Talking Shop May 2023
Written By
Partner
UK
I'm the global head of our International Retail & Consumer sector group. As a partner in our international Commercial group in London, I work primarily with retail & consumer focussed businesses on their domestic and international growth and expansion strategies.
Welcome to the May 2023 edition of Talking Shop. In this edition you can find a spotlight on omnichannel strategies; an update on recent joint ventures in the sector; an overview of the Hungarian Competition Authority's investigation into prices in the dairy market; a summary of the long-awaited proposal for a Green Claims Directive; and much more.
Please get in touch or visit our webpage for more information about Bird & Bird's Retail & Consumer Group.
In this newsletter
- Spotlight: Omnichannel Strategies
- Competition
- Consumer Law
- Corporate
- ESG
- Intellectual Property
- Regulatory
- News & Events
Spotlight: Omnichannel Strategies
The Beauty of an Omnichannel Strategy
With the retail industry still reverberating from the ripple effect of the pandemic, retailers are now having to additionally adjust to continuous consumer cutbacks following rising inflation and the cost-of-living crisis. The beauty industry in particular suffered a significant blow, with the pandemic leading to a 20-35% decline in the market and brick-and-mortar locations closing. Beauty brands are therefore shifting their commercial strategy to e-commerce, however they should not fall into the trap of relying on e-commerce as their sole method of addressing changing consumer needs. There should instead be an active effort to differentiate products and offers in a way which imparts a unified experience.
Competition
Denmark: Playing with prices is a dangerous game
The Danish Competition Council has issued a decision finding that the Danish retail chain, Ønskebørn, has infringed the Danish competition law by coordinating prices of children’s equipment. The DCC found that Ønskebørn is a voluntary chain in which each individual member is considered as an independent undertaking in relation to competition law. This entails that the members shall, without regard to the cooperation in the voluntary chain, act independently when deciding on essential parameters of competition, as in this case prices.
Read the full article here
Hungary: GVH investigates what drives prices on the dairy market and makes recommendations to the sector
Lately, the Hungarian Competition Authority has been in the forefront in the fight against inflation of food prices. In its efforts, it has developed a new price monitoring method and launched a sector inquiry into the milk and dairy products market that we have discussed in our previous editions. The draft report of the sector inquiry was open for public consultation until 20 May.
Read the full article here
The Netherlands: Let’s get digital - busy times ahead as Dutch regulator prepares for enforcement in digital economy
The Dutch Regulator (ACM) is getting ready to increase its scrutiny of the digital economy. New rules and enforcement tools will increase the possibilities of the ACM to fulfil its promise to expand its focus on the digital economy in 2023. The ACM's latest focus is on the Platform-to-Business Regulation (P2B-Regulation) and the Digital Markets Act (DMA).
Consumer Law
Poland: Rules on price reductions stricter in Poland due to latest Polish regulator’s guidelines
In January 2023, the UOKiK (the Polish Office of Competition and Consumer Protection) inspected 40 entrepreneurs from the e-commerce industry to check whether they had complied with the new regulations on communicating price reductions resulting from the Omnibus Directive. The UOKiK identified numerous irregularities such as failing to display the lowest price of a good/service 30 days before the price reduction, and displaying prices in a misleading way.
Corporate
Retail giants combining strengths: Recent joint ventures in the Retail & Consumer sector
Joint ventures in the retail and consumer sector are popular with brands looking for partnerships that open markets and bring expertise. JVs allow parties to move quickly in a fast-paced retail environment with changing consumer demands, but entities should be conscious of how to exit such collaborations when the time comes. Bird & Bird’s Corporate team has summarised some recent developments and provided a shortlist of considerations to include in agreements governing JV exits.
ESG
Europe: The long-awaited proposal for a Green Claims Directive has been published
On 22 March 2023, the European Commission published a document entitled "Proposal for a Directive on substantiation and communication of explicit environmental claims (Green Claims Directive)". The main objectives of the Proposal are to: (i) protect consumers and traders from greenwashing; (ii) contribute to accelerating the transition towards a circular economy and involve consumers in this process by enabling them to make informed purchasing decisions; and (iii) improve the transparency of environmental claims by boosting the competitiveness of traders that make efforts to increase the environmental sustainability of their products or services and their activities.
Europe: The new right to repair and EcoDesign rules
To promote sustainable consumption and reduce waste within the European Union - goals that follow from, among others, the European Green Deal - the European Commission has proposed several new rules regarding product repair. The new legislation covers both the supply and demand side. These proposed obligations could affect various sectors, including the electronics sector. The EcoDesign Regulation also has a particular impact on the textile industry, which has received closer scrutiny in recent years over the need for more sustainability. The EcoDesign Regulation should be seen as part of the EU’s wider plan of action for sustainable and circular textiles.
