Amazon.com (NASDAQ:AMZN) set to take legal action against paid review sites

According to the latest reports, Giant online retailer Amazon.com, Inc. (NASDAQ:AMZN) is set to cut down on the practice of companies offering free products to customers in exchange for a review.

The company said that, from now onward these kind of reviews can only come via the online store’s own program, Amazon Vine.

According to the recent researches, those who received free or cut-rate items were much more likely to write a favorable comments. Study of more than seven million reviews by analysis site ReviewMeta established that the average rating for products with incentivized reviews was higher than those for non-incentivized ones.



Product reviews that buyers can trust has been a huge factor in Amazon’s success. The online retail firm has always banned compensation for reviews but had made an exception for reviewers that disclosed that fact. However company have decided now to ban them completely, other than through Amazon’s own program, Vine.

“These so-called ‘incentivised reviews’ make up only a tiny fraction of the tens of millions of reviews on Amazon, and when done carefully, they can be helpful to customers by providing a foundation of reviews for new or less well-known products,” Chee Chew, vice-president of customer experience at Amazon, wrote in a blog post.

“Creating, modifying, or posting content in exchange for compensation of any kind (including free or discounted products) is not allowed,” read the updated community guidelines.

Amazon’s Vine program invites trusted reviewers to post opinions about new and pre-released items to help shoppers make informed purchase decisions.

Reviewers are chosen by Amazon and tend to be people who have developed a reputation for expertise in specific products.

Amazon is reportedly going to the court against more than 1,000 people it says have offered to submit positive reviews to the site in return for payment.

SHARE
Previous articleFacebook Inc (FB) again tries its luck as an online Marketplace to compete with the likes of eBay
Next articleTwitter attracting likes of Salesforce.com (CRM), Alphabet (GOOGL) and Walt Disney (DIS)