New e-commerce rules will come into effect from January 2023

Let's take it step by step. The changes concern the following areas: 

• Discounts and their display 
• Reviews 
• Purchase buttons 
• Product sorting 
• Complaints and adjustments in the general terms and conditions 
• Customer withdrawal from the contract 

Who is affected by the amended legislation? 

Changes must be adhered to by anyone who owns and operates an e-shop not only in the Czech Republic or Slovakia but generally throughout the European Union. Now let's focus on the specific news that awaits us.

1. Marketing Changes – Discounts and Reviews

Calculating Discounts the New Way

The end of all fake promotions like Black Friday, Cyber Monday, and Yellow Sunday lasting from November to July. The new feature of calculating blanket discounts operates with a 30-day period. This means no more artificial price increases just before the promotional week and flashy (but false) signs advertising discounts of up to 70%. 

You will always calculate the new price from the lowest price of the sold goods in the last 30 days. Both prices should be displayed in your offer – the new one and the crossed-out original. You probably realize by now that if you haven't planned discount promotions before, you will likely need to start now.

Be careful when setting new discounts on your e-shop. The 30-day rule applies not only to the word “discount” but also to any synonyms. For example…

• Promotion 
• Super Sale
• Special Offer
• Great Price
• Price Buster

Recommendation: Where you do not have to adhere to this 30-day period for discounts are discount codes intended only for the “chosen ones” – usually for birthdays, anniversaries, promotions like buy 2 get 1 free, or purchases over a certain amount. The condition is that they must not be distributed en masse to all your customers. They cannot simply be given out broadly. In such cases, you must again follow the new rule.

Note: This change in legislation does not apply to you if you operate in the B2B sector or as B2C offer 

• services
• sell intangible products
• and products that spoil quickly. 

Reviews and Ratings

There is a change in the rules regarding the evaluation of your services and products. From now on, it will be necessary to verify every review you present. In short, you should check that any review of your products or services that you reference truly comes from a person who has purchased them.

The ideal way is to incorporate this into your terms and conditions and explain in detail how you verify reviews. Definitely avoid deleting negative ratings.

Note: Verification also applies to you if you reference reviews on Google, Seznam, or price comparison sites. 

2. Purchasing Process and Button Amendment

Obligations

• What criteria do you use to sort products on your e-shop? This is something that will need to be addressed – clearly state the logical criteria by which you sort products: by newest, alphabetically, or by popularity among customers?
• Before submitting an order, you must prompt the customer to review their cart.
• Terms and conditions must be sent to customers in electronic form, in a non-editable format – for example, in a PDF file. Ideally, attach the terms and conditions to the order confirmation email. 
• The terms and conditions must include your email, business address, and phone number.
• Unless otherwise agreed with the customer and stated in the terms and conditions, the delivery period for goods is 30 days from the conclusion of the purchase agreement.

INFO: We at PUXdesign are happy to assist you with all these points. Contact us.

Prohibitions

• E-commerce operators are prohibited from subtly adding products to the cart with pre-checked boxes. This is no longer allowed. 
• It is also forbidden to sell goods of dual quality. If you offer products of the same brand with the same description across countries, selling a different quality for the Czech market can lead to serious issues.
• Even closing contracts over the phone won't work. From January 2023, a telephone agreement must also be confirmed in writing. Only then can it be considered valid.

Button Novel

A term that was discussed in all cases in the fall of 2022. The Button Novel has become a dreaded specter that everyone operating an e-shop or online business will have to deal with. 

Until now, you may have had the text Order Goods or Add to Cart for a product, and that was sufficient? This will no longer work. The text must explicitly state that by clicking the button in the final step of the purchase, the customer commits to payment. 

Suitable alternatives include:

• Order with payment obligation
• To payment
• Buy now
• Pay now
• Confirm purchase

For the classic button Contact me, where you are only sending an email or filling out a general inquiry form, you do not need to make changes. 

3. Complaints and Withdrawal from the Contract 

Extended Liability for Goods

If you send goods to a customer, you guarantee their safety. But what if the customer finds a defect despite this? You must then give them the option of whether they want the product repaired or exchanged for a new one. 

Until now, the customer had 6 months from the receipt of the goods to file a complaint. However, this complaint period is now extended to double (i.e., 12 months). 

Withdrawal from the Contract

To end on a positive note, the amendment to the law will ease the burden on e-commerce operators in the case of withdrawal from the contract. The 14-day period still applies, but until now, the customer could try the purchased product at will – in practice, this meant wearing it for 14 days and then returning it. This left sellers with nothing but tears and visibly worn goods that they could no longer sell. 

With the amended legislation, the condition of trying and inspecting goods as in a physical store comes into effect. What if damaged, dirty, or visibly used goods are returned anyway? Thanks to the revised terms and conditions, you can deduct part of the purchase price and refund the customer a lower amount. 

If you are unsure about any changes for e-shops, our customer support colleagues are ready to assist you. Contact us, we will advise you.