Amazon.com, Inc. (AMZN) sues 3 other sellers for fake reviews
Amazon.com, Inc. has filed lawsuits against three sellers for purchasing fake reviews for their products from the company’s e-commerce portal. The sellers, operating on Amazon.com, include two sellers from the United States and one from the European Union. According to a report by Technological crisis, the e-commerce giant discovered that the defendants created fake reviews for their products in order to influence customers’ buying decisions.
Amazon continues to crack down on fraudulent reviews on its site. Amazon.com is the global online marketplace where you can buy just about anything – the site is just steps away from selling cars online. However, the massive scale of the business means the business is unable to hold inventory for all of the products it sells. Logistically and economically, it doesn’t make sense for the company to have so much inventory in so many product categories. Since the beginning of last year, the e-commerce giant has sued more than 1,000 defendants who published false opinions on its site in exchange for compensation.
Amazon takes action against sellers who buy fake reviews
In a lawsuit, the company claims that 1,269 of 2,343 reviews, or 54%, of 11 products from seller Arobo Trade INC / Aumax Direct were fake. The e-commerce company discovered that another seller, Cyande Group, posted 300 of 582, or 52%, fake reviews for four products.
“The result of these intentional efforts is the deception of Amazon customers and unfair competition with sellers in the Amazon marketplace,” says Amazon, reported by Tech Crunch.
The company launched this kind of crackdown because abuse of notices on its site has become commonplace. It seems that many customers have started to believe that most of the reviews posted on the company site are untrustworthy.
Four months ago, the e-commerce giant sued three sellers, including a Chinese company, for creating fake reviews on their products. The sellers have been accused of using “puppet” accounts to post bogus reviews of their products.
Amazon.com, Inc. has worked hard to maintain its reputation as it loses credibility (and quickly) with buyers. The company has sued more than 1,000 parties for allegedly offering bogus reviews for sale to be posted on the retailer’s website. In April, the e-commerce titan sued several website operators in King County Superior Court for allegedly selling fake reviews of books and other products.
“Our goal is to remove incentives for sellers to abuse reviews and close this ecosystem around fraudulent reviews in exchange for compensation. As long as this type of abuse exists, we will continue to take repressive and legal action against sellers participating in fraudulent reviews, ”said an Amazon spokesperson as quoted by Tech Crunch.
The spokesperson also said that “the vast majority of reviews on Amazon are genuine, helping millions of customers make informed buying decisions every day.”
Amazon serious about fake products, reviews
Abuse of reviews is becoming a big problem for the company. In recent months, the e-commerce giant has had to handle complaints about sellers who sell counterfeit products on its platform. In an effort to stop the sale of counterfeit products, the company insisted that sellers who wish to sell top brands such as Hasbro, Adidas and Nike must meet certain minimum requirements to confirm the originality of their products.
To get started, sellers should upload a copy of invoices from a manufacturer or their authorized distributor to show that you actually bought the real deal and not fake knockoffs from China. In addition, invoices must be no more than 90 days old and must indicate the purchase of at least 30 items in five different product categories. More so, sellers are required to pay a non-refundable fee of $ 1,500 per brand to show their commitment to selling original products.