Leading online companies like Amazon, Booking.com, Expedia, and Tripadvisor are joining hands to combat the increasing problem of fake reviews. The initiative also includes workplace review website Glassdoor and Trustpilot, a consumer review platform.
The growing issue of fake reviews
Fake reviews are more than just an annoyance; they can wreak havoc on a company's reputation and mislead consumers into making poor purchasing choices. A recent UK government report reveals that deceptive product reviews alone could cost UK consumers up to £312 million annually. Furthermore, it's estimated that up to 15% of reviews across e-commerce platforms in categories like consumer electronics, home and kitchen, and sports and outdoors might be fake.
Government action and industry response
The UK government plans to incorporate measures into the forthcoming Digital Markets, Competition and Consumer Bill to address this issue. Likewise, the Federal Trade Commission is mulling similar actions in the United States. The newly formed group, named the Coalition for Trusted Reviews, aims to tackle fake reviews by establishing industry-wide standards and sharing best practices and intelligence on companies that peddle fake reviews.
Members of the Coalition for Trusted Reviews have already started using AI technology to detect fake reviews. Still, there's concern that AI could also enable fraudsters to produce bogus reviews more efficiently. Dharmesh Mehta, Amazon's vice president, emphasised the need for greater cross-industry collaboration to combat fraudulent activities effectively.
Travel booking giant Tripadvisor flagged 1.3 million fake reviews on its platform in 2022 alone. Becky Foley, a vice president for Tripadvisor, noted the added challenge of fake review creators often operating in areas without a legal framework to curb such activities, making international collaboration even more crucial.
By agreeing on what constitutes a fake review, sharing effective ways to host and moderate online reviews, and exchanging information about companies behind these fake reviews, the Coalition for Trusted Reviews hopes to make significant strides in restoring trust in online reviews.
