
UK secures action from Amazon to tackle fake reviews
HighlightsAmazon has pledged to combat fake reviews and will impose sanctions on British businesses that artificially inflate their ratings through fraudulent posts, as stated by the United Kingdom's Competition and Markets Authority. The Competition and Markets Authority's investigation revealed issues related to 'catalogue abuse', where sellers mislead consumers by using reviews from unrelated, well-performing products to enhance their own ratings. Under its enhanced powers, the Competition and Markets Authority can independently determine violations of consumer law and take enforcement actions, including imposing fines and mandating improvements in business practices.
Amazon
has committed to do more to tackle fake reviews, including sanctioning British businesses that boost their ratings through bogus posts, the country's competition watchdog said on Friday.
Following a four-year probe, the Competition and Markets Authority (CMA) said Amazon's undertakings also addressed its concerns about '
catalogue abuse
' where sellers use the reviews of well-performing unrelated products to boost ratings and mislead customers.
Companies that break the rules could be banned from selling on the ecommerce giant's platform altogether, while users who post fake reviews could be banned from posting reviews.
Amazon also committed to robust processes to quickly detect and remove fake reviews and catalogue abuse, the CMA said.
The regulator, which estimates that 90% of consumers use
online reviews
to inform purchases, began investigating Amazon and Google in 2021 over possible breaches of
consumer protection law
. It secured similar commitments from Google in January.
"These new commitments matter and help set the standard," CMA boss Sarah Cardell said in a statement.
The watchdog is conducting an initial sweep of review platforms following the release of new reviews guidance in April, seeking to identify platforms that may need to do more to comply with consumer law.
Under its newly-granted powers, the CMA can independently decide whether consumer law has been infringed and take action in case of breaches, including issuing fines and ordering businesses to improve their practices.

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