Is It Safe to Buy It? Common Online Shopping Scams in 2025

E-commerce has changed the way we buy everything. From gadgets to groceries – everything’s online now. With just a few taps, the item you need or want is at your doorstep. Unfortunately, scammers are exploiting the e-commerce industry, lurking in the shadows and ready to drain your wallet.

Online shopping scams involve scammers targeting online shoppers with schemes like non-delivery, bogus social media deals, and fake e-commerce websites. For safe online shopping, always verify, stick to trusted platforms, and use secure payment methods.

According to Statista, the number of online shopping scam victims increased by 82.6% in 2023. Additionally, reports show that millions of people are victimized by online shopping scams every year. Losses amount to billions of dollars globally. As e-commerce and digital transactions continue to grow, scammers are looking for new ways to attack unsuspecting buyers.

Basically, an online shopping scam is where scammers deceive buyers into paying for products or services that are either counterfeit, non-existent, or never delivered.

Online shopping scams work because scammers take advantage of the trust people put in e-commerce platforms. They post products on trusted platforms like Amazon and eBays so people are less likely to think twice about buying.

Scammers also use fake social proof by posting fake reviews on their products using bots or paid reviewers. This helps them create a fake illusion of legitimacy. The more positive reviews there are, the more enticing their products will be and the easier it is to mislead buyers.

Lastly, online shopping scams work because scammers create a sense of urgency. They’ll offer limited-time deals like huge discounts to make people buy quickly.

As for the impact of this scam, victims can experience financial loss and receive low-quality products or none at all.

Victims can also suffer from identity theft if they are tricked into providing sensitive personal information such as Social Security numbers and financial information.

This type of online shopping scam is a classic example of “pay and pray.”

Essentially, you order and pay for a product online. You’ll receive shipping confirmation and tracking numbers. The product has professional-looking descriptions, images, positive reviews, and even a chat support function that will respond – until you finally make the purchase.

But then… those were just to create a false sense of security. In the end, you’ll receive nothing.

By the time you realize you were scammed, the product listing and seller profile are already shut down or rebranded under a new name. So, it’s impossible for you to track the scammer or recover lost money.

Red Flags:

• No clear information about the shipping. For example, if it says “It will arrive soon,” instead of a real, specific timeframe, then what you ordered is likely not coming.
• It’s a scam if the tracking number is not working with major shopping carriers.

Have you ever come across a really enticing deal while you’re scrolling on social media?

Scammers are increasingly using social media platforms like Facebook and Instagram to promote ads for trendy products at low prices.

In 2022, nearly 50% of social media users have been victimized by social media shopping scams.

Fake sellers on social media often use stolen images from legitimate brands.

Once you make a purchase, either you’ll receive a vastly inferior product or nothing at all.

Some of these fake social media sellers make you think they’re legitimate by using fake reviews, boosted followers, fake tracking numbers, and automated responses.

When there are too many complaints, the seller profile will be deleted or renamed, repeating the cycle with new victims.

Red Flags:

• Too good to be true pricing
• Only Star reviews and no negative feedback
• No specific contact information
• Seller disappears after you pay

Thinking you scored a high-end designer dress at a discount? Well, think again.

Another form of online shopping scam is when scammers make people believe they're buying authentic luxury items. But in reality… the item is a cheap knockoff.

Scammers often operate through e-commerce websites, social media platforms, or third-party sellers on popular marketplaces. They also use stolen images from legitimate brands and even send fake certificates of authenticity to fully trick you into buying.

Once you pay, they’ll send you the product. When you finally realize you received a product of inferior quality, with wrong logos, cheap materials, or glaring design flaws, the scammer is already long gone.

In some cases, victims only realize they’ve been scammed when they try to resell the item and other people identify that it’s a knockoff.

Red Flag:

• Low price for a supposed designer brand
• Suspicious seller (e.g. new or unverified website, and no specified physical address).
• Fake customer reviews (e.g. All 5-Star reviews, generic, and use of stock images).

Scammers also often mimic legitimate online stores – from professional designs and positive customer reviews to payment portals that look secure. They also register domain names that closely resemble those from trusted brands.

The website may display trendy products at unbeatable prices and time-limited deals, prompting people to act fast.

But once you make a purchase, either you’ll receive a fake product or none at all.

Plus, some of these fake e-commerce sites are designed to steal personal and financial data, which can lead to identity theft or unauthorized transactions.

To stay clear of online shopping scams, always look out for unrealistic deals like 80% off the latest iPhone.

Also, be suspicious if an e-commerce website lacks contact details and physical address, and has pixelated product images and weird URLs.

Aside from spotting common red flags, you can stay scam-free by practicing safe shopping:

• Stick to Reputable Platforms – Buy only from trusted online retailers and directly from brand websites.
  
• Use Secure Payment Methods – Pay your online orders through secure methods like credit cards and PayPal – these provide you with better fraud protection compared to non-secure methods like gift cards and cryptocurrency.
  
• Always Verify Sellers – Before making a purchase, research the company, check reviews, and try contacting customer service.

• Try Reversing the Charge – While there’s no guarantee of getting your money back, you can try requesting one from your credit card company.
  
• Monitor Your Accounts – Continue checking your accounts for suspicious activities, especially If you have shared your personal details with the scammer.
  
• Report – File complaints with consumer protection agencies or online platforms. This can help authorities in building a case against your scammer, increasing the chance of them being caught.
  
• Warn others – Sharing your experience with others can help prevent more people from falling victim.

Overall, online shopping is here to stay. Unfortunately, so are the scammers.

No worries though. Now that you’re armed with knowledge, you can enjoy the convenience of online shopping without falling into a scammer’s trap.

Remember to double-check before clicking that “Buy Now” button.

Happy (and scam-safe) shopping!

Does PayPal refund stolen money from scams?

While PayPal has payment protection to keep users safe, it doesn’t guarantee a refund of money stolen by scammers. Additionally, the platform’s protection features can’t help you if your identity has been stolen and used. Still, you can try to cancel pending payments and request chargebacks from your credit card issuer.

How can you know if a buyer is trying to scam you online?

Some signs that an online buyer is scamming you include: 1) they insist on non-reversible payment methods, 2) overpaying then asking you to refund excess via wire transfer gift card, 3) and sending prepaid shipping labels – scammers can modify the address after you've sent the item, then claim they never received it.