New regulation for the e-commerce sector: Advertising expenditures to be reported to the ministry

The Ministry of Trade, which has set a target of reaching 5 trillion TL in e-commerce and 8 billion dollars in e-exports for 2025, has completed the legal framework defining the sector's scope of operation and oversight.

NO PERMISSION FOR DECEPTIVE ADVERTISING

With the completion of the sub-regulations supporting the E-Commerce Law, the ministry will now focus solely on oversight. Within the scope of the Regulation on Electronic Commerce Intermediary Service Providers (ETAHS) and Electronic Commerce Service Providers (ETHS), which has been published in the Official Gazette and entered into force, the exemption granted for sponsorship expenditures made up to 25 percent of platforms' advertising budgets has been increased to 50 percent.

REPORTING TO THE MINISTRY WILL BE MANDATORY

Furthermore, if platforms exceed their advertising budgets by having advertisements made for firms to which they provide intermediary services or for third parties, and fail to include the costs they incurred for these expenditures in their reports to the Ministry, they will be deemed to have deceived the Ministry.

RESPONSIBILITY FOR ADVERTISEMENTS CONDUCTED

E-commerce platforms will henceforth be held responsible for advertisements they have conducted on YouTube, social media, and through influencers, and must report these to the ministry. Penal actions will be applied to those who fail to report.

On the other hand, commission discounts will also be brought under the ministry's supervision. By ensuring that large-scale enterprises make commission discounts within a certain limit, the creation of unfair competition through excessive discounting will be prevented.