Stay Alert: Protect Yourself from Scams During Amazon Prime Day

Amazon Prime Day: A Prime Target for Scammers

As Amazon Prime Day kicks off, experts are urging consumers to remain vigilant against scams. Phishing scams, particularly those involving fake emails from individuals posing as online retailers like Amazon, have been a persistent threat. However, these scams often surge during major sales events such as Black Friday and Amazon Prime Day, according to the Better Business Bureau (BBB).

“Amazon Prime Day is a significant event on the retail calendar,” says Josh Planos, BBB’s vice president of communications and public relations. “Scammers, con artists, and shady businesses see this as a golden opportunity to exploit the situation and steal your money.”

What to Watch Out For

Amazon Prime Day is a two-day sales event exclusive to Amazon Prime members, starting on Tuesday and running through Wednesday. The BBB has recently cautioned consumers to be wary of lookalike websites, too-good-to-be-true social media ads, and unsolicited emails or phone calls during this sale period.

This year, consumers should exercise extra caution. In June, the BBB reported a record number of phishing incidents in 2023, a trend that shows no signs of slowing down. Check Point Software Technologies also discovered over 1,230 new websites impersonating Amazon in June, with most being malicious or suspicious.

Common Scams to Be Aware Of

Scott Knapp, Amazon’s director of worldwide buyer risk prevention, highlights two primary areas to be cautious of during Amazon Prime Day: Amazon Prime membership and order confirmations. Last year, over two-thirds of scams reported by Amazon customers were related to order or account issues. These scams often involve unsolicited calls or emails claiming there is a problem with a Prime membership, prompting the victim to provide bank account or payment information to resolve the issue.

Another common tactic is to send consumers an order confirmation for a purchase they didn’t make, usually for a high-value item like a smartphone. The aim is to grab the recipient’s attention and trick them into providing payment information or clicking on a malicious link. Scammers may also use fake giveaways or create a sense of urgency to pressure victims into acting quickly.

Amazon’s Efforts to Combat Scams

Amazon is actively working to prevent scammers from exploiting its brand. Knapp advises customers to verify their purchases and confirm any messages from the company directly through the Amazon app or website.

While new scams may emerge, experts suggest that many familiar shopping scams resurface each year. “The core tactics remain the same,” says Planos, referring to fake delivery scams and email phishing attempts. However, online scams are becoming increasingly sophisticated, with more realistic images, convincing text messages, and fake websites that closely resemble legitimate shopping sites.

The Role of AI in Modern Scams

With the advent of AI, scams targeting e-commerce shoppers have evolved. Today, scammers may use machine-generated emails or texts instead of those written by humans. The Federal Trade Commission (FTC) reports that consumers lost approximately $10 billion to fraud in 2023, a 14% increase from 2022. Online shopping scams were the second most reported type of fraud, following impostor scams.

Tips to Protect Yourself

To help consumers avoid falling victim to scams, the FTC and BBB offer the following tips:

• Block unwanted messages.
• Never share financial information with unsolicited callers.
• Always check links before clicking. Secure websites will have “HTTPS” in the URL, not just “HTTP.”

Scammers often try to create a sense of urgency, so take a moment to pause and trust your instincts. Additionally, experts recommend reporting scams to the appropriate authorities.

Be Wary of Counterfeit Products and Fake Reviews

In addition to scams impersonating companies or retailers, consumers should also be cautious of counterfeit products and fake reviews on trusted sites. Shopping on Amazon doesn’t always guarantee that you are buying directly from Amazon, as the platform hosts a third-party marketplace. Counterfeit products have become more sophisticated and harder to spot. A general rule of thumb is that if a product is being sold for less than 75% of its regular price, it’s likely a red flag.

Shady sellers frequently appear on Amazon, especially during peak spending periods when counterfeit products tend to increase. Planos advises checking companies on the BBB website to ensure their legitimacy.

Amazon’s Ongoing Battle Against Counterfeits

Under increasing pressure to combat counterfeit products, Amazon has removed millions of fake items in recent years. The company reports that it blocked billions of bad listings and in 2023 alone, identified, seized, and disposed of over 7 million counterfeit items. Amazon has also taken legal action against fake review brokers.

Customers can report fake reviews and other scams directly on Amazon’s website. If a counterfeit item is discovered, Amazon says it will proactively contact the customer and issue a refund.

By staying informed and cautious, consumers can enjoy the benefits of Amazon Prime Day without falling victim to scams.