STORY
Amazon has agreed to a series of legally binding undertakings with the UK’s Competition and Markets Authority (CMA) aimed at tackling the persistent problem of fake reviews and misleading product listings on its platform. The move comes under the new powers granted to the CMA by the Digital Markets, Competition and Consumers Act, and marks a significant escalation in the regulator’s efforts to clean up online marketplaces. As part of the agreement, Amazon will strengthen its internal systems for detecting and removing fake reviews. This includes deploying more advanced tools to identify misleading content and to ensure that positive reviews for one product are not wrongly attributed to others. The company also committed to removing incentivised or paid-for reviews that violate its policies, as well as banning repeat offenders from using the site. This includes permanently banning individuals who post fake reviews and removing all of their existing content from the platform.
Amazon will also improve its reporting mechanisms, making it easier for customers and businesses to flag suspicious activity. The CMA said the changes will allow people to make better-informed decisions, free from manipulation by dishonest sellers or review mills. Online reviews are now a major influence on consumer behaviour, with research suggesting they affect around £23 billion of annual UK spending. With fake reviews now explicitly banned under the Digital Markets Act, the CMA has new powers to issue fines of up to 10 percent of a firm’s global turnover and demand direct redress for consumers—without the need to go to court.
This agreement follows a similar commitment from Google earlier in the year. The CMA is now conducting a wider review of major platforms to assess compliance with new guidance on fake reviews. That may lead to further action, including enforcement measures or financial penalties. CMA Chief Executive Sarah Cardell welcomed the move, saying it would ensure shoppers could trust what they see online and know that those attempting to mislead them will be dealt with swiftly.