The Digital Services Act (DSA)
The EU Digital Services Act (DSA) entered into full application on February 17, 2024, establishing comprehensive rules for digital services in the European Union. For e-commerce sellers and marketplace platforms, the DSA introduces new obligations around transparency, content moderation and consumer protection that go beyond existing regulations.
What the DSA means for sellers
The DSA primarily targets online platforms and intermediaries, but its effects ripple through to individual sellers. Marketplaces must now verify seller identity (Know Your Business Customer), display seller information more prominently and take faster action against illegal products. This means sellers need to ensure their business information, product compliance documentation and contact details are accurate and up-to-date at all times.
For sellers, the practical impact is that onboarding onto EU marketplaces now involves more thorough identity verification. Platforms will request official business registration documents, proof of address, bank account details and tax identification numbers before granting selling privileges. While this adds friction to the onboarding process, it also creates a more level playing field by weeding out fraudulent sellers and counterfeit goods.
Key obligations for marketplaces
- Trader traceability: Platforms must collect and verify seller identity, contact details and business registration information before allowing them to sell. Random checks on existing sellers are also required
- Product safety: Faster removal of illegal or unsafe products, with systematic cooperation with market surveillance authorities across member states
- Transparency: Clear information about why content is recommended, how ads are targeted and the terms of service that apply to sellers and buyers
- Complaint mechanisms: Internal complaint handling systems and access to out-of-court dispute resolution for both consumers and sellers
- Reporting obligations: Regular transparency reports on content moderation activities, including the number of orders received from authorities and actions taken
Practical implications
For sellers operating on EU marketplaces, the DSA means stricter onboarding requirements, more detailed product information obligations and potentially faster enforcement against non-compliant listings. It also means better protection for legitimate sellers against counterfeit goods and unfair practices by competitors. Sellers who maintain accurate documentation and comply with product safety rules will find the new environment works in their favor.
Complementary regulations
The DSA works alongside the Digital Markets Act (DMA), which targets large platforms designated as gatekeepers – including Amazon, Apple and Google – and aims to ensure fair competition. The DMA prohibits practices like self-preferencing in search results and requires gatekeepers to allow third-party app stores and payment systems. Together, the DSA and DMA represent the most significant overhaul of EU digital regulation in decades, reshaping how online commerce operates across the Single Market.
Zunapro helps sellers navigate DSA compliance, from business verification to product information management and dispute resolution processes across all major EU marketplaces.