Madrid, 20 de Enero de 2004 ICA-Net : Safe and Secured E-Commerce Infrastructure Takashi Enomoto GBDe Overall Chair 2010 29 th March, 2010.

Madrid,

20 de Enero de 2004

ICA-Net : Safe and Secured E-Commerce I

nfrastructure

Takashi EnomotoGBDe Overall Chair 2010

29th March, 2010

2

About GBDe - Global Business Dialogue on e-Society -

• A worldwide, CEO-led, business initiative– established in January 1999– to assist the development of a global policy framework for

the emerging online economy

• Actively promoting a private sector/Government dialogue on convergence-related issues

• Renamed in 2010– 1999 - 2009: Global Business Dialogue on E-Commerce– 2010 - : Global Business Dialogue on e-

Society

3

GBDe members and activities

Members

• Consumer Confidence

• International NFC payment

• Digital Opportunity• Digital Home• Ubiquitous Network

Society

Projects/Issues

as of December 2009

4

Consumer Confidence Issue Group Objectives

Cross-borderTrustmark

Cross-borderADR

Cross-border Data Privacy Protection

ConsumerConfidence

Building trust between consumers and merchants is the key for sound growth of cross-border on-line shopping.

CCIG focuses on the elements for producing confidence among consumers:

5

Outline of Consumer Complaints complaints from Japanese consumers

478513

592

133109106272 25

750586

649

0

100

200

300

400

500

600

700

FY 2006 FY 2007 FY 2008

0100200300400500600700800

Domestic Complaints Domestic Complaints

Cross-border Complaints From Japanese Consumers

Cross-border Complaints From Non-Japanese consumers

Total

source: EC Networksource: EC Network

6

Outline of Consumer Complaints breakdown by state of trading partners

USA, 57Thailand, 2

Germany, 2

Australia, 4

Austria, 2Italy, 2

France, 2

Phillipins, 2

Republic ofKorea, 5

Canada, 3

China &HongKong, 8

UK, 15

Unknown, 13

Others, 6

source: EC Networksource: EC Network

FY2008

7

Trustmark

(Chinese Taipei)

(USA)

(Singapore)

(Japan)

(Japan) (Europe)

(Mexico)

(Vietnam)

(USA)

(Singapore)

(Korea)

8

ATA and Euro-Label

ASIA-PACIFIC TRUSTMARK ALLIANCE

JapanKoreaSingaporeChinese TaipeiVietnamUSAMexicoPhilippines

Euro-Label to join ATA for global trustmark alliance

Spain FranceItaly

Germany Austria

EuropeMalta Poland

9

ADR:Promotion of ICA-NetICA-Net: International Consumers Advisory Network

　　　　　　　An international complaint-handling network for

cross-border online shopping.

The concept scheme proposed at 2007 GBDe Summit in Tokyo.

Meetings with various stakeholders in 2008• Governments (USA, Japan, Chinese Taipei, Malaysia, Vietnam, Sing

apore, Thailand)• International Organizations (APEC, OECD, CI)• Consumers organizations (CI, NCCC)• ADR providers (USA, Japan, Chinese Taipei, Singapore, Korea)

10

econsumer.gov

State BConsumer Advisory

Liaison Office (CALO)

Law Enforcement Entities（ Consumer protection

authority, Police)

State ACALO

State CCALO

State B ADR provider

Business associationConsumer group

Trustmark provider

Platform only forCase management

２　Request forresponse

４Request forresponse

７Register the progress

６report

Loose Network

report

State BBusiness

Transmit the claim/ADR

law enforcement/Administrative directive

state AConsumer

consult/ file a complaint

Government B

assign

Register the case

report

１　Provide information

３SupportFiling complaints

ICA-Net

5Request forResponse/information

11

ICA-Net in 2009

Kick-off Meeting• Dec. 19th, 2008 in Tokyo• USA, Japan, Singapore, Malaysia, Chinese Taipei, Vietnam, Thailand

Trial start in January 2009• USA, Japan, Singapore, Malaysia, Chinese Taipei

Follow-up Meeting• Feb. 27, 2009 in Singapore Singapore, Malaysia, Chinese Taipei, Vietnam, Thailand, Japan, China

Participants increase (Philippines, Vietnam, Thailand, China)

Contribution to cross-border disputes

Talks with ECC-Net in Europe (Oct, Nov, 2009)

ICA-Net

12

CasesCross-border complaints handled by ICA-Net

Case 1: Misuse of BBB Trustmark・ A Japanese consumer received fake Australian boots. The site displayed Trustmarks of BBB and TRUSTe without permission.

Case 2: Domain Registration・ Thai consumer filed this complaint over Australian domain name registrar to CI in Kuala Lumpur (KL).

Case 3: Negative Option Marketing・ A Japanese consumer had trouble with a Japanese subsidiary of BBB member company in US. EC Network bridged this complaint to HQ, and received their response.

Case 4: Fake Escrow Company・ A Japanese seller on eBay fell victim of a fraud.・ EC Network requested for eBay an investigation, the disputed site was shut down after eBay alerted the Registrar/ISP

Case 5: Not delivered after payment ・ CI in KL received a complaint from a consumer in Chinese Taipei who purchased goods from a motorcycle dealer in the UK. The consumer lost contact with the business. SOSA (Chinese Taipei) will support the consumer and contact the UK ECC.

13

ICA-Net and ECC-Net

ECC-Net(European Consumers Center Network)

• 29 member states • 62,000 cases (2008)

ICA-Net & ECC-NetTalks for future collaboration

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Challenge and future direction

• Expansion of network From trial phase to implementation Cooperation among member states

• More public recognition

• Governmental support required Model case: ECC-Net in Europe

• Discussion with government (ERIA)

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Appendix (for Q&A)

16

Case:Misuse of BBB Trustmark

Residence of consumer: JapanBusiness location: China CALO involved: EC Network (Japan)

• A Japanese consumer ordered boots, paid through Paypal but received counterfeits from China. So he filed a complaint to EC Network.

• EC Network found the business was displaying BBB and TRUSTe marks and informed BBB of this matter. Since the use of the BBB trustmark was unauthorized, BBB’s legal department sent this business an alert mail demanding that it remove the BBB mark immediately. All Trustmarks including BBB and Truste were removed from the site the next day.

17

Transition from Real to Virtual

0

1,000

2,000

3,000

4,000

5,000

6,000

2004 2005 2006 2007 2008

Amazon* Barns&NoblesSales(US$ million)

* Amazon’s sales at Media division in North America