SAIC Urges China's Online Marketplaces to Check Servers Before Singles' Day
Yicai Global
/SOURCE : Yicai
SAIC Urges China's Online Marketplaces to Check Servers Before Singles' Day

(Yicai Global) Nov. 8 -- Due to problems during past Singles' Day, China's biggest online shopping event on Nov. 11, the government is asking e-commerce platforms to strictly check servers to ensure full access.

China's State Administration for Industry and Commerce (SAIC) held a meeting yesterday to discuss regulating promotions with 15 online marketplaces including Jingdong Mall, Baidu, Amazon China, Alibaba and Tencent, according to state-run CCTV.

Tmall, an online platform of the Alibaba Group Holding Ltd., started Singles' Day in 2009. The number of e-businesses that participated in the promotion was limited then, but volumes spiked beyond expectations. In recent years, it has become an annual event for China's online retailers and is gradually influencing international e-commerce business.

SAIC asked the online platforms to fulfill their obligations of releasing information in advance, strictly checking access, recording and saving information on promotions. They are not allowed to restrict e-businesses in taking part in promotion activities on other online platforms.

SAIC also claims that e-businesses are prohibited from violating consumers' interests by taking advantage of the contract terms, fabricating transactions, conducting false advertising on the number or volume of transactions, releasing misleading ads, offering fabricated discounts to attract consumers or discounts with no products available.

E-businesses were also banned from using fake products as gifts, or lifting their credit by fabricating transactions, total number of transactions or user comments.

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