Intellectual Property
Australia: What’s in a name? Trade mark infringement turns Katy Perry’s teenage dream into a nightmare
Aptly described as a “tale of two women, two teenage dreams and one name” this is a long-standing dispute between the popstar and American singer-songwriter Katy Perry and an Australian designer Katie Jane Perry. On 21 April 2023, Markovic J of the Federal Court of Australia (Federal Court) handed down judgment in Taylor v Killer Queen, LLC (No 5) [2023] FCA 364, finding that the Designer’s trade mark KATIE PERRY was infringed by companies owned and operated by the Popstar. The Popstar, through these companies, promoted and sold clothes and merchandise bearing the mark KATY PERRY.
Regulatory
Europe: Top of the VLOPs - largest online players in countdown to compliance
Online intermediaries designated as Very Large Online Platforms (VLOPs) or Very Large Online Search Engines (VLOSEs) under the Digital Services Act have until 25 August 2023 to comply with the substantial new obligations. The European Commission announced on 25 April that it had designated 17 VLOPs and two VLOSEs that reach at least 45 million monthly active users in the European Union.
News & Events
Panel event: Open banking and payments innovations - what have we learned and what might the future hold?
06 June, 17.30 BST, London
The Bird & Bird Fintech team are delighted to invite you to our open banking and payments panel event.
On Tuesday 6 June, we’re delighted to be joined by Ahmed Badr (Chief Operating Officer, GoCardless), Steph Lopes (Chief Legal Officer, Volt) and Anastasia Evans (General Counsel and Company Secretary IFX Payments) who will be exploring a range of topics alongside members of our FinTech team. This is an in-person event aimed at legal and industry professionals, so if you’re interested in open banking and payments, please do join us!
Seminar: Seamless business in CEE - trends and legal challenges for the Retail & Consumer sector
13 June, 09.30 CET, Warsaw/Online
Bird & Bird warmly invites you to a hybrid meeting held online and on-site on trends and legal challenges for the Retail & Consumer sector in the CEE region. We will share our insights on some hot legal topics, such as investing in CEE businesses, tackling IP and regulatory risks, and addressing green challenges.
During the event we will discuss topics that are impacting all businesses in CEE and which can mean the difference between success for a company or a missed opportunity.
If you are a business planning to grow in CEE or are already active in the region, you will learn about legal trends and key issues that affect your business. The event will also allow you a unique possibility to meet and network with fellow businesspeople from the region.
Find out more and RSVP here
Webinar: International Business-to-Consumer - Advertising and Consumer Pricing
14 June, 10.30 CET
We are delighted to invite you to the fourth in our International Business-to-Consumer series of webinars, covering the latest developments in advertising and consumer pricing laws around the world. In particular, we will explore:
- Advertising price discounts to consumers
- Lowest price requirements
- ‘Free’ products and services
- Promotions and special offers
- The CMA’s open letter on urgency claims and strike-through pricing
We will end the webinar with a Q&A to make sure we have covered all areas that are important to your business.
Breakfast Event: Wellness Tech
21 June, 09.00 BST, London
We're delighted to invite you to join our Wellness Tech business breakfast event, taking place at AllBright Mayfair on Wednesday 21 June.
This roundtable event for businesses in the Wellness sector will feature discussions on topics such as what NFTs mean for your brand, how tech is impacting business and access to consumers, recent changes to advertising law and how to navigate any green claims your business is making. Our team of experts will also be on hand to discuss business fundamentals like international brand strategy, raising investment, safeguarding your supply chain and handling your customers’ data.
Places are limited so please RSVP as soon as possible. We look forward to welcoming you!
We're Speaking at Retail Without Borders 2023 - Online Marketplaces
11 - 12 July, London
Europe’s leading online marketplace conference will be hosted over two days, featuring 30+ sessions and 60+ speakers addressing the hot topics in the online marketplace industry. We are delighted to be sponsoring the conference, as well as participating in the agenda with speakers Robert Turner (Head of International Business-to-Consumer) and Zoe Feller (Partner, Tax).
RWB 2023 will offer great opportunities to meet and network with Marketplaces, Technology and Service Providers, Brands and Retailers, Manufacturers and Distributors, as well as to showcasing your businesses to the thousands of delegates and attendees throughout the Conference and Exhibition. We will be sharing a ticket discount code in the next edition of Talking Shop, and we hope to see you there!
Meet our new Partners
Bird & Bird has appointed 29 Partners, 3 Senior Counsel, 2 Special Counsel, 24 Counsel and 4 Legal Directors in its annual global promotion round, including a number of our international Retail & Consumer team-members.
Christian Bartsch, CEO, Bird & Bird says: “A huge congratulations to those promoted across our international network. As one of our largest promotions rounds yet, I’m thrilled to see this year’s promising cohort of new talent – a diverse mix of bright and passionate individuals taking the next step in their careers at Bird & Bird. I’m excited to work with them all as we continue to deliver outstanding service to our clients.”
