The geo-blocking regulation means If your business is based in the European Union, the new geo-blocking regulation will affect you. In most cases, you’re legally obliged to sell to interested customers from EU member states. It also means that all your online forms must be adaptable to placing and receiving orders from anywhere in the EU. However, there are a few details that every business owner there must necessarily check. Not long ago, the GDPR came into action and required website adjustments. It compels us to think the EU has got to be joking, not again! But there are a few advantages to a new regulation, not just for consumers but sellers too.
The geo-blocking regulation came into effect on 3rd December 2018. Geo-blocking is a crucial focus area of the European Commission’s E-commerce competition law sector inquiry and the Commission’s Digital Single Market strategy. The latter focuses on emitting barricades to online trade within the EU and enhancing the market. Geo-blocking is attributed to practices used by online sellers that further lead to denial of access to websites from the other Member States. The Regulation focuses on the unilateral behaviour of companies that can sometimes be discriminatory based on where a person is from and where his/her business is established.
Geo-blocking regulation and its prohibition: Any trader doing business in the related area must not refuse or limit customers’ access to online interfaces because of their place of establishment. Redirecting a customer without seeking permission: The traders must seek consent before shifting them based on their location. If the customer agrees to be turned, the trader must provide an open option to return to the original webpage. The EU believes that geo-blocking averts straight cross-border trade across the EU.
Significantly, the Regulations do not need traders to deliver goods to the member states. So conveniently, they are only required to show where they have a presence or if they already offer in a particular country. Companies are still permitted not to sell certain goods or services or to even apply different conditions for valid reasons unrelated to the customer’s location. Although traders are not compelled to keep goodwill prices across the European Union, the customers will be able to see the fees that are being charged in other member states, so there is a risk on their shoulders which somehow drives them to set near or similar to the standardized price. Author: Rishika Chhabra
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