Sellers free to offer discounts on online platforms: DIPP

By

Maverick Martins

Published
Dec 6, 2016

E-commerce companies have told the Department of Industrial Policy and Promotion (DIPP) that discounts on their platforms are being offered by sellers, who are free to run such schemes both in online and offline mediums, a senior official said on Monday.
 

“E-commerce companies have been telling us that the discounts are being given by the sellers and brand owners and when they come out with advertisements, they also make a disclaimer,” DIPP secretary Ramesh Abhishek said on the sidelines of an Amazon conference. He said sellers and brand owners can offer discounts both in online and offline mediums.
 
The comments come amid controversy over advertisements for discounts by online retailers like Amazon, Flipkart and Snapdeal.

Offline players, including traders body CAIT, have in the past raised concerns over these discounts, alleging they infringe on e-commerce guidelines.

As per DIPP guidelines, e-commerce marketplace players cannot directly or indirectly influence the sale price of goods or services on their platforms and shall maintain a level playing field.