e-Commerce Laws
eBay to build X.Commerce platform
EBay has been acquiring a number of e-commerce companies recently with a view to build its own e-commerce platform – X.Commerce. In May 2011, EBay acquired the rest of e-commerce platform Magento, which it previously had a 49 percent stake in. On June 17, 2011, EBay Completed Acquisition of E-commerce Service Provider GSI.
eBay is building a broader commerce operating system that spans online, mobile, social and local with a view to be the go-to resource for online and offline retailers, helping connect them to consumers.
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Global Ecommerce Revenue to Grow 19% in 2011, predicted JP Morgan
Nothing But Net: 2011 Internet Investment Guide
According to the annual New Year report by JP Morgan senior analyst Imran Khan, global ecommerce revenue will grow nearly 19 percent in 2011 to the tune of $680 billion. In the US alone, Internet sales are expected to grow 13.2 percent to $187 billion.
And the snowball is rolling fast. By 2013, JP Morgan analysts predict ecommerce revenue will hit a staggering $963 billion.
Naturally, those shopping online are doing so in increasing numbers, with 38 percent of shoppers buying items or services online at least once a month. Those who don’t shop online declined to 12 percent in 2010 from the 20 percent that reported never shopping online in 2007. Higher end consumers are most often likely to shop online, with 34 percent of those who make more than $100,000 or more shopping at least three times per month.
However, ecommerce rates are growing significantly slower than online advertising space. While stats as of 2009 estimate that ecommerce sales represent 3.9 percent of US retail, online advertising comprises 13.7 percent of all advertising in the US.
The future blooms bright for ecommerce, as does finding a parking space in the mall next Christmas season. Why brave stressed out crowds when Google is just a keyboard or app away?
U.S. Treasury: E-commerce as a Green Initiative
U.S. Treasury says E-commerce would save millions of dollars.
The U.S. government will save 12 million pounds of paper and more than $400 million in five years by moving to electronic transactions, officials said.
The U.S. Treasury Department announced a three-pronged initiative to move from paper to electronic transactions as part of a green initiative.
“Treasury must lead the way in developing methods to deliver payments that are safe and secure in a manner that is efficient and reliable,” said Treasury Secretary Timothy Geithner.
The department said it would save $300 million in five years by requiring recipients of Social Security benefits and other similar programs to receive their disbursements through direct deposit or debit cards issued by the Treasury Department.
A move to switch Federal Tax Deposit coupons from paper to electronic deposits starting in 2011 will save the U.S. taxpayer around $65 million during the first five years.
Finally, the Treasury Department will get rid of the option to purchase paper savings bonds through payroll deductions for federal employees starting Sept. 20 and for the private sector by Jan.1, saving $50 million during five years.
“By moving to all-electronic payments, Treasury will save hundreds of millions of dollars and substantially reduce our environmental impact, making this a win-win for all Americans,” added Geithner.
EU New Rules Could Hinder Ecommerce growth, experts warn
Experts warns that the EU New Rules Could Hinder the grrowth of E-commerce.
European consumer groups are warning that new EU rules, to be unveiled on Tuesday, allowing manufacturers to choose how their goods are distributed and sold could jeopardise the growth of e-commerce and online-retailing.
The rules will be formally approved and announced by the European Commission on Tuesday afternoon. Technically, they are a revision of existing regulations, which dictate the terms on which so-called “vertical agreements” between manufacturers and distributors are exempted from normal competition rules.
The review has to be completed by May this year, because the existing rules are time-limited.
But the review has turned in a fierce battle between online retailers, such as eBay and Amazon, and brand manufacturers – notably the European luxury goods industry – such as LVMH, Chanel, and Richemont.
Both sides have been lobbying furiously in Brussels, with the latter claiming they should be allowed to impose certain sales restrictions, so that money spent on brand promotion and “image” creation is not undermined and unfairly exploited by online sites outside their control.
The electronic retailers, on the other hand, are keen to push any barriers to listing goods online and claim that any constraints on this will simply result in higher prices for consumers.
Competition officials at the European Commission, however, are widely expected to present a compromise between the two positions. They are likely to include a clause that will allow a manufacturer to require that retailers that it supplies have a “bricks and mortar” presence.
But they are also expected to take on board some changes aimed at helping to develop the online, internet-based retail market and to guard against anti-competitive conduct.