Scams targeting online shoppers — who often pose as companies like Amazon and other big retailers — aren’t new. However, according to the Better Business Bureau, fraud attempts are on the rise during major events like Black Friday or Prime Day.
“This moment is significant in the business calendar,” Josh Planos, vice president of communications and public relations at the Better Business Bureau, told The Associated Press. “And that’s why it represents a huge opportunity for scammers to prey on people and their hard-earned cash.”
Prime Day, a two-day discount event, begins on Tuesday and lasts through Wednesday. In guidelines released last week, the Better Business Bureau reminded consumers to beware of similar websites, too good-to-be-true social media ads, unsolicited emails or calls, and more to take when Prime Day and other sales events come up this month.
Scott Knapp, director of buyer risk prevention at Amazon, identifies two scams the company has observed on Prime Day in recent years: Amazon Prime subscription and order confirmation hoaxes.
For example, last year people reported receiving unwanted calls or emails saying there was a problem with their Prime membership. They were then asked for payment information, such as a credit card, and sometimes sign-in information, Knapp said, adding that Amazon “or any reputable company” wouldn’t ask for that information that way.
He adds that asking consumers to confirm an order they haven’t placed is also a common tactic at this time of year. To gain attention, scammers may show something valuable, such as a smartphone, and then ask for payment information again or send a malicious link.
“We sell a lot of stuff and people know the name (Amazon),” Mr Knapp told the AP. “Bad actors try to take advantage of that.”
There are, of course, some other scams – it’s difficult to get any specifics on this year’s Prime Day before it begins. Still, experts add that the scams often repeat themselves year after year.
“In general, the principles remain the same,” Planos added, citing fake delivery information, email phishing attempts, and more. “It’s still a trick to get consumers’ personal information.”
Continuous development
Online fraud is constantly evolving and becoming more sophisticated, Planos warns. This means images can look more legitimate, messages can look more convincing, and fake websites start to look a lot like your usual shopping destinations.
Artificial intelligence is also slowly coming into play, Mr. Knapp said. “But they still follow the same approaches. It’s just that a machine can generate the email or the SMS.”
According to February Federal Trade Commission data, consumers say they lost about $8.8 billion to fraud in 2022, up 30% from 2021. Online shopping fraud was the second most reported form, according to the FTC from fraud.
The FTC and Better Business Bureau advise consumers year-round to avoid scams. These tips include blocking spam, not providing financial information to unwanted callers, and checking links before you click them — secure websites, for example, include “HTTPS” in the URL, Planos notes. , never “HTTP”.
Scammers often try to trick you into taking immediate action, experts point out. It’s important to stop and trust your instincts. Experts are also urging consumers to report scams to authorities.
Aside from scams posing as a company or retailer, it is also important to be wary of fake products and fake reviews that can be found on trusted retailer websites. For example, if you shop at Amazon, it doesn’t mean you shop at Amazon because the e-commerce giant has extensive third-party marketplaces like eBay, Walmart, and others.
The quality and appearance of counterfeit products has increased dramatically in recent years, Planos says, making these activities more difficult to control. A good rule of thumb is to look at the price — if the product sells for less than 75% of its usual price year-round, “that’s a really big red flag,” he adds.
Questionable sellers can pop up “all the time” on various platforms, including sites like Amazon, Planos said, urging consumers to look at the companies on the Better Business Bureau’s website. As with other scams, the number of counterfeit products can increase during peak shopping periods such as the holidays or even near sales events such as Prime Day.
Amid growing pressure to crack down on counterfeit products, Amazon says it has eliminated millions of counterfeit products and blocked billions of malicious ads from showing on its site in recent years. In 2022, the company said it had “identified, confiscated and properly disposed of” more than six million counterfeit items.
In a statement sent to The Associated Press on Monday, the Seattle-based e-commerce giant says it has “zero tolerance” for counterfeit products and fake reviews. The company reports that it will block more than 200 million suspicious reviews in 2022.
Customers can also report fake reviews and other scams on Amazon’s website, Knapp said. For the “rare instances” where customers “purchase an item that Amazon identifies as counterfeit,” the company added, “we will proactively contact the customer, let them know they bought a counterfeit product and refund them.” full purchase price.”