Restrictions on pricing, on selling in online marketplaces, and geographic restrictions on selling and advertising online were some of the top concerns in the final e-commerce report released Wednesday by the European Commission's Directorate-General for Competition. Two years ago, the commission began looking into e-commerce of consumer goods and digital content across the EU as part of its digital single market strategy. The EC published a preliminary report in September and then sought comment, which was incorporated into a final one. It said pricing restrictions and recommendations are "the most widespread restrictions" reported by retailers. It said both manufacturers and retailers frequently track online retail prices through pricing software, which could enable manufacturers to detect deviations from pricing recommendations and retaliate against retailers or it could facilitate collusion among retailers. The report said restrictions limiting retailers' ability to sell via online marketplaces has raised concerns under EU competition rules. The report said 90 percent of retailers use their own online shop when selling, with 31 percent selling via their online shops and marketplaces and 4 percent selling only via marketplaces. The study said market restrictions play a bigger role in some member states than in others, and might "range from absolute bans to restrictions on selling on marketplaces that do not fulfil certain quality criteria." The Computer & Communications Industry Association said in a news release it's concerned about the outright bans. "These restrictions are particularly detrimental for small and medium-sized sellers. They also harm competition and consumer choice,” said Jakob Kucharczyk, director-CCIA Europe. "Turning a blind eye on these restrictions will mean that thousands of sellers will not be able to benefit from the latest technological wave. This in itself merits rigorous enforcement action against blanket marketplace bans.” The EC report also said geo-blocking measures are used by some retailers, with some raising competition concerns.

Amazon highlighted Alexa launches and updates in its Q1 earnings release after markets closed Thursday, including the $179 Echo Look, a video version of the Echo speaker that’s billed as a shopping assistant to help users “look your best” by combining machine learning with advice from “fashion specialists.” The device also gives news, weather and traffic alerts. Amazon released an over-the-air software update for Amazon Tap, a portable version of the Echo, enabling the speaker to be controlled by voice rather than a tap on the microphone button, said the company. The Alexa Skills store has more than 12,000 skills, including ordering from GrubHub, listening to content from NPR, asking WebMD health-related questions and 300 smart home skills, it said. Net sales jumped 23 percent to $35.7 billion over Q1 2016, and net income rose to $724 million from $513 million. Wedbush Securities analyst Michael Pachter repeated an “outperform” rating on Amazon in a research note to investors, lowering FY 2017 revenue estimates to $168.1 billion, from $168.6 billion. Wedbush raised operating income estimates to reflect lower Amazon Web Services revenue, which was offset by better gross margin as Fulfilled by Amazon growth “continues unabated,” Pachter said. Barclays said in a research note Amazon Web Services Q1 growth was “ahead of expectations considering the concern around the 3-month impact of price cuts.” Shares closed up 6.6 percent Friday to $924.99.

Amazon Prime’s U.S. member count jumped 38 percent year on year to reach 80 million at the end of March, said a Tuesday Consumer Intelligence Research Partners analysis of Amazon shopping patterns. Prime members' annual spend was $1,300 at the end of March vs. non-Prime members' $700 average spend, it said. CIRP partner Josh Lowitz called Q1 a “surprisingly strong quarter” for Prime additions, saying “slower growth is expected” as Prime growth reaches natural limits. Lowitz cited Amazon’s December earnings release, disclosing $6.4 billion in worldwide retail subscription services, which includes Amazon Prime fees and various digital media subscription fees. CIRP estimates 26 percent of Amazon Prime members pay monthly for a membership at $10.99 vs. the yearly $99 fee. The smaller dollar, single-month payment option helps with retention rates, said Lowitz, citing an 85 percent Prime member renewal rate. Data is based on a survey of 500 U.S. customers who made an Amazon.com purchase from January to March.

Resellers jumped on the arrival of the Samsung Galaxy S8 Friday with trade-in bait for customers looking to upgrade. Gazelle offered customers an 8 percent bonus on their old working Android phones, through May 7. Decluttr.com gave a range of prices for customers wanting to trade in working Apple and Samsung phones: iPhone 7 Plus 256 GB -- $465; iPhone 7 256 GB -- $440; Galaxy S6 Edge Plus 64 GB -- $340; iPhone 6s Plus -- $330; Google Pixel 128 GB -- $320; Galaxy Note5 32 GB -- $300; Galaxy S7 32 GB White -- $275.

Delaware, Oregon and Florida ranked highest in billing and shipping e-commerce fraud last year, said a Friday Experian report. Such attacks jumped more than 200 percent there, and California and New York had more than 70 percent of total e-commerce billing fraud attacks, said the information services company. South El Monte, California, led the list of U.S. cities in shipping and billing fraud in 2016, it said. Experian attributed the rise in e-commerce fraud attacks to continued adoption of EMV (Europay, MasterCard and Visa) terminals for chip-and-PIN credit cards, which has reduced credit card fraud at point-of-sale but driven scammers online.

