A Costly Mix-Up in Live Sales Leads to Regulatory Scrutiny

Last week, the Miniwan Dongshan Specialty Store found itself in hot water after a pricing error during a live streaming sale of washing machines. An employee mistakenly set the prices of all washing machine products to 4 to 5折 (approximately 40-50% of the cost price). Within 20 minutes of the sale’s start, nearly 40,000 orders were placed, totaling nearly 40 million yuan, with a goods value exceeding 70 million yuan.

Miniwan Store Pricing Error

The online store issued a public apology, expressing deep regret and urging customers to refund their purchases. The store’s公告 (announcement) revealed that the small team of six operates the store in a small town, and the figures involved were beyond their wildest imagination. The loss from this incident is estimated to be around 30 million yuan.

Store's Apology

Customers and Scalpers Exploit the Pricing Error

Despite the store’s plea, many customers have not refunded their purchases, with some even reselling the products at higher prices on third-party platforms, hoping to make a profit. It is believed that the majority of orders were placed by individuals who learned about the pricing error through specialized scalping groups.

These professional scalping groups can cause significant losses to businesses and are considered违规 (illegal).

Scalping Activities

Regulatory Intervention

The绩溪县市场监督管理局 (Jixi County Market Supervision Administration), where the Miniwan store is located, has confirmed that they are investigating the matter. The department has already taken note of the incident, and we are looking into the specific reasons for the pricing error, an official stated.

The宣城市消费者协会 (Xuancheng Consumer Association) has also weighed in, noting that the market supervision authority has reached out to the store and requested detailed explanations and materials related to the incident.

Regulatory Attention

Impact on the Store

The incident has highlighted the vulnerability of small businesses to pricing errors in the digital age. For the Miniwan Dongshan Specialty Store, the loss of nearly 30 million yuan could be catastrophic. The store’s management has expressed hope that the official intervention will help them resolve the issue amicably.

Conclusion

The Miniwan pricing error serves as a stark reminder of the potential risks associated with live streaming sales and the importance of robust pricing controls. While the store’s plea for understanding has resonated with many, the actions of scalping groups have added another layer of complexity to the situation. As the investigation unfolds, stakeholders in the e-commerce industry will likely be watching closely to see how authorities handle such pricing discrepancies and what measures can be implemented to prevent similar incidents in the future.

The case also underscores the need for consumers to act ethically in such situations, recognizing that taking advantage of pricing errors can have severe consequences for small businesses and the broader market. With the market supervision authority now involved, there is hope that a fair and just resolution can be reached, ensuring that the integrity of the e-commerce sector is upheld.


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