The plan to tackle customer service bots and subscription fatigue
Digest
This episode delves into the Biden administration's efforts to address common consumer frustrations, particularly in the realm of customer service. The episode highlights the growing frustration with automated systems and the decline in patience during customer interactions. The administration's pro-consumer agenda aims to simplify subscription cancellations, ensure automatic flight refunds, and streamline customer service interactions. The episode explores the potential impact of these regulations on businesses, with the Chamber of Commerce expressing concerns about micromanagement and the ability to offer different price points. Nira Tandon, director of the White House Domestic Policy Council, responds by emphasizing the need for baseline consumer protection and highlighting examples of companies that support the proposed regulations. The episode also delves into the definition of "hidden fees," specifically addressing the example of resort fees. The episode concludes with a discussion of the "Time is Money" initiative, which aims to protect consumers from time-wasting practices and ensure easier access to refunds, cancellations, and human interaction.
Outlines
Consumer Frustration and the Pro-Consumer Agenda
The episode explores the common frustration of dealing with automated customer service systems and the decline in patience as interactions progress. The Biden administration announces new regulations aimed at addressing everyday consumer headaches, including simplifying subscription cancellations, ensuring automatic flight refunds, and streamlining customer service interactions.
Can Regulations Improve Customer Service?
The episode questions whether government regulations can truly improve customer service experiences, highlighting the perspective of Nira Tandon, director of the White House Domestic Policy Council. The episode delves into the details of the White House's "Time is Money" initiative, which aims to protect consumers from time-wasting practices and ensure easier access to refunds, cancellations, and human interaction.
Chamber of Commerce Concerns and Response
The Chamber of Commerce expresses concerns about the proposed regulations, arguing that they could micromanage businesses and undermine their ability to offer different price points. Nira Tandon responds to the Chamber's objections, emphasizing the need for baseline consumer protection and highlighting examples of companies that support the proposed regulations.
Defining "Hidden Fees" and Conclusion
The episode discusses the definition of "hidden fees," specifically addressing the example of resort fees that include services like Wi-Fi and board games. The episode concludes with credits and a promotion for the "Consider This" newsletter.
Keywords
Customer Service
The process of providing assistance to customers, including addressing inquiries, resolving issues, and providing information.
Automated System
A system that uses technology to automate tasks, such as answering customer calls or providing information, often replacing human interaction.
Junk Fees
Hidden or unexpected charges added to a bill or purchase, often without the customer's knowledge or consent.
Pro-Consumer Agenda
A set of policies and initiatives aimed at protecting and promoting the interests of consumers, often focusing on issues like pricing, transparency, and access to information.
Federal Trade Commission (FTC)
An independent agency of the U.S. government responsible for enforcing consumer protection laws and promoting fair competition in the marketplace.
Department of Transportation (DOT)
A U.S. government agency responsible for regulating transportation systems, including airlines, railroads, and highways.
Subscription
A recurring payment for a service or product, often with a set period of time or a specific number of uses.
Resort Fee
An additional charge added to the price of a hotel room, often covering amenities like Wi-Fi, pool access, or fitness center usage.
Chamber of Commerce
A business organization that advocates for the interests of its members, often lobbying for policies that support business growth and economic development.
Q&A
What are some of the everyday consumer headaches that the Biden administration is trying to address?
The Biden administration is targeting issues like difficult subscription cancellations, lack of automatic flight refunds, and frustrating automated customer service systems.
How does the White House plan to make the private sector comply with these new regulations?
The Consumer Financial Protection Bureau will create rules that define acceptable practices, aiming to ensure that companies make it as easy to cancel a service as it is to sign up for it.
What are the concerns raised by the Chamber of Commerce regarding these proposed regulations?
The Chamber of Commerce argues that the regulations could micromanage businesses and undermine their ability to offer different price points to consumers.
How does Nira Tandon respond to the Chamber of Commerce's objections?
Tandon emphasizes the need for baseline consumer protection and highlights examples of companies that support the proposed regulations, arguing that they reflect a well-functioning market.
What is the definition of "hidden fees" and how does the White House plan to address them?
The White House defines "hidden fees" as charges that are not transparent to consumers at the time of purchase. They aim to ensure that these fees are disclosed upfront, allowing consumers to make informed decisions.
Show Notes
And it's doing that by having federal agencies make new business rules.
There are actions to simplify health insurance paperwork, crack down on fake product reviews, streamline parent-teacher communications in schools and circumvent those automated customer service calls that the White House labels "doom loops."
It's all part of a wider economic mission to eliminate modern business practices that the Biden administration believes exploit Americans.
Neera Tanden, the director of the White House Domestic Policy Council, breaks down why this is happening and how it will work in reality.
For sponsor-free episodes of Consider This, sign up for Consider This+ via Apple Podcasts or at plus.npr.org.
Email us at considerthis@npr.org.
Learn more about sponsor message choices: podcastchoices.com/adchoices
NPR Privacy Policy
Table of contents
United States
