Beware of This Scam Impacting Amazon and Walmart Shoppers

Shopping scams are detrimental in more ways than one, and we’re warning you about one that has infected a couple of popular brands.

When you do your shopping — whether it be online or in person — the last thing you want to run into is a scam. Faulty products, unfair or too-good-to-be-true pricing, or phony products are all things consumers constantly have to look out for. Unfortunately, a big scam has become very apparent with some online retailers, and these brands are giving everyone a heads-up.

Both Walmart and Amazon are making their customers aware of a growing trend of counterfeit products being sold via the third-party features of their respective companies.

Walmart, specifically, is using AI (artificial intelligence) in an effort to recognize fraud and counterfeit items from said third-party sellers. The retailer offers millions of items through its marketplace, and it’s not hard to find bogus items.

In a blog post, Walmart noted that “bad actors seek to mislead and defraud customers in a rapidly changing environment.” The company did note that while the percentage of fake items is still relatively low, it could keep getting worse, as these “fraudulent sellers — who grow savvier, faking credentials and dodging enforcement — erode trust, not just in the companies who run these marketplaces, but in the thousands of large and small sellers who act with integrity and seek only to bring value and assortment to those who shop with us.”

As a result, Walmart is implementing what it calls a “multi-layered enforcement system” that uses tools such as AI to make sure sellers are complying with Walmart policy. The system includes vetting, seller/category restrictions, brand protections, allowing store-based returns, and the removal of listings and sellers that violate Walmart’s marketplace rules. If necessary, Walmart will also invoke law enforcement.

As the counterfeit threat increases due to the advancement of fraudulent sellers, Amazon has also taken precautionary measures.

The online retailer has an anti-counterfeit policy, violation of which may result in “loss of selling privileges, funds being withheld, and disposal of inventory in our possession.”

Per Amazon, it is the seller and supplier’s responsibility to “source, sell, and fulfill only authentic products.” Selling or supplying illegally replicated products, bootlegs, fakes, or other types of counterfeit merchandise could get your account banned or a rejection of payment. It could even lead to legal action.

Amazon relies a lot on customer reviews and interactions, so if you come across something that may be counterfeit or you received a phony product, you can reach out to Amazon’s customer support to launch an investigation.

Have you come across counterfeiting issues online? Share your experiences in the comments below, and continue to follow us here at AllEars for more shopping tips and tricks.

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