Friday, September 18, 2015

Businesses Buying "Friends"

For many businesses a good online reputation can significantly increase revenue.

Kashmir Hill, who I know from my time in NYC, has done some interesting reporting on businesses buying a good online reputation.

Earlier this week Kashmir posted the results of her undercover investigation into the problem of fake reviews, followers, and friends. When asking questions as a journalist, those selling online reviews insisted they only did real reviews on products they actually tested.

Kashmir then created a make-believe mobile karaoke business, Freakin’ Awesome Karaoke Express (a/k/a F.A.K.E), and found how easy it was to artificially inflate one's online reputation. She writes:

For $5, I could get 200 Facebook fans, or 6,000 Twitter followers, or I could get @SMExpertsBiz to tweet about the truck to the account’s 26,000 Twitter fans. A Lincoln could get me a Facebook review, a Google review, an Amazon review, or, less easily, a Yelp review.

All of this for a fake business that the reviewers had, obviously, never frequented. Some of the purchased fake reviews were surprisingly specific. In a time when many of us rely on online reviews, at least in part, this was a sobering story. It was somewhat encouraging, however, to see Yelp's recent efforts to combat fake reviews, albeit after a 2015 article by professors from Harvard Business School and Boston University showed roughly 16% of the Yelp reviews to be suspicious or fake.

Go read Kashmir's entire article, it will make you even more skeptical of reviews you read online and small businesses with tens of thousands of friends/followers.

https://lawprofessors.typepad.com/business_law/2015/09/businesses-buying-friends.html

Business Associations, Current Affairs, Entrepreneurship, Haskell Murray, Technology, Web/Tech | Permalink

Comments

This is so depressing. I depend so much on reviews - online shopping, and just figuring things out in a new city.

Posted by: Ann Lipton | Sep 18, 2015 9:30:29 AM

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