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How to recognize fake stores & online shops on the Internet

08/25/2023 | by Patrick Fischer, M.Sc., Founder & Data Scientist: FDS

In today's digital era, online shopping and e-commerce have undoubtedly revolutionized our consumer behavior. But with the rise of online commerce, fraudulent activities such as fake stores have also become a serious threat to consumers. These enticing but fraudulent websites lure unsuspecting shoppers with supposed bargains and high-value products that are often never delivered. So how can consumers distinguish between genuine online stores and scams? Here are some important tips for spotting fake stores online and protecting yourself from fraud.

1. Check the URL and website details

The first step to identify a fake store is to carefully check the website address (URL). Scammers often use similar-sounding URLs to mimic real online stores. Look for typos, unusual subdomains or extra words in the URL. A secure website should also have a "https://" instead of "http://" to ensure data encryption.

2. Research the online store

Conduct a thorough online research to find out if the online store is reputable. Look for reviews, customer ratings and experiences of other buyers. Authentic stores usually have an online presence on social media and platforms like Google My Business. If any trace of a store outside its own website is missing, beware.

3. Watch out for unusual payment methods

Fake stores tend to offer unusual or questionable payment methods. Be skeptical if only bank transfers, cash shipments or prepaid cards are accepted. Reputable online stores offer a wide range of secure payment options, including credit cards, PayPal and other established service providers.

4. Too good to be true? Be skeptical!

Offers that are too good to be true are often just that. When an online store offers extremely low prices for products that are normally much more expensive, alarm bells should ring. Scammers use this tactic to grab buyers' attention and lure them into the trap.

5. Check the imprint and contact information

Every reputable online store should have an imprint with clear contact information. If this information is missing or the contact information is vague and incomplete, it indicates a possible fake store. Verify the information provided by doing a quick online search for the company or people responsible.

6. Trust your instincts

In the end, your gut instinct is often a good indicator. If something about an online store strikes you as odd, or if you have an uneasy feeling, it's probably better to back off and shop elsewhere.

The rapid increase in fake stores requires consumers to be highly vigilant. By following these tips and being discerning about their online purchases, they can protect themselves from fraudulent activity and ensure that they spend their hard-earned money with trustworthy merchants.

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