ADR regs improving relations between consumers and businesses for 5 years
The Consumer Codes Approval Scheme (CCAS) celebrates over five years of success this month. The ADR regulations which launched in 2015, help businesses to improve relations with their consumers by providing a robust customer complaints procedure, clear pre-contractual information and encouraging dispute resolution before going to court.
The aim of the Consumer Codes Approval Scheme (CCAS) is to improve customer service standards.
Businesses who belong to a CCAS code sponsor can display the Chartered Trading Standards Institute (CTSI) approved code logo so when consumers are searching for a business, they can look out for the logo and be confident that any approved business they choose has a proven commitment to honest business and higher customer standards.
In the past five years, over 68,000 UK businesses joined the scheme demonstrating the increasing popularity of the support of a third-party organisation to help resolve disputes outside court.
With the many challenges to businesses in 2020, the scheme has seen membership grow substancially with the most recent report showing a 32% year on year growth in membership. Growth in consumer spending across code businesses also kept up the pace, surging by a staggering £51.5bn. This represents a 62% year-on-year increase with almost £135bn of spending now protected by the scheme.
Sue Steward, Head of Client & Commissioning at the Chartered Trading Standards Institute (CTSI) which operates the scheme, said:
"I am pleased to report that one of our code sponsors, the Home Insulation and Energy Systems Scheme (HIES) received an award at the UK Complaint Handling Awards this year.
"This is good news not only for customers but also businesses during what is an extraordinarily difficult time for UK business. The unprecedented pandemic has hit consumer confidence, and as such CCAS membership is an important tool for improving it. Businesses that are part of an approved code benefit from improved customer relations standards and supports the confidence of consumers.
ADR schemes give businesses the peace of mind that there is someone there to help overcome disputes outside of court. Avoiding costly legal cases is a priority, especially during challenging times for business.
I look forward to the next five years, which I'm certain will bring even more reassurance for businesses and aid the recovery of the economy."
For businesses who are not already a member of a code sponsor, it is worth finding out if there is an approved code for your industry and if you qualify for membership. Displaying the logo helps to promote your business as reliable and trustworthy as all members are required to have clear terms and conditions and access to a clear complaints and ADR procedures for their customers. Providing reassurance that any purchases they make are protected. This in turn will help you to attract and retain customers.
Find out how the Consumer Codes Approval Scheme can help your business.