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    Posted December 19, 2013 by
    NEW YORK, New York

    CNN iReporter Top 5 Dangers Of Online Shopping: Black Friday, or Eye?


    Before you, your family, or friends (e.g. Facebook, Twitter and LinkedIn) spend another dime online, please take a moment to mull over my “Top Five Dangers” and ways to reduce risk.


    If you are, or want to be an iReporter for CNN, I implore you to contribute your experiences, and help me create the most informative “Open Story” that the news organization has ever had on the subject. The issue of online danger is here to stay so let’s fight back with knowledge.


    An important resource for all of us, is the FBI’s annual holiday shopping tips, warning consumers about the dangers of online scams. A link to it is here:


    How many people are really vulnerable? Black Friday was this holiday season's first billion-dollar-plus online shopping day, with the total online take for the day of $1.2 billion, up a hefty 15 percent over last year. It’s safe to say this includes your loved ones. Here is my list of Top 5 Dangers:


    #1) Fake Online Reviews - A collection of five-star ratings can do amazing things for online sellers. As a result, some authors have confessed to posting fake reviews; see “Fake Reviews: Amazon’s Rotten Core”. Others are now offering a refund to customers, in exchange for a write-up; see “For $2 a Star, an Online Retailer Gets 5-Star Product Reviews”. Ways to Reduce Your Risk – Be skeptical of reviews that lack detail, or are too positive. Social media sites like Facebook, Twitter, and Yelp may provide a stronger, direct relationship to people’s opinions. Check the source. Does it link to the reviewer’s profile and previous reviews, or a social media page that shows the reviewer is real? Dina Rezvanipour, CEO of 3d Public Relations and Marketing says, “I always recommend my clients focus on customer interactions on their facebook and twitter, it helps reduce their risk of people assuming skeptical comments and build a relationship with their customers.” Finally read reviews on multiple platforms (e.g. Amazon and


    #2) Lack Of Full Cost Disclosure – Additional fees like shipping, may be hidden until late in the checkout process. For example, I was recently stung by ConsumerReports’ price comparison engine after it suggested that the best place for me to buy a laptop with free delivery was, which is owned by Systemax. When I neared the end of the purchase process, the fine print said I’d have to spend $49.99 on a year membership, to get the “free” shipping. What’s worse, I then learned it would cost $189.99 more for Microsoft’s software. This meant the actual cost was 20% greater than I was lead to believe. Ways to Reduce Your Risk – Remember there is “no free lunch”, in other words you’re going to pay for delivery one way or the other. Don’t expect software to come with the computer. Finally, don’t use TigerDirect or ConsumerReports’ comparison engine.


    #3) Counterfeit Goods – Even Jeff Bezos‘ Amazon continues to have difficulty keeping counterfeits off its site. We know this because a California appellate court opined on Amazon’s efforts to police counterfeit goods sold by its third party merchants. The decision was noteworthy because Amazon has been using a lower “Policing” standard than set by the court in Tiffany v. eBay. Ways to Reduce Your Risk – If the price is too good to be true, it probably is. Research the third party seller or website you are buying from. Don’t be afraid to ask lots and lots of questions. Finally, trust your gut.


    #4) Order Never Arrives – Each time I’ve shopped on or, my order has arrived on time. Given the amount of business both companies do, I’m sure everyone won’t be as lucky. For example, I found an Epinions review titled, “Packages get lost in mail or stolen in warehouse”. I believe the likelihood of an order not arriving, increases when third party sellers (e.g. Marketplace Retailers) become involved. Ways to Reduce Your Risk – Size matters. When shopping, stick to Top 500 Internet Retailers.


    #5) Identity Theft - According to The US Department of Justice, identity theft and fraud are terms used to refer to all types of crime in which someone wrongfully obtains and uses another person’s personal data in some way that involves fraud or deception, typically for economic gain. For example, if someone steals your debit card number, your entire checking account is exposed. Within minutes, identity thieves can drain your account and set you back financially for years. Ways To Reduce Your Risk - Just remember the word “SCAM”. Be (S)tingy about giving out your personal information to others unless you have a reason to trust them, regardless of where you are. (C)heck your financial information regularly, and look for what should be there and what shouldn’t. (A)sk periodically for a copy of your credit report. (M)aintain careful records of your banking and financial accounts.


    Follow @AbeGarver on Twitter

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