Shandong produce seller begs for order cancellations after pricing error

A Shandong province online store selling farm produce is pleading with customers to cancel their orders after a pricing mistake on Taobao, China's leading e-commerce platform.

Yushang, the shop on Taobao, mistakenly listed its ginger at an incredibly low price, leading to a surge of over 76,000 orders in under 30 minutes, according to the shop owner, surnamed Tian.

Tian explained the error stemmed from a misunderstanding of Taobao's promotion rules. The price listed was for 4,500 grams of ginger at 1 yuan (14 cents), while similar products on the platform typically cost between 37 and 58 yuan for the same amount.

Some customers placed bulk orders, exploiting the low price. Tian estimates fulfilling these orders would result in millions of yuan in losses due to production, shipping, and other expenses.

To prevent financial ruin, Tian closed his shop and posted a plea on his webpage, begging customers to cancel their orders. He also contacted Taobao's customer service and individual buyers. These efforts have yielded some results, with over 16,000 cancellations so far.

Taobao's customer service confirmed they are assisting the store owner.

This incident highlights the growing issue of online stores suffering losses due to price mislabeling during frequent sales promotions. In 2021, beverage brand Genki Forest mistakenly priced sparkling water at 3.5 yuan instead of 79 yuan, leading to a similar situation. Another store, Minitutu, closed in November after accidentally listing products for free during the "Double 11" shopping festival.

Lawyer Pang Lipeng from Beijing Dingshi Law Firm explained that under China's Civil Code, sellers can request to rescind contracts based on significant misunderstandings. Pang recommends clear communication between sellers and consumers, along with platform assistance in negotiating refunds with verified evidence. To maintain shop reputation, Pang suggests apologies and methods like coupons to incentivize order cancellations. Malicious exploitation of promotional loopholes for large gains may constitute a criminal offense, Pang added.