Madrid, 20 de Enero de 2004 ICA-Net : Safe and Secured E-Commerce Infrastructure Takashi Enomoto GBDe Overall Chair th 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 – : Global Business Dialogue on E-Commerce – : 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-border Trustmark Cross-border ADR Cross-border Data Privacy Protection Consumer Confidence 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 source: EC Network

6 Outline of Consumer Complaints breakdown by state of trading partners source: EC Network FY2008

7 Trustmark (Chinese Taipei) (USA) (Singapore) (Japan) (Europe) (Mexico) (Vietnam) (USA) (Singapore) (Korea)

8 ATA and Euro-Label A SIA-PACIFIC T RUSTMARK A LLIANCE Japan Korea Singapore Chinese Taipei Vietnam USA Mexico Philippines Euro-Label to join ATA for global trustmark alliance Spain France Italy Germany Austria Europe Malta Poland

9 ADR:Promotion of ICA-Net ICA-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, Singapore, Thailand) International Organizations (APEC, OECD, CI) Consumers organizations (CI, NCCC) ADR providers (USA, Japan, Chinese Taipei, Singapore, Korea)

10 econsumer.gov State B Consumer Advisory Liaison Office (CALO) Law Enforcement Entities （ Consumer protection authority, Police) State A CALO State C CALO State B ADR provider Business association Consumer group Trustmark provider Platform only for Case management ２ Request for response ４ Request for response ７ Register the progress ６ report Loose Network report State B Business Transmit the claim/ ADR law enforcement/ Administrative directive state A Consumer consult/ file a complaint Government B assign Register the case report １ Provide information ３ Support Filing complaints ICA-Net 5 Request for Response/ information

11 ICA-Net in 2009 Kick-off Meeting Dec. 19 th, 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 Cases Cross-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-Net Talks for future collaboration

14 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)

15 Appendix (for Q&A)

16 Case: Misuse of BBB Trustmark Residence of consumer: Japan Business 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 Sales(US$ million) * Amazon’s sales at Media division in North America