A recent study presented at the National Bureau of Economic Research summer institute revealed that fake reviews posted for online products cost shoppers approximately 12 cents for every dollar spent. Over time, this cost can add up to be hundreds, if not thousands, of dollars spent per year on products that don’t live up to their purported value. Whether you’re shopping on Amazon or your favorite retailer’s online store, it’s vital to be aware of and able to identify a fraudulent product recommendation.
Of all online retailers, Amazon is especially notorious for phony reviews (though this shouldn’t come as a surprise, considering Amazon is used by more than 197 million people each month). In particular, Amazon sellers have taken to Facebook groups to offer people money in exchange for leaving rave reviews on their listed products. Amazon has attempted to crack down on fake reviews by teaming with Meta, Facebook’s parent company, to ban and take legal action against groups where people are likely to explore such “side hustles,” but where there’s a will, there’s a way.
When it comes to your personal online shopping, there’s no singular way to tell whether a review or rating has been manipulated, but here are some tips to consider:
- Avoid products that only feature five-star reviews. Products with tens, hundreds, or thousands of reviews should feature a healthy mix of both positive and negative reviews. If the item in your shopping cart has only positive reviews, it’s best to err on the side of caution and shop for an alternative.
- Pay attention to the reviews that are left (that means actually reading them). If all of the positive reviews are eerily similar in phrasing and structure and were posted around the same day or time (or contain a multitude of similar grammatical errors), there’s a good chance they were manipulated. It also helps to read negative reviews – if negative reviews don’t mention the product at all and instead mention something out of the seller’s control, they could be a red herring.
- Sort by date. Sometimes, dishonest sellers will flood store items with positive reviews before the item is even available for purchase. These reviews often mention not having tried the product out yet.
- Check out the seller’s page. If all else fails, it’s always a safe bet to visit the seller’s profile or storefront page. Here, you can find seller-specific information such as where items ship from, personal reviews on the seller, and, most importantly, the seller’s refund policy.
- Try a plug-in. If you’re shopping on a laptop or desktop computer, it’s always a good idea to have a trusted plug-in such as Fakespot installed, in order to quickly sift through fake reviews and find trusted sellers and products. Apps and plug-ins such as Fakespot use cutting-edge Artificial Intelligence as you shop to alert you to potential scams or savings. For the “pro” online shopper, consider coupling Fakespot with Honey, a plugin designed to search the web for deals and coupons and automatically apply them to your shopping cart before check-out.
If you need any assistance arming your technology with the latest features to fight against fraud, or simply want to discuss spending and budgeting with a trusted and Certified Financial Planner, call The Wealth Conservancy today at 303-444-1919.