Social media advertising is an effective way for small businesses to get the word out about their products. Unfortunately, the same goes for scams. BBB Scam Tracker has received thousands of complaints about misleading Facebook and Instagram ads. In fact, the 2018 BBB Scam Tracker Risk Report found that online purchase scams were the most common cons reported to Scam Tracker, and the category with the most victims.
Look out for these common scams reported to BBB Scam Tracker:
Products That Claim to Support Charity: As you scroll through your Facebook or Instagram feed, you see an ad from a small business selling adorable jewelry, t-shirts, or other merchandise. The best part? Some of the proceeds from the sale will go to a charity that helps rescue animals, foster children, or support another worthy cause. You make your purchase. But when your merchandise never gets delivered, the doubts start to build. When you contact the company about your purchase, they are suddenly unreachable or reply with an autoresponder. In reality, the product never existed. It was all a ploy to get your money.
Free Trial Offers: Many of these misleading advertisements tout celebrity endorsements and promise a trial of the hottest new skin care or nutritional supplement for the minimal investment of shipping fees. What consumers report is that once they agree to the terms and conditions of these offers, they realize they have agreed to multiple monthly shipments for products in excess of $70 to $100 each. Before you sign up for these “limited time offers”, research the company online, see if there are any other consumer complaints, read the terms and conditions you are agreeing to carefully, and if you can’t find any terms and conditions, that is a red flag. Watch out for pre- checked boxes and make sure that you know who and where the company is that you are purchasing from.
Counterfeit Merchandise: Name brand goods are prime targets for unauthorized duplication, from sporting goods to designer apparel and handbags. If you purchase any of these products, you may run the risk of not only receiving a poor-quality product, but it may not meet environmental and safety regulations either. Look out for red flags. This includes items that are priced significantly lower than what other retailers are charging, spelling and grammatical errors in the advertisements, and poor-quality images. These are all signs that the advertisement may be for a counterfeit product.
How to Protect Yourself from Social Media Scams
Do your research. Before making a purchase, do a quick search for the business in question. Do they have valid contact information? Don’t be fooled by professional photography or consumer reviews on their website. These can be lifted from other sites. Check BBB Scam Tracker to see if others have been duped.
Search for previous complaints. Do a Google search of the business name followed by “complaints,” “reviews,” or “scam” and see what pops up. If you find other people have been cheated by this business, steer clear.
Use good judgment. Many con artists play on consumers’ desire to help those in need. Keep this in mind and use your head, not just your heart, when supporting charitable causes. Go to Give.org to research organizations before giving.
