As the new ecommerce rules kicked in on Friday, Amazon in particular seems to be hit the hardest as the new regulations warrant significant changes to its operating model.

Amazon’s entire Echo speaker range was unavailable for a day, but is now available again for purchase. However, what has changed is the delivery time. For example, the All-new Echo Dot (3rd Gen) has a wait time of 35-37 days and is being sold by Hariom Communication LLP. Earlier it as sold by Appario Retail. The other seller for Echo speakers now is 4 U Marketing, while preferred seller Cloudtail is now completely missing from Amazon.

The big miss when it comes to mobile phones seem to be the iPhone range. Except iPhone 6 and iPhone 7, the entire range of iPhones are currently not available for sale. However, it seems Amazon is slowly working towards making iPhones available and buyers could see the complete range soon.


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iPhone landing page before new ecommerce rules.

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iPhone landing page after new ecommerce rules.

Across the product line-up Appario retail and Cloudtail have been replaced by other sellers. For example, the Mi Redmi 6A, which was briefly unavailable on Friday, was earlier retailed by Appario is now being sold by Meera Enterprises. Similarly, the Philips Beard Trimmer Cordless QT4011/15 that was earlier sold by Cloudtail is now being sold by Sigma Online.

One of the most significant changes to ecommerce rules has been the addition of the stipulation that any seller shall not be permitted to sell its products on an e-commerce marketplace if:

(i) the entity that runs such e-commerce marketplace (E-Commerce Entity) or its group companies have an “equity participation” in such seller; or

(ii) the E-Commerce Entity or its group companies have control over the inventory of such seller.

Vendors like Cloudtail and Appario did not meet the second criteria since Amazon holds an indirect equity stake in these sellers.

The impact of the policy is clear when it comes to in-house brands like Solimo and Amazon Basics. All items in both the categories are unavailable and there is no communication from Amazon on when it will be back online.

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Flipkart has also been hit by the new rules, but its move to reduce the dependence on WS Retail seems to have cushioned the blow. Large “Alpha” retailers like SuperComNet, owned by Shreyash Retail, now sells much of the iPhone range, which is still available on the platform. The other such merchant on Flipkart is RetailNet. Both these sellers manage most of Flipkart’s in-house called brand called SmartBuy for small electronics and accessories. When it comes to MarQ, its large appliances brand and furniture brand Perfect Homes, the preferred seller is OmniTechRetail. All in-house brands for Flipkart seem to be up and running, but Flipkart says it has been affected by the new rules.

“We are disappointed that the government has decided to implement the regulation changes at such haste, but we are committed to doing everything we can to be compliant with the new rules. Despite the significant work that is required to change our supply chains and systems, we are also confident that we will continue to serve our customers and sellers to the standards we and they are used to,” said a Flipkart spokesperson in a statement.

The statement added that as a homegrown pioneer of eCommerce in India, Flipkart has always been at the forefront of the industry, including in complying with laws and regulations. “We believe that policy should be created in a consultative, market-driven manner and we will continue to work with the government to promote fair, pro-growth policies that will continue to develop this nascent sector, making India a competitive economy and driving benefits to consumers, small suppliers, infrastructure development, and innovation,” said Flipkart.

Amazon has not responded to the questions sent by

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