Consumer complaints and privacy concerns are mounting as AI-powered recommendation services and chatbot assistance become standard features in South Korea's rapidly expanding online shopping market. Product defects, false advertising, and data breaches are on the rise, prompting Seoul Metropolitan Government to launch investigations and consider regulatory improvements.
According to a survey released by the Seoul Metropolitan Government on Tuesday, 30.2% of 1,000 online shoppers polled in October reported experiencing problems while shopping online. Product defects topped the list at 65.6%, followed by delivery delays at 42.7% and false or exaggerated advertising at 30.1%.
Customer service accessibility emerged as a significant pain point, with 41.1% of respondents reporting difficulty reaching customer support centers when problems arose. Additionally, 39.4% complained that chatbots repeatedly provided irrelevant responses to their inquiries.
Data privacy concerns proved equally troubling. Some 28.1% of respondents said they had experienced actual data breaches, while 78.0% expressed anxiety about potential exposure of personal information during online transactions. Strengthening security measures at online retailers was cited as the most urgent priority by 40.8% of those surveyed.
Influencer marketing on social media and video platforms also drew skepticism. Nearly 40.9% of respondents worried about false or exaggerated advertising, while 24.0% criticized sales driven by influencer popularity rather than product quality. To prevent such harm, 61.6% said influencers should be held liable for refunds and compensation when promoting misleading advertisements.
Opinions on AI-based product recommendations were divided. While 39.5% appreciated discovering previously unknown products and 28.6% valued personalized suggestions matching their preferences, concerns persisted. Some 31.2% felt the technology pushed unnecessary purchases, and 24.0% found it difficult to distinguish between paid advertisements and genuine AI recommendations.
Customer reviews remained influential, with 69.7% finding them helpful for purchase decisions. However, respondents expressed frustration over the lack of options to filter out paid or employee reviews (36.8%) and the absence of features to view critical reviews (27.2%).
Fast delivery continued to drive purchasing decisions, with 86.2% of respondents rating shipping speed as important. At the same time, respondents called for better working conditions for delivery workers, including adequate rest time and facilities through expanded staffing (86.8%), workforce increases (84.1%), and automated delivery systems (84.2%).
Based on these findings, the Seoul Metropolitan Government plans to continue monitoring deceptive business practices and conducting investigations. Consumers who experience online shopping problems can seek assistance through the Seoul E-Commerce Center website.
"We will work to create an e-commerce environment where consumers can shop with confidence," said Kim Myung-sun, director of the Fair Economy Division at Seoul Metropolitan Government.