September 14, 2025
Tech News
Small businesses are increasingly threatened by scammers who exploit fake reviews to extort money. These criminals contact business owners via platforms like WhatsApp, offering services to remove fake negative reviews in exchange for payment, putting significant financial pressure on owners.
Natalia Piper, a contractor in Los Angeles, became a victim of this scam when she was contacted by someone claiming to post negative reviews unless paid. Despite paying twice, her business eventually received even more fake reviews, severely damaging her Google rating, in which her score plummeted from 5.0 to 3.6 stars.
Similarly, Nick Betourney, who operates Budget Moving Services in Georgia, also fell prey to this scheme. After receiving threats of numerous negative reviews, he reported them, but more fake reviews continued to appear, showcasing how these attacks are organized and challenging to combat for small businesses.
The Federal Trade Commission (FTC) implemented a rule in 2024 targeting businesses purchasing fake positive reviews, but critics argue it does not adequately protect companies from fake negative reviews. This highlights the growing concern over the sufficiency of existing regulations regarding online review moderation.
Small businesses in the United States are increasingly targeted by scammers using fake online reviews to pressure owners. In numerous recent cases, businesses have reported receiving multiple one-star Google reviews in rapid succession, followed by messages demanding payment for their removal. Victims have flagged such attacks to Google, and while many fake reviews can be eventually removed, they typically remain online long enough to lower the company’s rating and affect its visibility.
Experts warn that fake review scams are growing more coordinated, and regulators are taking notice. In October 2024, the Federal Trade Commission implemented a rule banning fake reviews and testimonials, including those written by individuals who never used the service. Violators can face fines of up to $51,744 per offense.
Critics say the rule does not fully address extortion attempts or guarantee quick action by platforms. Enforcement remains challenging, especially against anonymous or overseas actors, so small business owners remain vulnerable to this evolving threat.
Tech Explained
Fake Reviews – Fake reviews are deceptive online evaluations of products or services. Scammers create them to manipulate consumer perception, often harming a business’s reputation by misleading potential customers about quality or service, thereby leading to loss of revenue.
Scam – A scam is a deceptive scheme or operation designed to trick individuals into giving away money or personal information. In the context of fake reviews, scammers threaten businesses to extort payments by fabricating negative feedback on their online profiles.
Online Reputation Management – Online reputation management refers to the practice of monitoring and influencing an individual’s or business’s reputation on the internet. This includes efforts to address negative reviews and promote positive content to safeguard a brand’s integrity and credibility.
Artificial Intelligence – Artificial intelligence (AI) encompasses computer systems that simulate human intelligence to perform tasks, such as generating persuasive text. Scammers use AI-driven tools to produce realistic-sounding fake reviews, complicating detection and mitigation efforts by businesses and platforms.
Consumer Protection – Consumer protection encompasses laws and regulations that ensure the rights of consumers are upheld and safeguarded against unfair business practices. The FTC’s efforts to regulate false reviews are part of consumer protection initiatives aimed at fostering fairness in the marketplace.
