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ARTICLE · 02 FEBRUARY 2022

Rule Changes To Consumer Protection: Streamlining The Direct Selling Segment

Lex Orbis
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The e-commerce market in India is expected to be the third largest by a scale with an annual Gross Merchandise Value (GMV) of $350 by the year 2030.

IndiaConsumer Protection
Mini Raman
Mini Raman
Angelina Talukdar
Angelina Talukdar
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The e-commerce market in India is expected to be the third largest by a scale with an annual Gross Merchandise Value (GMV) of $350 by the year 2030. The booming e-commerce sector in India got a significant boost during the Covid-19 pandemic as most people opted for online shopping for the sake of safety and convenience. The direct to customer ("D2C") segment provided brands with an easy solution to survive and enabled brands to discard middlemen from buying and selling and reach their customers directly and the market flourished. By April 2021, more than 800 brands shifted to this model. According to Inc42 estimates, this opportunity is set to grow consistently and go past $100 Bn by 20251. However, until recently, direct selling was largely unregulated and did not offer any means of protection for the consumers of such direct sales.

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