e-Commerce and Direct Marketing

Direct marketing is one of the businesses controlled under the Direct Sales and Direct Marketing Act, 2545 B.E. (2002) (“the Act”). An entity conducting such a business must register with the Office of the Consumer Protection Board (“the OCPB”) beforehand.

Keywords: Mazars, Thailand, Legal, E-Commerce, Direct Marketing, SME, Royal Gazette, OCPB

12 December 2018

The Act defines direct marketing as all types of marketing and sales of goods or services by communicating directly to customers at a distance in order to have customers purchase goods or services.

However, in order to stimulate e-commerce by retail entrepreneurs, small and medium enterprises (“SME”), and community enterprises, a Ministerial Regulation on sales of goods or services through e-commerce which are not considered direct marketing was published in the Royal Gazette on 20 November 2018. As a result, the following types of sales and services through e-commerce are not considered direct marketing, and entities conducting these businesses no longer need to register with the OCPB as direct marketing business operators before commencing the business:

1. Sales of goods or provisions of services by an individual who is not registered as an entrepreneur performing direct marketing, and who derives income of no more than THB 1.8 million a year by selling goods or providing services through e-commerce.

2. Sales of goods or provisions of services by a SME that registered under the laws on SMEs.

3. Sales of goods or provisions of services by a community enterprise registered under the Community Enterprise Incentives laws.

4. Sales of goods or provisions of services by a cooperative and group of farmers registered under the laws on cooperatives.

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