The Competition Board decided to initiate an investigation against the company as a result of the preliminary investigation conducted on the allegation that Trendyol abused its dominant position in the multi-category e-marketplace market.
In this process, Trendyol’s practices of destructive pricing, exclusivity, unfair contract provisions, the use of competitor data, taking advantage of its own sales activity by interfering with the algorithm, and finally, discrimination among the sellers in the marketplace by interfering with the algorithm were monitored.
Accordingly, within the scope of the investigation, it was examined whether Trendyol caused a violation of Article 6 of the Law No. 4054 by using competitor data and interfering with the algorithm to take advantage of its own sales activity, and by interfering with the algorithms and discriminating between the sellers in the marketplace.
As a result of the determinations and evaluations made, Trendyol, which is dominant in the multi-category e-marketplace market, interferes with the algorithm and uses the data of third-party vendors selling in the marketplace, gaining unfair advantage to its retail activities, these actions are of a nature to complicate the activities of its competitors, and the Competition No. It was determined that he violated the 6th article of the Law on the Protection of the Law.
Administrative fine requested
For this reason, it was pointed out that an administrative fine should be applied to Trendyol in accordance with the third paragraph of Article 16 of the Law No. 4054 on the Protection of Competition.
In accordance with Article 9 of the Law, Trendyol’s obligations to end the violation specified in Article 2 and to ensure effective competition in the market are listed as follows:
– Avoiding interventions made through algorithms and coding that will provide an advantage over its competitors to its private label products (Private Label) related to its retail activity, which it carries out on its own marketplace (www.trendyol.com),
– Avoiding the use of all kinds of data obtained and produced/derived from the market activity for private label products related to the retail activity and taking all kinds of technical, administrative and organizational measures to ensure this,
– To keep the parametric and structural changes made on the algorithm models used for product sorting and brand filtering purposes within the scope of the marketplace activity for 2 (two) years, with a version and an undeniable accuracy,
– To keep all codes belonging to the algorithms used for product sorting and brand filtering purposes within the scope of the marketplace activity, as well as all codes that affect the algorithms used for product sorting and brand filtering purposes, with versions and undeniable accuracy for 2 (two) years,
– Keeping user access and authorization records and manager audit records for all software used for the execution of business processes within the scope of the marketplace activity for 2 (two) years, with an undeniable accuracy,
– Fulfilling the obligations specified in subparagraphs a, b, c, d, e within a reasonable period of time following the notification of the reasoned decision to the undertaking,
-To submit to the Institution the harmonization measures he has prepared at the latest one month before the period granted to him.
-To submit a report to the Agency periodically for a period of five years from the implementation of the first harmonization measure and once a year.
According to the Law on the Protection of Competition No. 4054, Trendyol should be fined daily if it does not fulfill the obligations set forth in Article 4 in a timely and complete manner.
