Written by Arbitrage • 2025-05-06 00:00:00
According to BrightLocal, in today's digital world, up to 98% of consumers read online reviews before making a purchase. Whether you're booking a hotel, buying a new gadget, or trying a new restaurant, those star ratings and customer comments can strongly influence your decision. But how reliable are those glowing five-star ratings or suspiciously angry one-star complaints? The truth is that many are fake, written to deliberately mislead shoppers. They can be written by bots, paid individuals, or even employees posing as customers. Some are positive and designed to inflate ratings, while others are negative, intended to harm competitors. These reviews can appear convincing, but they are designed to trick you. Falling for these fake reviews can lead to poor choices, wasted money, and maybe even safety risks.
WiserNotify reported that about 30% of online reviews are fake and cost United States businesses nearly $152 billion per year in damaged reputations and lost revenue. In August 2024, the Federal Trade Commission (FTC) announced its final rule banning fake reviews and testimonials that will allow it to strengthen enforcement and deter AI-generated fake reviews. Then, in December 2024, the FTC settled a case against a company called Rytr that offered an AI-writing assistant service that some subscribers used to produce tens of thousands of reviews potentially containing false information.
The consequences of fake reviews can go beyond minor disappointments. When a shoddy product is flooded with glowing (fake) feedback, you might buy something that breaks quickly or never works at all. In more serious cases, fake reviews can mask dangers - for example, by promoting health supplements or personal care items that have not been properly tested or reviewed by professionals. A poorly regulated supplement with fake reviews might lead people to use something that is ineffective, or worse, harmful. If you rely on these reviews to make decisions about your health or safety, the risks are significant.
Small businesses can also be victims of fake reviews. A flood of negative, dishonest reviews can drag down a company's online reputation, manipulating customer trust and distorting fair competition. This is an especially effective dirty tactic if the company doesn't have a large customer base to fight back with authentic feedback.
Perhaps the most damaging long-term effect of fake reviews is that they erode public trust. When fake reviews become rampant, it undermines the credibility of review platforms. Consumers may begin to doubt even legitimate feedback, making it harder for genuinely good products or businesses to stand out.
Fortunately, there are ways to protect yourself. Start by being skeptical of overly enthusiastic or overly vague reviews. If a review sounds like it came from a marketing brochure, it may not be real. A sudden spike in five-star ratings is also a red flag, especially if they all use similar language. If the platform allows it, take a look at the reviewer's profile; if they have left dozens of reviews in a short time or only reviewed products from one brand, be cautious. Additionally, a product with mostly 5-star and 1-star reviews (with little in between) may be a battleground for fake praise and retaliatory negative words.
For the most informed picture on a product, it's a good idea to compare reviews from different platforms, such as Amazon, Google, Yelp, and independent forums like Reddit. Expert reviews or independent consumer sites can provide more trustworthy insights. Verified purchase badges can also help you distinguish between real customers and fake ones. A little extra research can go a long way in helping you make smart, safe decisions.
Online reviews are supposed to help, not hurt - but fake feedback is on the rise. It is important to be cautious and critical. Staying vigilant and learning how to spot the signs can help you make smarter and safer purchasing decisions. When in doubt, dig a little deeper before clicking that "Buy Now!" button.