Government Tightens E-Commerce Rules; ‘Fake’ Discounts and Manipulated Search Results Face Checks

The Centre has revised the rules for e-commerce companies, covering discounts, search results, sponsored listings, consumer data, and complaint handling, as per The Economic Times news report.  

The Consumer Protection (E-Commerce) (Amendment) Rules, 2026, notified by the Department of Consumer Affairs, will come into effect on January 1, 2027. 

Discount Prices 

Under the new rules, an e-commerce platform showing a discount will have to display both the reduced price and the product’s “prior price”. The prior price will be the lowest price at which the product or service was sold during the 30 days before the discount. 

The provision is intended to address situations where a higher price is shown before a discount, making the reduction appear bigger.  

Platforms will also be barred from changing search results in ways that mislead consumers or make the results less relevant to their searches. 

Sponsored Listings 

Paid product placements will have to be marked with clear and prominent disclosures. The amendments also make the Guidelines for Prevention and Regulation of Dark Patterns, 2023, mandatory for e-commerce companies. 

Companies will have to carry out a self-audit once a year and display a certificate of compliance. The rules cover practices that may influence how consumers make choices on online platforms. 

Information on Products 

Marketplace platforms will have to provide details such as best-before or use-before dates, return and refund terms, warranty details, delivery information and payment-related details. 

For imported products, consumers will have to be given the importer’s details and country of origin. Consumer information cannot be used for specified purposes without express and affirmative consent. 

The rules also prevent marketplaces from charging bundled fees for services unrelated to the e-commerce platform. Loyalty and membership programmes are excluded from this restriction. 

E-Commerce Complaints 

The changes come as online shopping accounts for a sizeable share of consumer complaints. The National Consumer Helpline received 17,71,622 grievances in 2025, of which 5,11,196, or about 29%, were related to e-commerce. 

E-commerce companies will have to join the National Consumer Helpline’s convergence process. Consumers must also receive a copy of the complaint recorded by the platform’s grievance officer. 

Read More: Defence Ministry Clears ₹1.1 Lakh Crore Military Acquisitions; 98% Sourcing from India! 

Conclusion 

From January 1, 2027, e-commerce platforms will have to follow new rules on pricing, product listings, consumer data, and grievance redressal. 

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Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

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