E-Commerce Regulation in Luxembourg A business perspective Michael Miller European Legal Director 15 March 2006, Luxembourg
Agenda About Amazon : Setting the Context Making law – our expectations Ten Principles of Better E-commerce Regulation
About Amazon
Amazon’s Evolution Home Garage - 1994 Where we started Where we are now Home Garage - 1994 Worldwide company - 2005 $0.5 Million - 1995 $8.5 Billion - 2005
Amazon Today 45% sales from International segments (TTM) 32 categories of products on-line
Amazon’s expansion strategy
Amazon and the Customer Obsess over customers : From the beginning, our focus has been on offering our customers compelling value… Word of mouth remains the most powerful customer acquisition tool we have, and we are grateful for the trust our customers have placed in us. Repeat purchases and word of mouth have combined to make Amazon.com the market leader in online bookselling. (Jeff Bezos, Founder and CEO Amazon.com,Inc., 1997 Letter to Shareholders) Building trust through outstanding customer service and consumer friendly policies is good for business
Making law – our expectations “True” Consultation with industry Transparency throughout the law making process Dialogue Resulting in Regulations which satisfy the Ten Principles of Better Regulation in E-Commerce Better regulatory environment = more competition = keener price competition + better availability and selection + better service + innovation = a win for the consumer Regulation which fails to meet these Principles results in uncertainty and/or unnecessarily higher compliance costs for companies, which inhibits their ability to offer these benefits (eg. lower prices, selection…) to consumers
Ten Principles of Better E-Commerce Regulation We advocate E-commerce Regulation which 1. Is Fair, balanced and proportionate 2. Is Harmonised across Europe 3. Is Drafted with EU-wide cross-border commerce in mind 4. Is Based on EU principle of Mutual Recognition (ie. founded on “country of origin” principles) 5. Is Certain 6. Is Non-prescriptive 7. Is Technologically neutral 8. Facilitates commerce (eg. is mindful of compliance and bureaucratic costs and burdens) Addresses a genuine new need for regulation and is not aimed at addressing non-compliance of existing laws Promotes a true single EU market (no barriers to trade; discrimination etc)
Michael Miller European Legal Director, Amazon Europe mm@amazon.com +352 091 692 692