From December 13, 2024, the EU's GPSR will mandate extended safety data for online marketplaces. Amazon and eBay are struggling to meet the standards, citing issues like confusing layouts and technical glitches affecting sellers and buyers alike.
The General Product Safety Regulation (GPSR), effective December 13, 2024, sets strict rules for online marketplaces like Amazon and eBay. Retailers must display full contact details for manufacturers or EU-based responsible persons if manufacturers are outside the EU. These measures aim to boost product traceability and consumer safety. However, their implementation has exposed technical and operational gaps that could affect compliance. With millions of products listed on these platforms, ensuring accurate information for each one is a monumental task.
Amazon has introduced a tab called “Safety and Product Resources,” listing responsible EU contacts for each product. While this ensures transparency, it has caused confusion. Multiple responsible persons for a single product, stemming from varied import channels, leave consumers uncertain about specific product accountability. Legal experts believe this ambiguity might not align with the GPSR's goals, raising questions about the platform's compliance. Clarifications from courts are expected in the coming months, but until then, sellers face uncertainty.
On eBay, sellers report technical barriers when adding manufacturer emails as required by GPSR. The platform automatically removes such data, citing internal policies against displaying contact information. eBay has offered a workaround by providing dedicated fields for legal data entry, but these require careful adherence to avoid errors. Further issues, like inconsistencies in grouped offer processing, have added to sellers' frustrations. Retailers now face increased monitoring burdens to ensure compliance and avoid potential penalties.
The GPSR is a significant step toward enhancing consumer safety, but its rollout highlights systemic challenges in the e-commerce ecosystem. Both Amazon and eBay must refine their processes to meet legal standards without overburdening sellers. The situation underlines the need for collaboration between regulators and platforms to resolve ambiguities and minimize disruptions. As the deadline approaches, these platforms have limited time to address critical gaps, ensuring smooth operations for retailers and consumers alike.
Will GPSR reshape online marketplaces or hinder them?
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