The Competition and Markets Authority (CMA) has started a formal investigation into whether Amazon and Google are doing enough to prevent or remove fake reviews for products and businesses.
An initial probe into the issue by the regulator began in May 2020. It had assessed the internal systems and processes of several platforms for identifying and dealing with fake reviews.
The CMA said today that it will now gather more information to decide if the two online giants have broken consumer law by taking insufficient action to protect shoppers.
The competition watchdog’s initial work raised concerns around whether Amazon and Google have been doing enough to detect fake and misleading reviews or suspicious patterns of behaviour. For example, where the same users have reviewed the same range of products or businesses at similar times to each other and there is no connection between those products or businesses – or where the review suggests that the reviewer has received a payment or other incentive to write a positive review.
It also pointed to whether the two firms investigate and, where necessary, promptly remove fake and misleading reviews from their platforms. And the CMA has concerns around the imposing of adequate sanctions on reviewers or businesses to deter them from posting fake or misleading reviews.
“Our worry is that millions of online shoppers could be misled by reading fake reviews and then spending their money based on those recommendations,” said CMA Chief Executive Andrea Coscelli.
“Equally, it’s simply not fair if some businesses can fake 5-star reviews to give their products or services the most prominence, while law-abiding businesses lose out.”
The CMA stressed that it has not reached a view on whether Amazon and Google have broken the law. However, if, after investigating, it concludes they have broken consumer protection law, it can take enforcement action ranging from securing formal commitments to change the way they deal with fake reviews or escalating to court action.
Last year, action taken by the regulator over the trading of fake reviews resulted in Facebook, Instagram and eBay removing groups and banning individuals for buying and selling fake reviews on their sites.
Amazon stated that it will continue to assist the CMA with its enquiries. “We are relentless in protecting our store and will take action to stop fake reviews regardless of the size or location of those who attempt this abuse,” a spokesperson said.
Google has yet to comment.
