OECD work in E-commerce Akira Yoshida, Policy Analyst Directorate for Science, Technology and Innovation International Congress on E-commerce 15-16 March 2018 Medellín, Colombia
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OECD work in E-commerce
Akira Yoshida, Policy AnalystDirectorate for Science, Technology and Innovation
International Congress on E-commerce15-16 March 2018
Medellín, Colombia
OECD: Long history of
Protecting Digital Consumers
1998: Ottawa 2008: Seoul 2016: Cancun
First Ministerial on e-
commerce in 1998 –
the year Google was
incorporated
Envisioned potential of
internet:
From a useful platform to an
essential infrastructure for all
economic and social actors
And beyond…
OECD Ministerials on the Digital Economy
2
IBM 360 (1964) – the first commercial mainframe
Computing is not new…
3
…but ubiquitous computing is…
0
50
100
150
200
250
300
350
Millions Smartphones Other mobile phones
Quarterly shipping trends of smartphones, 2010-13
Sources: www.washingtonpost.com and OECD Broadband Portal
2005 2013
4
5
…marking the beginning of
digital transformation…
https://thepowerofus.org/2016/08/09/the-internet-of-things/
…with data and analytics
transforming production...
Source: http://www.nytimes.com/2012/08/19/business/new-wave-of-adept-robots-is-changing-global-industry.html6
7
… fueling new types of
disruptive innovation…Algorithmic trading as share of total trading
*Note: 2013-14 based on estimates. Source: OECD based on The Economist (2012) and Aite Group
Driverless carSiri
HealthPublic
AdministrationEnergy
TransportationAgriculture
Manufacturing 8
Digitalisation
…and affecting all activities.
E-commerce has become
common place...
9
Online shoppers: 2010 and 2016Individuals having ordered goods or services online as a percentage of all individuals
Source: OECD Digital Economy Outlook 2017
Future growth will be in
emerging economies…
10
Shares of Global Middle Class Consumption, 2000-2050
Source: The Emerging Middle Class In Developing Countries, OECD Development Centre, Working Paper No.285, 2010
E-commerce growth factors
• Increased Internet and mobile penetration
• Wider product choices at competitive prices or “free”
• More active consumers accessing, comparing and sharing information more easily
• Wealth of consumer data
• Growing number of platforms facilitating consumer-to-consumer transactions
• Growing range of online and mobile payment mechanisms
11
• Consumers benefit from more choices but face greater complexity
Some new B2C e-commerce issues
This hoverboard looked great on my screen but
immediately after my kid tried it , it burst into flames
I have never heard of this online company
but it has a lot of good ratings. Can I
trust them?
The app I downloaded does not do what I
expected. Can I return it?
12
Revised OECD Recommendation
on E-commerce (2016)
13http://oe.cd/digital-consumers
Active consumers
14http://articles.latimes.com/2012/jan/09/travel/la-tr-money-20120109; Amazon.co.jp
“Free” Services
in exchange for data
15
https://www.respectnetwork.com/
Digital Content
16
https://bcimedia.com/mixing-content-your-most-effective-digital-content-plan/
Protections for
new modes of Payment
17
http://www.geomarketing.com/guide-to-the-different-kinds-of-mobile-payments
https://play.google.com/store/apps/details?id=com.ns.paypalpp
Source: alibabagroup.com
Peer Platform Markets
18
DOI: http://dx.doi.org/10.1787/5jlwvz39m1zw-en
Issues of peer platform markets
Main issues:
Responsibilities of the peer platforms?
Consumer peer provider’s services versus professional subjected to consumer protection law?
Need to adapt policy and regulatory frameworks?
19
Peer platform
Peer consumer
Peer provider
Product safety
https://www.accenture.com/t20150624T211456__w__/us-en/_acnmedia/Accenture/Conversion-
Assets/DotCom/Documents/Global/PDF/Technology_9/Accenture-Internet-Things.pdf; Amazon.co.jp
20
Other key areas to protect
digital consumers
Strengthen consumer trust in digital markets:
enhance cross-border co-operation;
improve enforcement information sharing
study the emerging role of platforms
Foster greater consumer control over their personal data
Implement international standards for consumer protection (UN, OECD)
21
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