The New York Legislature passed a version of the FY 2018 budget Monday without the controversial marketplace sales tax. The proposed tax, included in Gov. Andrew Cuomo’s (D) original FY 2018 budget proposal, would have required “marketplace providers” to collect New York’s state and local sales taxes on any items shipped into the state from out-of-state sellers. TechNet and the Web Enabled Retailers Helping Expand Retail Employment (WE R HERE) Coalition campaigned against the proposed tax (see 1703070034). Cuomo agreed to jettison the marketplace sales tax proposal from the final budget and didn’t comment on the decision in a Monday statement lauding the budget’s passage. The online sales tax proposal’s removal “is a win for online shoppers, e-commerce businesses, and future startups that decide to locate in New York State,” said TechNet Executive Director-Northeast Region Matthew Mincieli in a statement. “This measure was bad policy that would have set a dangerous precedent across the country.”

A U.S. Postal Service spokesman said our Tuesday story and subheadline spotlighting potential privacy implications of an electronic feature called "Informed Delivery" (see 1704030028) is "alarmist and misleading." He said the USPS feature's subscribers have their mailing addresses authenticated through a third party, payment transaction history or an in-person presentation of credentials. All such emails originate from a USPS address, and are branded with official agency graphics, images and logos, and also include an unsubscribe option, he said. Customers can use the feature via app on MyUSPS.com or dashboard on USPS.com, he added. "While there is always the possibility -- as there is with any email from any source -- that some phishers may attempt to take advantage, the Postal Service protects its brand and unbranded emails should be recognizable as spam." USPS, he said, takes the privacy of customers' mail "very seriously" as well as its cybersecurity responsibilities. It "adheres to the privacy requirements of the Privacy Act of 1974, which controls when and how the USPS shares personal information and limits the conditions in which that information can be disclosed externally to outside parties," he added.

FedEx is unfazed by any prospect Amazon might compete in package-delivery services, said Rajesh Subramaniam, chief marketing and communications officer, on a Tuesday earnings call. Subramaniam was asked by an analyst whether Amazon’s more aggressive “posturing” in package-delivery services makes FedEx rethink its interactions with Amazon as a customer or as potential competitor. “Amazon is a long-standing customers of ours,” Subramaniam responded. Though Amazon does deliver a “portion” of its packages on its own, “they still rely heavily” on the U.S. Postal Service, UPS and FedEx for delivery, he said. “No single customer represents more than 3 percent of our total revenue, and Amazon is far from being our largest customer.” FedEx derives “the vast majority” of its revenue from business-to-business services, said CEO Fred Smith. In other words, “85 percent-plus of our business has nothing to do with e-commerce,” said Smith. “So Amazon is a wonderful company and they certainly have revolutionized the e-commerce world,” but “we're not sure what Amazon is going to do one way or another,” he said. The FedEx overnight-delivery network "consists of thousands of facilities," he said. It “has been decades in the making,” and isn't at “great risk of being disrupted” by any new competitors, including Amazon, he said. Amazon representatives didn’t comment Wednesday.

Amazon beefed up voice shopping via Alexa through Prime Now, it said in a Tuesday announcement. “Tens of thousands” of products are available to users for free two-hour delivery by asking Alexa to order from Prime Now, said the company. The voice engine can order multiple items at once and make recommendations, and it automatically chooses the next available two-hour delivery window, said Amazon. It gave the example of a customer asking Alexa to order tortilla chips from Prime Now and to pair the chips with salsa and a videogame. Also, beginning Tuesday, Amazon customers in select cities can use Alexa to voice order beer, wine and spirits from Prime Now with free two-hour delivery, it said. For now, all alcohol delivery is available in Seattle, and beer and wine are available in Ohio's Columbus and Cincinnati, Amazon said. Alexa voice shopping through Prime Now is available in more than 30 Prime Now cities. Amazon Prime members who complete a Prime Now order via Alexa voice shopping on an Amazon Echo, Echo Dot, Amazon Tap, Amazon Fire TV or Fire Tablet device through April 30 will get $5 off a future order from Prime Now, while supplies last, said the e-commerce company.

EBay will roll out a guaranteed delivery service in the U.S. this summer, promising delivery in three days or less on 20 million items -- many with free shipping -- it said in a Monday announcement. Customers will be able to search for and filter items by one- and two-day delivery, said the online auction site. If a guaranteed item arrives late, the buyer can ask to have shipping costs refunded. For items with free shipping, buyers will receive a coupon to be used toward the next eBay purchase or they can choose to return the item at no cost, it said. Guaranteed delivery has no additional cost to sellers, but they must meet required shipping standards to participate, eBay said.