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and Natural Product Claims in Health and Beauty Products All is Not What it Seems
Search
for
and
purchase
a
natural
facial
moisturizer,
for
example.
What
percentage
of
the
product
should
consist
of
natural
ingredients...
100%?...
90%?...
50%?...
10%?
Would
it
surprise
you
that
there
is
little
to
prevent
a
product
with
only
1%
natural
ingredients
from
claiming
a
'natural'
or
'organic'
position.
The
same
applies
if
you
are
searching
for
a
natural
treatment
for
acne,
natural
facial
cleanser
or
natural
skin
whitening.
This
may
come
as
a
surprise,
but
there
are
several
reasons
this
occurs.
Firstly,
although
in
the
mind
of
most
consumers
a
term
such
as
"natural"
has
a
clear
meaning
-
in
fact
there
is
no
universal,
global
definition
of
such
a
common
term
and
as
a
result
there
is
no
benchmark
to
judge
a
claim
against,
meaning
in
effect
these
terms
can
be
used
based
on
the
interpretation
of
the
user
-
of
course
opening
the
way
for
these
terms
to
be
used
with
a
wide
latitude
for
different
interpretations.
The
issue
is
further
compounded
by
the
differing
regulations
on
health
and
beauty
products
from
one
market
to
the
next,
and
also
the
different
regulatory
authorities
involved.
For
example,
in
the
USA,
while
the
Food
and
Drug
Administration
(FDA)
carries
responsibility
for
product
safety
and
consumer
protection,
the
FDA
does
not
have
jurisdiction
over
product
claims
related
to
"organic",
or
"natural"
-
which
are
governed
by
the
US
Department
of
Agriculture
(USDA).
In
many
countries,
voluntary
industry
organizations
exist
to
maintain
some
form
of
standards
benchmarking,
often
by
licensing
approved
products
to
use
a
statement
or
logo
from
the
organization
as
a
form
of
"seal
of
approval".
However
these
bodies
are
not
obligatory
and
have
no
power
to
curtail
the
activities
of
any
group
that
chooses
not
to
accept
their
position
or
guidelines.
The
dramatic
rise
of
cross-border
online
sales
has
compounded
the
situation
even
further.
Very
broad
as
the
regulations
may
be,
those
regulations
are
only
relevant
when
the
manufacture
and
sale
occurs
within
the
jurisdiction
of
the
regulator,
but
if
a
consumer
in
one
country
purchases
and
imports
a
product
from
another
country,
it
is
normally
a
case
of
"caveat
emptor".
For
example,
if
a
UK
consumer
was
to
purchase
a
health
product
online
from
a
UK
retailer
and
the
claims
breached
UK
regulations,
then
there
is
a
strong
likelihood
Royal Siam Natural Health & Beauty Company Limited B106 New Spring Mansion | 19/98-99 Soi Suphapong 3 | Srinarakin Road | Nhongbon | Pravet, Bangkok 10250 | Thailand | Ph +66 2 3308 740 | Fax +66 2 3308 741 Email info@royalsiam.asia | Website www.royalsiam.asia
that the relevant authorities in the UK would take action once the matter was raised with them. However if a consumer in another country like Lukesh (not a real country, so put down your atlas) was to purchase the same product and raise the same complaint, she is much less likely to get this resolved. Unless it was a matter of great importance, the Lukesh authorities would most likely decline to be involved in any way as this was not in their jurisdiction. A complaint to the UK authorities is also likely to have a low chance of success as the authorities there are likely to take the view that their charter and responsibility is for their own citizens, and not to look after the interests of Ms Bizarri in Lukesh, no matter how sympathetic they may be to her predicament. So, is this situation likely to improve in the foreseeable future? Unfortunately there is no real indication this is likely - and in fact as online shopping continues to rise in popularity, the issue is likely to become more of a concern. What can be done by those that want to change this situation? For the manufacturers of health and beauty products, the issue is to what extent should product explanations and claims be fully transparent, and would greater accuracy and openness place the company at a competitive disadvantage when others decided not to follow suit? One health and beauty products manufacturer recently decided to publish a detailed "Charter of Confidence" covering their stance on this and related issues as a way of attempting to create a tangible point of difference in their market position. "Our product range covers genuine 100% natural products that are hand-made in the traditional way, as well as a wider range of products that introduce various levels of artificial ingredients because they often make the products more user-friendly as well as powerful and effective," says a company spokesperson. "We decided to take a stand on this issue and believe that terms like 'natural' and 'organic' are absolute terms, like 'dead', or 'pregnant', and our promise is that we will be transparent in terms of our product ingredients and product claims, so the consumer knows exactly what they are getting - even when we are under no obligation to do so. "We don't have any doubt this will cost us business as consumers choose to purchase a competitive product because the competitor product appears more appealing because they have not chosen to publish the same level of detail. But in the long term we believe there will be a much greater positive impact on our business as consumers appreciate our stance and trust us more and more." It remains to be seen whether this approach proves to be successful or not, and whether it resonates with consumers to the extent that it attracts business to any appreciable extent. And for consumers - the people who actually purchase these products? As there seems to be no likelihood of things changing, the onus is on consumers to decide on their own action, and there are four key things consumers need to do if they desire change in this situation: 1. Be aware! Because contrary to the old saying, what you don't know CAN harm you.
