Amazon’s internal messages show the FTC’s prodding of the company to take down prodding tech giant to punish fakereview scheming. Amazon has removed large numbers of reviews that seem to be fake by having them disappear altogether. This article discusses whether this is a good thing for consumers or not.
What are the consequences of Amazon’s responses to the FTC?
According to an Amazon internal message that was leaked to the press, the company was pressured by the FTC to remove prodding tech giant to punish fakereview from its product pages. The FTC has been cracking down on companies who are manufacturing or soliciting fake reviews in order to boost their products’ ratings and rankings. Amazon apparently responded by creating a new policy that requires reviewers to provide contact information and a valid email address in order to leave a review. This policy may help reduce the number of fake reviews on Amazon’s product pages.
What is the FTC doing with Amazon?
The Federal Trade Commission (FTC) is reportedly pressuring Amazon to crack down on fake reviews. The FTC has been investigating Amazon for some time now, and it seems that the FTC is finally getting serious about the issue. According to a report from The Wall Street Journal, the FTC is pressuring Amazon to “take action to prevent fraudulent and deceptive reviews from appearing on its site.”
It’s clear that the FTC is concerned about the negative impact that fake reviews have on consumers. In fact, research has shown that fake reviews can have a negative impact on a product’s average rating. As a result, it’s important for Amazon to take action to stop fake reviews from appearing on its site.
It’s unclear what exactly Amazon will do in response to the FTC’s pressure. However, it’s interesting to note that Amazon has been proactive in cleaning up its site recently. For example, Amazon recently removed all false product reviews from its site. It’s unclear if Amazon will take additional steps in response to the FTC’s pressure, but it will be interesting to see what happens.
The FTC’s reactions to companies
The FTC has started to enforce smaller fines for companies that are found to be using fake reviews on Amazon. With a recent example being Whole Foods. Amazon had contacted by the FTC in April 2017 about concerns of fake reviews and announced in June that it was suspending new reviews from its AmazonSmile program. The FTC reported in September that Whole Foods paid a $200,000 fine as part of an agreement with the FTC over allegations of widespread fraudulent reviews. Many other companies have also fined by the FTC for their involvement in this issue, including Uber and Airbnb. The FTC has warned these companies that they could face even harsher penalties if they continue to violate Amazon’s review policies.
How can other companies get ahead of this issue?
As Amazon has come under fire for allegedly pressuring employees to write prodding tech giant to punish fakereview for the company’s products, other businesses should take note. The Financial Times reports that the FTC is investigating the matter and has been prodding Amazon for answers for months. In a letter obtained by the FT, the FTC requested detailed information on how and why Amazon was incentivizing reviewers to write positive reviews.
The practice of incentivizing employees to write positive reviews is not new, but it has come under fire in recent years. In July of this year, Yelp announced that it was investigating allegations of employees being pressured to write positive reviews. And in December of last year, the New York Times reported that Google was also being investigated by the FTC for similar practices. Businesses should take note of these investigations and make sure that they are not incentivizing employees to write fake reviews.
It seems as though the Federal Trade Commission (FTC) is getting more aggressive in its efforts to crack down on prodding tech giant to punish fakereview. On July 25, 2017, Amazon announced that it was suspending accounts of users who had provided “false and misleading” ratings and reviews for products sold by third-party sellers on the Amazon Marketplace. The announcement followed an investigation by the FTC into whether these reviews were being provided to unfairly help certain sellers gain a competitive advantage on the platform.
As this type of behavior continues to be rampant on platforms like Amazon, it’s important that businesses take note and ensure they are abiding by all FTC guidelines when it comes to rating and reviewing products. By doing so, you can avoid any potential fines from the FTC or other legal actions taken against your business.
How are Amazon attempting to control unsolicited reviews for its products?
Recently, the Federal Trade Commission (FTC) sent a letter to Amazon asking it to take action against fake reviews on its products. According to the FTC, “firms that manufacture and/or sell products online are responsible for ensuring that their products are accurately and fairly reviewed.” The FTC also states that “Amazon has an important responsibility to ensure that its customers receive accurate and unbiased feedback about its products.”
In order to control the amount of unsolicited reviews for its products, Amazon is reportedly using internal messages to discourage customers from leaving fake reviews. For example, Amazon will send customers a message asking them to provide “proof of purchase” before leaving a review. If a customer does not respond to these requests, Amazon may remove their review from the product page.
Although this strategy seems to be working, it is likely only temporary. Some customers may still leave fake reviews in order to receive free shipping or other benefits. Additionally, fake reviews can have a negative impact on product ratings, which could lead to lower sales for Amazon.