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Credico Australia, Insights

Credico Australia on the Importance of Transparency in Response to Viagogo Controversy

With the Australian Consumer and Competition Commission confirming that they will be taking ticket reselling company Viagogo to court for misleading consumers, Credico Australia has spoken out about why it is now more important than ever for businesses to operate 100 percent transparency.

Credico Australia on the Importance of Transparency in Response to Viagogo Controversy

After more than 470 complaints were made to the regulator about Viagogo concerning its business practices and misleading consumers over ticket prices, the ACCC is now taking the company to court claiming they are in breach of Australian consumer law.

After investigating the complaints, the ACCC concluded that Viagogo had failed to disclose the real price of tickets on their site, and did not inform consumers of unavoidable fees upfront, such as a 27.6 percent booking fee which was applied to the majority of purchases through the site.

As well as Viagogo making significant profits through ticket purchasing fees, the regulator is also acting on allegations that the company was creating a false sense of urgency to push consumers to buy tickets, stating that limited tickets remained for events when in reality tickets were readily available from a variety of other sources.

Credico Australia believes that this recent controversy has the potential to cause significant and irreparable damage to Viagogo’s reputation, and has released a statement outlining that this should act as a clear warning to other businesses on the importance of 100 percent transparency.

‘It is almost impossible to recover from this kind of scandal. A consumer’s relationship with a brand is built solely on trust, and when they feel that they are being lied to or mislead, it violates this delicate relationship and makes it incredibly tough to rebuild’. States Credico Australia.

Credico Australia is urging brands to commit to 100 percent transparency with consumers to avoid a public scandal of their own. ‘Consumers will always respect you for being open and honest and treating them as intelligent individuals. Even if the news you have to deliver isn’t always good being brave enough to admit when something goes wrong is the mark of a trustworthy and successful brand.’ Concludes the firm. ‘This is why we are committed to face to face consumer engagement, as it secures meaningful relationships and promotes honest communication. In a world where consumers are becoming ever warier of being misled, making time to reassure them, personalise the experience and treat them with respect is paramount to brand success.’


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