eBay's New Coupon Policy
VALASSIS AND THE ISP ANNOUNCE CHANGE TO EBAY POLICY ON COUPONS AND VOUCHERS TO REDUCE FRAUD
New eBay policy is a breakthrough in the coupon industry’s campaign to reduce fraudulent use of coupons and vouchers
Valassis, the UK’s leading coupon services provider, and the Institute of Sales Promotion (ISP) today announce that eBay has agreed to change its policy on the online sale of manufacturers’ coupons and vouchers.
From 30th June 2009, eBay.co.uk and eBay.ie will launch a new policy to help reduce fraudulent coupon and voucher related transactions.
The policy is the result of an initiative led by Valassis and the ISP, following requests for help from Valassis’ customers and ISP members.
Online marketplaces have posed a significant problem for coupon issuers in the past, as a small minority of people have used them to sell invalid coupons and vouchers that consumers then try to redeem in-store. Valassis and the ISP approached eBay last year, and the three parties have been working together to create a new policy to reduce fraudulent coupon- and voucher-related transactions.
Charles D’Oyly, managing director of Valassis, says: “Since the first meeting, eBay has been very responsive to the issues caused by the trading of coupons and vouchers on its website. We are delighted with the new policy and with eBay’s commitment to encouraging consumers to act more responsibly in relation to coupons and vouchers. The new policy marks a breakthrough in a campaign to reduce the misredemption of coupons and vouchers and to ensure that coupons and vouchers remain highly effective tools for UK marketers.”
Alasdair McGowan, Head of Public Affairs for eBay, says, “Our meetings with Valassis and the ISP have been insightful and productive, and we are committed to supporting their campaign. We recognise that some coupon sales have a higher potential for abuse than others, and are committed to working with the industry to help ensure that we reduce fraudulent coupon- and voucher-related transactions. That is why we are introducing this new policy and will continue to work with Valassis and the ISP to enforce these policies on the site.”
Annie Swift, chief executive of the ISP, observes: “The mis-use of coupons and vouchers, in particular money-off coupons, is a major problem for marketers, who would otherwise make far greater use of what is an extremely effective promotions tactic. Money-off coupons save UK consumers around £500 million a year: that consumer benefit is threatened by the actions of a very few serial abusers. With this initiative, we are particularly trying to protect consumers against the sale of fake coupons or coupons that may have been stolen or obtained by other means that render them invalid.”
The listing of valid coupons and vouchers will be permitted on eBay with the following limitations:
Expired coupons and vouchers: The sale of recently expired coupons and vouchers is not permitted on eBay as they serve no valid purpose and could be used in a fraudulent manner. Collectible coupons and vouchers that clearly cannot be redeemed may be permitted.
Electronic "scanned" coupons and vouchers: All coupons and vouchers sold through eBay must be physically delivered to the buyer, and may not be delivered by electronic means for home printing. Further, to reduce the potential for coupon and voucher abuse, eBay asks that sellers refrain from placing clear, unaltered scans of coupons and vouchers in their listings that could be copied, printed and redeemed in stores. The sale of scanned or photocopied coupons and vouchers may breach copyright laws, and sellers of such unlawful items could face legal action.
Bulk coupon and voucher sales: Bulk coupon and voucher listings are defined as listings that contain more than 20 coupons or vouchers for the same item, or more than 100 coupons or vouchers in total. If it is unclear how many coupons or vouchers are offered, the listing will be considered to be in breach of policy. Coupon and voucher inserts (packets of coupons or vouchers typically found in newspapers) are limited to a maximum of five per listing, unless the seller indicates in the listing that the quantity of coupons or vouchers for sale is fewer than 100 in total.
Coupons and vouchers for “free” products: Coupons and vouchers for free products, with no purchase required, are limited to two per listing. Internet home-printed coupons and vouchers are also limited to two per listing.