1 hr ago
New E-Commerce Rules Set Discount and Search Standards
New rules will change how online shops show discounts and search results.
When a shop advertises a lower price, it must also show the lowest price from the previous 30 days.
This makes it harder to raise a price briefly and then claim a large discount.
The rules do not tell sellers what prices they must charge.
Online platforms also cannot change search results in misleading ways.
They must explain the main things that affect which products appear first.
This could help shoppers understand why they are seeing certain products.
The rules will begin on January 1, 2027.
Advertised discounts must show the sale price alongside the lowest price charged during the previous 30 days.
The 30-day benchmark is intended to prevent sellers from inflating prices before announcing discounts.
E-commerce platforms may not manipulate search results or indexes in ways that mislead users or reduce relevance.
Platforms must explain in plain language the main factors determining product and seller rankings and their relative importance.
The amended rules take effect on January 1, 2027, giving platforms time to update their systems.
- Who
- E-commerce platforms and sellers, with effects on online shoppers.
- What
- Amended rules will require 30-day prior-price disclosures for advertised discounts and greater transparency about search rankings.
- Where
- On e-commerce platforms and online marketplaces.
- When
- The rules take effect on January 1, 2027.
- Why
- To make discount claims verifiable and help prevent misleading search-result manipulation.
Key facts
- Discount benchmark
- The prior price is the lowest price at which a product or service was offered during the preceding 30 days.
- Required disclosure
- Advertised price reductions must show both the discounted price and the defined prior price.
- Search manipulation
- E-commerce entities may not manipulate search results or indexes in ways that mislead users or harm relevance.
- Ranking transparency
- Platforms must explain the main ranking parameters and their relative importance in plain, intelligible language.
- Price control
- The rules do not set or cap product prices, according to Kartikey Agarwal.
- Effective date
- January 1, 2027.
- Implementation period
- Platforms have time to revise pricing disclosures, search practices and compliance systems before the rules take effect.
Quotes
Raghunandan Saraf
Founder and CEO at Saraf Furniture
“A product ordinarily sold at ₹1,000, displayed at ₹1,500 shortly before a sale and then offered at ₹1,000, no longer yields a headline 33 per cent saving; the 30-day benchmark shows no reduction at all.”
businesstoday.in
“The rule caps nothing and dictates no price. It makes promotional claims comparable and verifiable. That is a disclosure obligation, not price control.”
businesstoday.in
Sources
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