A Guide to Safe Online Shopping

The internet has become a massive marketplace, offering everything from the latest gadgets to handcrafted furniture. From clothing to gadgets to groceries, consumers can find virtually anything with a few clicks. 

While the convenience is undeniable, it's crucial to be aware of online scams that can target unsuspecting shoppers. That convenience comes with risks, including a mix of fake businesses and scams among the great deals. Verifying a business's legitimacy before making a purchase is crucial to ensuring a safe online shopping experience. 

With a little know-how, you can navigate the digital world with confidence and sort the sales from the scams.

The Challenges of Identifying Legitimate Businesses

With the growing trend of online shopping, distinguishing reputable businesses from fraudulent ones has never been more important. Let's face it, sometimes a deal seems too good to be true, and online, that's often the case. Shady businesses might lure you in with ridiculous discounts or flashy ads. Consumers must be vigilant to avoid falling prey to scams.

Whether you’re shopping for something specific, like a birthday gift, or perhaps simply dazzled by a cool ad on social media, it’s good to maintain a bit of healthy skepticism when you’re shopping online. The anonymity of the internet makes it easier for scammers to create fake businesses that look real.

Warning Signs of Fake Online Businesses

Falling for a fake ad can leave you open to everything from loss of your hard-earned money to full-blown identity theft. But being aware of some common warning signs can help you avoid falling victim to fake online businesses. 

With any of these, the scammers are relying on you, the shopper, to trust their flashy websites or social media posts and accept their promises at face value. These could be signs of a hastily thrown-together scam. If you see anything that looks like a red flag, pay attention and use caution before giving that online business your money!

Enticing Advertisements 

Commercials and other ads are often quite persuasive, painting attractive pictures of whatever the business is selling. Ads promoting low costs promising high rewards are hard to ignore, by design. Be wary of ads promising unbelievable deals or featuring products with limited information. Scam businesses often rely on unrealistic offers and misleading marketing tactics, but seeing through them can be difficult. Further research is warranted.

Lack of Online Presence

A reputable business will likely have a well-designed website and active social media profiles, not just one or the other. An established online presence, including a professional website and active profiles across multiple platforms like Facebook and Instagram, shows a shopper that the business is focused on finding the right audience for their products and services rather than just taking shortcuts. The absence of these can be a red flag.

Suspicious Website Traits

Pay attention to the website's design and functionality. Non-HTTPS websites, poor-quality content, and unprofessional design are indicators of a potential scam. Beware of pages that glitch, load very slowly, or even repeatedly offer banner ads with deals that seem too good to be true. Scammers often use flashy ads to lure unsuspecting consumers, so avoid clicking on ad banners that take you to other websites.

Missing Information

A legitimate business will have clear and accessible information, including contact details, return policies, and legal documents like terms and conditions and privacy policies.

Unconventional Payment Methods

Avoid businesses that only accept non-traditional payment methods like gift cards, cryptocurrencies, or direct bank transfers. Stick to recognizable payment options for added security.

How to Verify an Online Business

Recognizing a legitimate business involves looking for specific characteristics that differentiate genuine companies from scams. Luckily, now that you know the warning signs of fake online businesses, you probably have an idea what you should be looking for in a more reliable one. Obviously, when you know what to look for, there are also telltale signs of a genuine online business. Don't be afraid to do your detective work! To ensure you’re dealing with a legitimate business, follow these steps:

Search Engine Research

Head to your favorite search engine and conduct a basic search with the business name, followed by keywords like "reviews" or "scam." This can reveal important information about the business's reputation. 

Read Customer Reviews

Always look for a review section to see what other shoppers are saying about not only the products but the business, too. Check for external customer reviews on platforms like Trustpilot and the Better Business Bureau (BBB). Positive reviews are a good sign of legitimacy and give a picture of the type of customer service you can expect.

Ensure It’s a Secure Website

Legitimate businesses offer secure payment methods. Look for familiar options like credit cards, PayPal, and secure buy-now-pay-later options. Also, look for the padlock symbol in your browser's address bar and confirmation of HTTPS encryption. These security features ensure your payment information is safe.

Contact Information Verification

A legitimate business will not only provide but also clearly display their phone number, email address, and physical address (if applicable). You should be able to contact any business about your purchase experience, especially for those businesses that claim to welcome feedback and reviews.

Real businesses will have verifiable phone numbers and email addresses that you can contact. Verify the contact details provided on the website. Try calling the listed phone number or sending an email to confirm they are operational.

Social Media Verification

Check the business’s social media presence. Active and responsive social media profiles are often a sign of a genuine business. If they have something worth selling, they’re going to be talking about it, and they’re going to encourage other people to share their stories, too.

Safe Online Shopping Practices

Adopting safe online shopping practices can protect you from scams and ensure a secure shopping experience:

  • Prioritize Secure Websites: Always shop on websites that use HTTPS. This ensures that your data is encrypted and protected. Just remember that HTTPS by itself is not a guarantee of a legitimate website. Look for it in conjunction with the other signs of a legitimate site.
  • Read Reviews Carefully: Critically evaluate online reviews. Reviews can be helpful but be critical. Look for detailed and balanced reviews that provide a clear picture of the business's reputation. You will likely notice overall trends in the types of reviews that are out there about a business. With careful reading, you can avoid reviews that seem overly promotional.
  • Beware of Unrealistic Deals: If an offer seems too good to be true, it probably is. Be cautious of deals that are significantly lower than market value. Trust your gut and avoid falling for deals that sound suspicious.
  • Use Secure Payment Methods: Stick to secure and recognizable payment options like credit cards and PayPal. This may include some buy-now-pay-later options from known, reputable companies. Avoid unconventional methods that offer less protection. 
  • Shop with Established Retailers: When in doubt, consider shopping with well-known retailers with a proven track record. Established retailers are less likely to be fraudulent.

Spot the Gems, Dodge the Scams

While online shopping is convenient, it can also be risky. By being a smart and informed online shopper, you can avoid scams and have a positive online shopping experience. And always remember, if something seems too good to be true, it probably is. Stay informed and prioritize safety when shopping online. Happy shopping!

Additional Resources

Check out these additional resources for more tips on how to stay safe while shopping online: