Food delivery platforms need govt regulation to prevent exploitation and scams, says Stomper
Welcome to Stomping Ground – a space where Stompers share reflections, personal essays and social commentaries that spark conversation and insight.
Food delivery platforms suffer from structural weaknesses and need to be regulated by the Government, said a Stomper.
This comes after a recent Stomp report that a delivery rider was accused of stealing the food he was supposed to deliver.
"From my point of view, any application or service involving more than two parties, such as platforms that connect consumers with service providers, must be subject to government oversight," said the Stomper.
"Such regulation is critical to ensure fairness, uphold integrity, maintain transparency and protect all parties from exploitation through scams, technical loopholes or misuse. Many multi-party digital platforms today exhibit significant flaws due to inconsistent checks and a lack of proper regulatory enforcement.
"Similarly, food delivery platforms suffer from structural weaknesses, including the absence of proper delivery verification, incomplete address information, and a lack of mechanisms to confirm whether the correct individual picked up or received the order. No cancellation by delivery personnel feature after food is picked-up and no cancellation by customers after vendor prepared the food or delivery personnel on the way to the destination.
"These vulnerabilities create opportunities for fraud, delivery mishaps and customer-service disputes, offering little protection for both users and vendors.
"Digital payment systems like PayNow also pose serious concerns. While they are designed for speed and convenience, they currently lack essential security features, particularly around identity verification. At present, only partial recipient information is shown before confirming a transaction, leaving users vulnerable to impersonation scams, mistaken transfers, and financial loss."
The Stomper proposed that to improve trust and security, the following measures should be introduced:
Mandatory verification of both payer and payee identities
Full names and registered phone numbers of both parties must be clearly displayed before confirming a transaction to ensure mutual transparency.
Display of the payer’s registered phone number
This helps recipients verify the source of payment and adds a layer of accountability and traceability.
Improved recipient-side applications
Instead of relying on generic email notifications, a secure and integrated application interface should notify recipients of transactions with clear, real-time data.
Detailed transaction alerts
Notifications should include the full name and phone number of both the payer and payee, along with the transaction amount and reference notes, to prevent confusion or fraud.
Real-time scam alert integration
Transfers to phone numbers or accounts flagged in official scam watch lists should be automatically blocked or require extra verification steps.
Centralised Government-backed dispute resolution
A unified, accessible platform should be established to handle complaints and disputes related to digital platforms and payments, with the authority to investigate and enforce outcomes fairly for both users and vendors.
"As digital platforms and cashless transactions become increasingly embedded in daily life, the risks of abuse, fraud, and technical exploitation grow in tandem," added the Stomper.
"Relying solely on platform self-regulation is no longer viable. A comprehensive and transparent regulatory framework is urgently needed to ensure these systems are trustworthy, secure, and equitable for all stakeholders."
Have your say on Stomping Ground! Write in to us at stomp@sph.com.sg or WhatsApp 9384 3761.
See something interesting? Contribute your story to us.
Explore more on these topics
