Australia’s small businesses are facing a surge in disputes with big tech platforms.
The number of small business disputes with Big Tech platform providers is 86 per cent higher than the same time last year, according to the Australian Small Business and Family Enterprise Ombudsman, Bruce Billson. Mr Billson said over the past two years, the number of small and family businesses who have suffered some sort of disruption to their business at the hands of a digital platform has more than doubled.
“Whether it is Facebook, Instagram, Uber, Amazon, eBay, Shopify or any of the many other digital platform providers, small and family businesses are getting a raw deal when they need help,” Mr Billson said. “Digital platforms have fundamentally changed the way small businesses connect and sell to their customers and provide fantastic opportunities to reach and delight new customers. But when there is a problem – such as having your account shut down after being hacked – solving it can be a nightmare.
“These platforms require a time and resource-poor small business to navigate the most elaborate maze of dead-ends and blockages.
“Big Tech digital platform providers need to urgently lift their game and provide clear, appropriate and easily accessible help for small business – with a real person they can talk to.”
Mr Billson said over the past three months alone, 73 per cent of the disputes involved Meta-owned platforms Facebook and Instagram. Nearly two-thirds of those cases related to the account being hacked. Uber accounted for 17 per cent of the caseload, with one in four disputes about not being paid. The common thread we see is small business owners and those who are self-employed devastated by the sudden, unexpected suspension of their account and then having no clear avenue to resolve the problem,” Mr Billson said. “The advice from those big tech firms is, can you please log into your account to tell us you can’t log into your account? To quote John McEnroe, you can’t be serious!!”
Mr Billson called on digital platforms to urgently do better.
“Small businesses tell us it can take many months to resolve a dispute and get back to business. Some have told us these delays have cost them many thousands of dollars,” he said. “Small business owners seeking our assistance are overwhelmed and stressed and the dispute has compounding existing pressures. Frustrations are amplified by the ever-challenging fiscal environment, economic pressures and carry vulnerability aspects.
“Too often small businesses watch helplessly as the financial and emotional damage occurs in real time with no ability to stop it. They lose customers and money, if a credit card linked to these accounts is being used by the hacker or the hacker uses the account to access and harm other customers. Having someone else access and control their account is devastating for their business and their reputation. Some never recover.”
Mr Billson has called for digital platform providers to be required to implement clear, appropriate and standardised procedures for small business dispute resolution, as part of the 14 Steps to Energise Enterprise he recently released.
“Digital platforms need to implement clear, appropriate and standardised procedures to enable a timely resolution for small business disputes with clear internal escalation points, promotion of external dispute resolution support and dedicated contacts for dispute resolution agencies like the ASBFEO so small businesses can have their dispute handled efficiently, hopefully resolved and resume operating their businesses sooner,” he said.
“And it needs to be backed by a real person you can speak to when a problem can’t be easily fixed.”
The Ombudsman has also produced a Guide to Using Social Media Securely, available at www.asbfeo.gov.au/sm-securely, which includes tips for small and family businesses about how to reduce the risk of being hacked and steps that can be taken with the digital platforms if you are.
“Treat your online business security like you would a shop, factory or your home,” Mr Billson said.
“You wouldn’t leave the doors open when there’s no one there. And you wouldn’t give a person you have just met the keys to your business or your house, so only give access to your business account to trusted individuals. And remember not all users require full admin access.
“We urge people to organise multifactor authentication, change their passwords frequently, have some other way of verifying their identity, back up your files regularly, activate software updates and consider using eInvoicing or PayID.”
Small and family businesses who need help resolving a dispute with a digital platform can contact the Ombudsman at www.asbfeo.gov.au
Keep up to date with our stories on LinkedIn, Twitter, Facebook and Instagram.
