Amazon struggles to press down on paid reviews coordinated on social media platforms and broker sites. The e-commerce giant took legal action against a Hong Kong-based firm, Merchant Global or Extreme Rebate, accusing it of involving third-party retailers to persuade customers to write positive reviews by offering them discounts. Amazon said it has begun to crack down on frauds that outbreak the giant shopping site.
Amazon has filed two separate court cases to seal the operations of Extreme Rebate, the company involved in such things. The eCommerce giant also has asked the courts to require the company to provide data about those Amazon sellers who used its service to get paid reviews.
Amazon went to a Washington state court to file a lawsuit, whereas it filed another court case in Germany. According to the US lawsuit draft, the company has alleged that Extreme Rebate has breached consumer protection law enforced by the Washington state and hindered Amazon’s contracts with third-party merchants to make money. It also assists $2.50 payment for each five-star review and offers a discount or refund for the products purchased on the site.
The press release by Amazon revealed that the brokers contact consumers through their website and ask them to write inflated or misleading reviews in exchange for products, discounts, money, or other incentives. On the other hand, Extreme Rebate also said in an e-mail that it offers customers discounted products whether or not they write a review. Customers have complete freedom to write negative feedback if they do not find a product’s quality up to the mark. The official website of Merchant Global LTD outlines three steps for customers to get free stuff. It has a banner that encourages customers to enjoy up to 100 percent off beside the Amazon logo.
Paid reviews continue to be a problem for Amazon, although it had banned the unwanted practice several years ago. These reviews can make more customers purchase the goods and boost a merchant’s products in Amazon rankings. This practice makes the e-Commerce giant more likely to market those products as the best seller, attracting customers to check out the listings and buy a product. According to Extreme Rebate, it benefits from machine learning technology, and many employees clear out of the practice.
The company fights back to remove them since the activity coordinates with customers through social media groups and external websites. The court case pursues the same actions the e-commerce giant has taken against Matronex, AppSally, Fivestar, and Rebates marketing.
Extreme Rebate took time to respond to multiple requests it received through emails. However, its official site depicts three steps that customers can take to get free products. It also exhibits a banner with the Amazon logo and prompts users to get up to 100 percent off on the products available on the website.
Amazon eradicated listings for businesses offering household products, such as sonic hair straighteners and toothbrushes. Those sellers made their products available for paid reviews on a Facebook group. It also removed listing for electronic brands like Mpow and Aukey after their involvement in paid reviews scheme became obvious.