How were elderly customers specifically targeted by DNA Brands?

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Elderly Customers Specifically Targeted by DNA Brands Through Financial Scrutiny and Pressure Tactics

DNA Brands, a beauty and wellness chain, engaged in specific tactics to target elderly customers, including scrutinising their retirement savings and pressuring them into purchasing services. Investigations revealed that some staff members checked the Central Provident Fund (CPF) balances of elderly clients. In at least one documented instance, a consumer was coerced into utilising their CPF savings to finance beauty packages and products. Furthermore, some employees actively assisted these customers in altering their CPF withdrawal limits and directed them to nearby bank branches or automated teller machines (ATMs) to facilitate cash withdrawals.
Scrutiny of Retirement Savings

As part of their sales strategy, certain employees of DNA Brands extended their scrutiny to the financial resources of elderly customers by examining their Central Provident Fund (CPF) balances. This practice went beyond standard sales interactions, delving into the private retirement funds of vulnerable consumers. The intent behind this was to identify potential avenues for immediate financial transactions, leveraging these retirement savings for the purchase of beauty packages and products.
Pressure to Use CPF for Purchases

The targeting of elderly customers escalated to direct pressure to utilise their retirement funds for services. In a specific case highlighted by investigations, a consumer was pressured into using their CPF savings to pay for beauty packages and products. This indicates a deliberate strategy to exploit the financial security measures of older individuals for commercial gain, disregarding the long-term implications for their retirement.
Facilitating Cash Withdrawals

Beyond merely identifying available funds, some DNA Brands staff actively facilitated the immediate conversion of these savings into usable cash for purchases. This involved assisting customers in changing their CPF withdrawal limits, a process that typically requires specific procedures. Additionally, staff directed customers to nearby bank branches or ATMs, ensuring that the cash could be withdrawn promptly and used to complete the transactions for the beauty packages and products.
Financial Vulnerability and Transaction Scale

The scope of these practices is underscored by the financial scale involved. Approximately half of the complainants had spent over S$10,000 on packages and products. Critically, at least 40 per cent of these complainants were aged 60 or older, indicating a significant proportion of elderly individuals were subjected to these aggressive sales tactics and large financial commitments.

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How were elderly customers specifically targeted by DNA Brands?

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