Small business disputes with digital platforms like Facebook are the fastest-growing complaint category faced by small business ombudsman Bruce Billson, who says his office has heard 140 cases in the past six months alone.
Businesses are struggling to regain access and control of their social media pages after they are hacked, according to a new report by the ABC.
Speaking to the broadcaster, the Australian Small Business and Family Enterprise Ombudsman (ASBFEO) said his office frequently hears from business owners frustrated by the lacklustre level of support and customer service offered by major social media platforms like Facebook.
Business owners are “exasperated” by the time they contact the ASBFEO, Billson said, as many had tried and failed to recover their accounts by petitioning Facebook directly.
Resolution can take weeks even when the ASBFEO escalates its concerns to Meta, the parent company of Facebook and Instagram, Billson added.
The ABC heard that delayed action can not only limit legitimate users from accessing their accounts, it can stop owners from purchasing social media advertising campaigns, reducing their outreach to new customers.
It is not the first time Billson has raised his concerns about how digital platforms respond to complaints and concerns raised by small business users.
Speaking to Canberra’s 2CC radio station in January, Billson described the process of trying to regain access to an account as “the ultimate run-around”.
“And that’s why we’ve been saying to these digital platforms, ‘Come on, guys, you can do better than that,’” he continued.
“Have internal dispute resolution mechanisms. Have available a real human to speak to, where you know the frequently asked questions don’t solve the problem, and if all else fails, work with us, just to make sure those enterprising men and women can stay in business.”
Regulators have their own recommendations, too.
The Australian Competition and Consumer Commission (ACCC) has called on the federal government to establish an independent ombudsman capable of dealing with disputes and imposing penalties in disputes between small businesses and digital platforms.
Timely and effective customer service is necessary, especially for “SME advertisers who rely on social media platforms to reach their customers,” the ACCC said as part of its Digital Platform Services Inquiry.
“Without such measures, power imbalances between advertisers and social media platforms may be exacerbated, and advertisers may suffer significant harms such as financial loss from being locked out of their account or reputational damage from being unable to remove fake reviews,” the consumer watchdog added.
That recommendation is supported in principle by the federal government.
“A lack of effective dispute resolution processes can reduce trust and confidence in digital platform services and prevent Australians from taking full advantage of the benefits provided by digital platforms,” the government said in its response to the ACCC’s inquiry.
For its part, Facebook asks users who believe their account has been compromised to share information about their situation or complete a questionnaire directing them to the most suitable solution.
Senior Business Journalist
Focused on the small business sector, David’s work covers the political, regulatory, and economic issues facing Australian entrepreneurs. Prior to joining SmartCompany, he was a reporter for Business Insider Australia. You can follow him on LinkedIn.
