Net buyers gain new set of safeguards

Consumers who want refunds will be able to get them - with no questions asked

Consumers buying goods online will be able to return them within seven days without having to provide a reason for doing so, even if they are opened, and will have the right to a full refund, under new government regulations.

The changes to regulations that came into effect almost a year ago were announced by the State Administration for Industry and Commerce. They will come into force on March 15.

Under the new regulations, online retailers who refuse to refund money or delay doing so will be liable to fines of up to 500,000 yuan ($79,650; 71,400 euros), the administration said.

The current law requires that goods bought online be returned within seven days without exception, but it does not specify whether this includes items that have been opened.

Most online retailers have set up their own return schemes and say returned items should have their packaging intact and be in their original condition.

The China Consumers' Association says that since last year it has been flooded with complaints from consumers about online purchases, mostly about problems in returning goods.

"The new regulation will benefit consumers," says Wang Xiaoxing, an analyst with the Internet consultancy Analysys International. "Some consumers have become wary of e-commerce retailers after coming across counterfeit products online. The government needs to regulate online business behavior and protect consumers' rights."

"Returning items is reasonable, and online retailers are bound to respect the regulations. "If the disclaimers of e-commerce sites do not conform with the law their return policies will be null and void."

One instance of an item being returned after being opened would be when a consumer believes it does not match the item advertised online, Wang says. Regulations bar merchants from promoting products falsely, and the new law aims to improve the way items sold online are described and displayed.

The returns policies that e-commerce websites adopt vary widely. Most online merchants, such as the organic goods shop tootoo.cn, require that items returned be in the same condition as when they were dispatched and that packaging is undamaged.

Amazon.com Inc says that goods it sells can be returned within seven days, but in many cases 30 days, depending on the category of item, and the goods must be in their original condition.

China's largest online shopping portal, JD.com Inc, says the new regulation will further guarantee consumers' rights, and that it will strictly comply with the law. Currently, home appliances can be returned for up to 30 days, and there is a 180-day return policy for items with quality problems, JD says.

Some online retailers on Alibaba Group Holding Ltd's Taobao platform say they are worried that online business will become more difficult as a result of the new regulations.

"Unused items with intact packaging can be returned within seven days, and consumers are responsible for shipping fees when returning goods," says an online merchant who sells brand name cosmetics on Taobao.

"If consumers can return opened items just because they don't like them, that is going to put an unbearable cost burden on merchants."

Meng Jing contributed to this story.

zhuwenqian@chinadaily.com.cn

(China Daily Africa Weekly 03/06/2015 page19)