugandans indicates the country had the lowest number of reported online shoppers.

57 per cent said they had never made a purchase online. That is not say there is not a portion of online shoppers. There are and in fact GeoPoll’s data indicates consumers are using large online retailers and social media sites to make purchases.

Jumia held first place while Facebook and Kilimall held second and third place in Uganda, respectively. Such platforms, on the whole, are used largely due to issues seen in product delivery in the region. In all six countries, electronics and clothing were most purchased items.

“As infrastructure for package delivery continues to grow, online shopping will likely increase in popularity dramatically,” GeoPoll’s survey reads in part.

The rise of e-commerce has been accelerated by the Covid-19 pandemic. It has seen physical business stores shift online with businesses setting up websites, social media pages and building customised applications while concerns about low service standards still loom.

“I ordered a cardigan online and when it got here, it was not what it had been presented as on the website,” Lovance Kyoheirwe says, “I immediately sent it back.”

Experiences like these speak of the wanting quality of goods, choice of products and delays in deliveries of up to six months. In the recent past, large online retailers have denied breaching product and service standards, fronting the use of trusted global manufacturers and distributors.

Founder Tenge Collections Daniel Mickoh markets his fashion products on social media sites such as Facebook and is known for helping businesses market and sell online. Discussing e-commerce in a whole, he has discovered customer relations has for the most part been exceptionally poor and it must improve, so must the quality of goods and services.

“The thing with online is it is very difficult to get the right quality of what you need unless you are working with someone you trust. Majority of the people are just trying to heck out a living. Some people buy something somewhere and go resell it,” Mickoh says.

“Majority of the people producing online do not have a system to sustain quality control because they are very small people trying to heck out a living. Someone might be able to produce small quantities and when they advertise, they get overwhelmed, the quality of products could immediately go down.”

Henry Richard Kimera, team leader at Consumer Education Trust, says among established brands, the Trust is yet to receive concerning complaints. Intervening service providers such as boda bodas are beginning to raise eyebrows.

An online boda boda can now buy fresh food and deliver it to a customer. They have the leeway to choose the kinds of products consumers spend on and they might not pay attention to safety, according to Kimera.

“I have heard several complaints and it is now down to consumers having honest detailed discussions with boda bodas, the vendors who should pay attention to these things. There are issues to do with where they source products because businesses have shut down so whatever is there may not meet quality standards.”

Business lessons
With the current opportunity, businesses must define whether they are in for the short or long haul. Mickoh says for those in it for the long haul, quality, good customer relations, communication and creativity are what can uplift current service standards.

“Online, you can get crashed by one customer review. For us, before any product is sold, someone checks if the customer is getting what he wants. There is someone to respond to every query regarding products. If the customer does not get what they had requested for, we not only refund their money, we give them the product so they share it with the next fashion designer if they do not want us to remake it,” he explains.

In cases where he has to purchase products from a third party and ship it to the customer, Mickoh works with vendors he trusts or orders for a sample of the product to physically verify quality before marketing it to customers.

Digital shift
E-commerce will be the new normal, analysts are certain. Ugandans might need more time to adapt.

“People will not want to be in large groups anymore. The idea of being packed in a mall will reduce and be a thing of the past in two years,” Mickoh says, “The days of wanting to touch and feel a product will still be there but over 60 per cent of transactions will go online. Abroad, people order for clothes online and there are standard measurements for all body sizes. If you want custom made things, it calls for going into a physical store.”

Consumers with Internet access may be in position to find quality products from licensed vendors. Kimera believes those living in areas without strong regulatory oversight will bear the brunt but can find confidence in referrals.

“We shall see a shift, not so phenomenal though. Many vendors realise they are missing out in action so they will establish online presence. It is not expensive as it can be done on one’s social media platform or by hiring an expert. Consumers who love to touch and feel will change because they have now tested the hardships. They have to trust those making online presence, only thing is there has to be regulatory oversight between UCC [Uganda Communications Commission] and UNBS to facilitate consumer choice,” Kimera advises.

Enforcement
No timeline is attached to UNBS’ plan. It now says any consumer supplied with a suspected substandard product can report for it to follow up the online vendor. It is law in Uganda that online businesses must also be registered just like any other company through Uganda Registration Services Bureau.

“Anyone who sells substandard products can be brought to book using a couple of laws, The Electronic Transactions Act 2011, Computer Misuse Act 2011 and UNBS Act,” Kamusiime says.

“Products made here have to be certified by UNBS. They must possess a quality mark before they are placed on the market and this means they meet minimum standards. Imported products like shoes or textiles have undergone PvoC so they meet standards. Fresh produce in markets has been inspected by our colleagues in local government so these are assumed to at least meet minimum standards and be fit for purpose.”

Digital shift for businesses
New normal. E-commerce will be the new normal, analysts are certain. Ugandans might need more time to adapt.

“People will not want to be in large groups anymore. The idea of being packed in a mall will reduce and be a thing of the past in two years,” Mickoh says, “The days of wanting to touch and feel a product will still be there but over 60 per cent of transactions will go online. Abroad, people order for clothes online and there are standard measurements for all body sizes. If you want custom made things, it calls for going into a physical store.”

Internet access. Consumers with Internet access may be in position to find quality products from licensed vendors. Kimera believes those living in areas without strong regulatory oversight will bear the brunt but can find confidence in referrals.