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SCMP Editorial

The authorities have taken a welcome step towards setting up regulations to shield Hong Kong consumers from the unfair trade practices and high-pressure tactics that have plagued the city’s beauty and fitness industries for years.
The government’s proposed new laws show promise for restoring confidence, but officials, businesspeople and the public should make the best use of the consultation now under way to ensure legitimate operations continue to thrive.
There is broad public support for steps to address gaps in current enforcement under the Trade Descriptions Ordinance. Long-duration contracts often involve substantial prepayments and contract commencement dates that can be deferred for decades.
Policy recommendations suggested under the two-month consultation that started on Monday include a statutory seven-day cooling-off period and a 14-day refund window for prepaid contracts.
Also proposed was a two-year limit on contract duration, aimed at helping consumers better assess whether prepayment amounts are reasonable. The city’s Customs and Excise Department could also be authorised to handle cases involving wrongful acceptance of payment.
Cooling-off periods give consumers room to breathe and reconsider decisions made under duress. They can also reduce costly litigation and deter predatory operators.
Over the past six years, the authorities logged about 5,000 complaints relating to the prepayment mode of consumption against beauty and fitness services. There are no plans to target dance and yoga studios, given the relatively few complaints against such venues.
The Consumer Council has long advocated for a statutory cooling-off period. In 2024 alone, the watchdog recorded nearly 3,000 complaints involving HK$93 million (US$11.85 million). Almost half of the cases were linked to the now-closed Physical Fitness chain.
Industry concerns must also be addressed. Some operators have questioned a proposed cap on administration fee deductions for refunds, which could leave them out of pocket for actual bank or credit card instalment processing costs. Others worry that a strict two-year contract limit is too short for beauty treatments, as these are usually sold in terms of the number of sessions and the interval between sessions can be long.
It is good that officials are already looking into exempting some lower-value contracts to avoid harming honest, smaller enterprises with a one-size-fits-all approach. It is important that the consultation period be used to work out issues to ensure robust laws that protect consumers, yet allow honest operators to thrive.


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Hong Kong society

In curbing hard-sell tactics, Hong Kong must strike a balance

People exercise in a gym in Choi Wan Estate on March 16. Photo: Dickson Lee

Hong Kong proposes cooling-off period for beauty, gym deals to curb hard-sell tactics

Complaints involving beauty and fitness services account for nearly 90 per cent of sectors most prone to improper selling practices, according to the government.  Photo: Xiaomei Chen

The proposed measures will apply to contracts offered by fitness centres. Photo: K Y Cheng

No plan to extend tighter rules to yoga and dance studios: Hong Kong official

The proposals have triggered concern in the beauty industry. Photo: Jelly Tse

Gordon Yau says improper sales tactics have been largely eradicated in the gym business. Photo: Handout

Opinion

The consultation period must be used to work out issues to ensure robust laws that protect consumers, yet allow honest operators to thrive


The consultation period must be used to work out issues to ensure robust laws that protect consumers, yet allow honest operators to thrive.


Consumer protection in Hong Kong

Legislative Council of Hong Kong (Legco)

Hong Kong

Expresses the views, ideas and conclusions of the author. (Eg. Enough of Crazy Rich Asians, think of crazy poor Hongkongers.)


Column

Editorial

In curbing hard-sell tactics, Hong Kong must strike a balance

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}The consultation period must be used to work out issues to ensure robust laws that protect consumers, yet allow honest operators to thrive

The consultation period must be used to work out issues to ensure robust laws that protect consumers, yet allow honest operators to thrive