2.
Be
suspicious!
As
a
consumer
you
are
the
'Border
Patrol'
governing
what
health
and
beauty
products
are
allowed
into
your
cupboard,
and
in
the
same
way
that
an
airline
passenger
must
make
a
declaration
and
then
be
subject
to
scrutity
before
being
allowed
entry
to
a
new
country,
you
should
subject
the
products
you
use
to
the
same
level
of
study.
Do
the
claims
of
this
product
seem
reasonable?
What
are
they
NOT
telling
me?
If
I
was
to
undertake
a
bag
search,
would
I
be
likely
to
find
contraband?
3.
Stand
up
for
your
rights!
Consumers
should
not
accept
what
they
believe
to
be
unacceptable.
If
they
have
questions
of
a
company
about
their
products,
they
should
ask
the
company
-
after
all,
the
manufacturer
wants
the
consumer's
money!
If
the
consumer
finds
statements
they
see
as
deliberately
misleading,
they
should
put
it
to
the
manufacturer
for
a
response.
If
not
satisfied,
today's
online
world
gives
many
opportunities
for
consumers
to
at
least
make
others
aware.
4.
Vote
with
your
feet
-
or
your
wallet.
If
a
consumer
believes
a
company
is
not
acting
correctly
in
the
way
they
are
presenting
their
product
claims,
then
they
should
not
purchase
their
products
-
and
tell
their
friends
and
family
why
(maybe
they
will
agree),
and
at
every
chance
tell
the
company
why
the
decision
not
purchase
their
products
has
been
made.
Conversely,
consumers
should
support
those
products
they
believe
meet
the
necessary
criteria.
If
there
is
ever
to
be
a
major
shift
in
the
regulations
governing
product
claims
or
in
manufacturers
voluntarily
disclosing
more
transparent
information,
it
will
only
be
as
a
result
of
a
groundswell
of
consumer
sentiment.
The
good
news
is
this
can
happen
and
we
have
seen
over
time
positive
changes
in
accepted
practice
in
many
areas
from
vehicle
safety
to
eliminating
lead
in
paint.
But
remember
these
changes
happen
only
when
individual
consumers
cease
being
passive,
and
take
a
positive
stand.
#
END
#
Author:
David
Christensen,
August
2012
About
the
Author:
A
veteran
of
the
Asia
Pacific
business
scene,
David
Christensen
is
an
Australian
(with
New
Zealand
roots),
currently
based
in
Bangkok,
Thailand
where
he
is
CEO
of
premium
skincare
and
anti
aging
products
manufacturer
Royal
Siam
Natural
Health
and
Beauty
(http://www.royalsiam.asia)
Having
lived
and
worked
in
14
countries
as
wide
afield
as
Russia,
India,
and
Japan,
David
has
a
background
in
advertising
with
Saatchi
&
Saatchi
and
DDB,
extensive
international
business
strategy
consulting
experience
as
a
Partner
with
Gravitas
Partnership
in
Hong
Kong,
and
senior
regional
line
management
roles
across
Asia
Pacific
with
American
Express,
Carlson
Wagonlit,
and
AXA
Asia
Pacific.
His
LinkedIn
profile
can
be
seen
at
this
link
LinkedIn
Profile
and
you
can
contact
him
by
email
at
david@royalsiam.asia