Lazada warns online sellers of deactivation for selling fake products

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Metro Manila (CNN Philippines, October 16) — Lazada is tightening rules against fake goods as online shopping in the country is surging.

Lazada chief operating officer Carlos Barrera said the e-commerce platform has installed stricter protocols to guard against counterfeit products being listed online, saying stiffer sanctions await those behind it.

"We want people to list anything they want, but we have intellectual property rules," Barrera told CNN Philippines' The Exchange.

"We have a set of brands that are registered in the intellectual property portal and they exercise their rights. We don't advise anyone to list fake goods because they will be intercepted — they will be seen, spotted and deactivated," he added.

Last year, the Trade department said it wants to hold e-commerce platforms liable whenever fakes or knockoffs are found on their websites and mobile apps for sale.

"It's not just about that product — fake goods can lead to the deactivation of the entire shop. Even if you have a lot of items and just one fake good, you can end up losing your entire business," he added. "We like to be strict because we want to protect our customers."

Lazada is one of the biggest online shopping portals in the country, with special double dates like 10.10 and 11.11 marking huge sales and drawing more Filipinos to "add to cart."

The official said signing up as an online merchant has been simplified, with the platform requiring one valid ID in the process of opening an account.

The seller's profile will then be ready for product listings after a day, without commission collected from sales for small businesses, Barrera said.

Charges are levied from the big brands putting their products on sale through LazMall, Barrera said. Meanwhile, sellers are paid profits weekly, including those collected via cash on delivery.

"We are in the business of building businesses and we want all these entrepreneurs to be online," he added.