Government Sets New Standards for E-Commerce Portals Like Amazon and Flipkart

News Synopsis
The Consumer Affairs Department recently held a critical meeting with prominent e-commerce companies to address the pressing issue of fake reviews.
Representatives from major players like Amazon, Flipkart, Google, and Meta, among others, convened to discuss a proposed Quality Control Order aimed at implementing the IS 19000:2022 standard on 'online consumer reviews'.
This move comes in response to the failure of a voluntary system to effectively reduce the prevalence of fake reviews.
The Surge in Consumer Complaints
The urgency for stricter regulations is underscored by the dramatic increase in consumer complaints related to e-commerce. Complaints have surged from 95,270 in 2018 to a staggering 4,44,034 in 2023.
This exponential growth highlights the widespread dissatisfaction and mistrust among consumers regarding online reviews, necessitating immediate and robust action to protect consumers.
Proposed Quality Control Order
The proposed Quality Control Order seeks to enforce the existing IS 19000:2022 standard, which outlines comprehensive guidelines for both reviewers and platforms. The key measures introduced by these guidelines include:
Identification of Reviewers
One of the major changes proposed is the elimination of anonymity for reviewers. This measure ensures accountability as reviewers will now have to provide verifiable identities when posting reviews. The goal is to prevent individuals from hiding behind anonymous profiles to post fake or misleading reviews.
Unedited Reviews
To maintain the integrity of reviews, the guidelines prohibit the modification of reviews after submission. This measure is aimed at preventing any tampering with the content of reviews, ensuring that the feedback provided by consumers remains authentic and unaltered.
Encouraging All Reviews
The guidelines also prohibit platforms from suppressing negative reviews. This is intended to promote a more balanced representation of product feedback, allowing consumers to see both positive and negative experiences with a product. By doing so, the guidelines aim to foster greater transparency and trust in online reviews.
Significance of the Standards
Nidhi Khare, the Consumer Affairs Secretary, emphasized the significance of these standards. She highlighted the heavy reliance of online shoppers on reviews, especially for products they cannot physically inspect.
Fake reviews not only erode trust in online platforms but also lead to poor purchasing decisions. By implementing these standards, the government aims to protect consumers and restore faith in the online shopping ecosystem.
The Call for Effective Enforcement
Consumer activist Pushpa Girimji, who participated in the meeting, welcomed the initiative but stressed the need for effective enforcement to truly address the issue of fake reviews. She pointed out that while the proposed measures are a step in the right direction, their success will largely depend on how well they are implemented and monitored.
Public Consultation and Future Steps
The draft Quality Control Order will undergo a period of public consultation before its implementation. This process will allow stakeholders, including consumers and industry players, to provide feedback and suggestions. The consultation period is a critical step in refining the order to ensure it is both practical and effective.
A Commitment to Trustworthy Online Shopping
This initiative marks a significant step towards fostering a more trustworthy online shopping environment for Indian consumers. It signals the government's commitment to tackling the issue of fake reviews head-on, aiming to create a safer and more reliable e-commerce landscape.
By addressing the root causes of fake reviews and implementing stringent standards, the Consumer Affairs Department aims to protect consumers and enhance the overall online shopping experience
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