The Omnibus Directive and e-commerce in Poland
What is the Omnibus Directive and how does it affect e-commerce in Poland? Find out now.
On 28 May 2022, the new Omnibus Directive came into force. The document was drawn up by the Council of the EU and the European Parliament as part of efforts to protect consumer rights. Thanks to the directive, e-commerce customers (and others) will have greater awareness of product prices and the validity of other consumers’ reviews on online shop websites. The EU document in question applies to B2C trade.
The e-commerce market and consumers
The Council of the European Union drew up the Omnibus Directive in response to the harmful practices of certain traders. Consumers were often deceived, for example, by shop owners artificially inflating prices. This tendency usually occurred during promotional campaigns or sales.
Furthermore, the information provided about the sales pages was unclear. It misled consumers, meaning they were unaware of exactly who they were entering into a purchase agreement with. Concerns arose in particular on marketplace-type platforms.
Reviews were appearing on online shop websites that were not being verified on an ongoing basis. Omnibus enforces ongoing moderation of posts to protect consumers from misleading content.
New regulations, as well as sales and special offers
The new e-commerce regulations govern matters relating to the prices of products and services during sales and price reductions.
The trader will have to provide additional information to the consumer. Their new obligation is to display below the product information regarding the lowest price of the goods or services sold 30 days from the introduction of the price reduction.
If a product has been on sale for less than 30 days, the trader is required to state its lowest price during the period it was on sale up to the time of the price reduction.
Failure to comply with the above rules, may result in a fine of 20 thousand. zł, and in the event of three instances within a period of 12 months, breaches by the business owner of the rules, the fine may increase to 40 thousand zł.
Customer feedback and the Omnibus Directive
Another issue relating to the new Omnibus Directive concerns customer reviews. Shop owners will now be required to carry out more thorough verification of reviews. Misleading users – that is, publishing false reviews – will result in penalties. As a shop owner, you will need to clearly set out how you ensure the credibility of your reviews.
Omnibus, and shopping outside the shop
The new Act also regulates matters relating to purchases made outside a shop. The provisions apply, amongst other things, to fairs, presentations, demonstrations, etc. At events of this kind, purchases are made on the basis of impulsive decisions and pressure from the seller. The Omnibus Directive clearly states that such transactions will be deemed invalid under the law.
The Omnibus Directive in Poland
The Omnibus Directive came into force on 28 May 2022. However, it is not a law that has the force of statute. The Polish government has not yet enacted new legislation to transpose it, which is why the EU directive is not yet in force in our country. For the time being, businesses need not worry about any potential penalties.
The benefits of the Omnibus for businesses
What benefits will you, as an entrepreneur, gain from the Omnibus Directive?
- A website that is more user-friendly (in line with UX)
- An easier start in the foreign market
To sum up, the new regulations imposed by the European Union are a good solution when it comes to consumer protection. Thanks to them, potential customers will be better informed about the prices of goods and the transactions themselves. Furthermore, as a business owner, you will find it easier to start selling abroad. However, you must remember to comply with all the rules to avoid heavy fines.