"Feeling of Betrayal" Consumers Outraged by Manipulated Online Shopping Reviews

Fair Trade Commission Catches 7 SNS Shopping Malls
Only Positive Reviews Highlighted at the Top
Includes Famous Online Shopping Malls 'Imvely' and 'Haneulhaneul'
Experts Say "Educational Programs Needed to Prevent Recurrence"

The Fair Trade Commission recently detected legal violations by major operators in the social network service (SNS)-based shopping mall market, where consumer damage is increasing.
Photo by Yonhap News

[Asia Economy Reporter Kim Suwan] An online shopping mall has been caught and sparked controversy for posting positive product reviews at the top of the consumer review board while placing complaints and defect reports at the bottom. In particular, many were found to have arbitrarily shortened the exchange and refund periods and failed to provide consumers with necessary information, causing public outrage.

Consumers are voicing criticism, saying, "Strong punishment is needed for companies that deceive consumers." As cases of damage continue, the government will continuously monitor to prevent recurrence.

Experts suggest that while punishment is important, educational programs to prevent recurrence are also necessary.

The Fair Trade Commission recently detected legal violations targeting influential businesses in the social network service (SNS)-based shopping mall market, where consumer damage is increasing.

On the 21st, the Fair Trade Commission announced that it decided to issue corrective orders and impose a total fine of 33 million won on seven companies that violated the "Act on Consumer Protection in Electronic Commerce, etc."

Among the detected shopping malls were those operated by well-known influencers on SNS. Notably, Lim Jihyun, CEO of the online shopping mall "Imvely," and Haneul, CEO of the lingerie shopping mall "Haneulhaneul" and an active YouTuber, were included.

These shopping malls used management programs to organize the boards so that posts appeared sorted by criteria such as latest, recommended, or rating order.

Moreover, many were found to have violated the legal withdrawal period for consumer cancellation rights under the Electronic Commerce Act or failed to disclose key information such as manufacturing dates.

These businesses were confirmed to have violated obligations related to cybermall labeling, identity, product, and transaction condition disclosures.

Photo by Yonhap News

As a result, consumers are expressing dissatisfaction, saying, "I always refer to reviews when shopping online, but now I even feel betrayed." Due to the nature of online shopping, where consumers cannot see or touch the products, they rely on reviews to predict the actual product.

Kim (29), an office worker who said she had purchased from the detected shopping mall for three years, said, "The reason I trusted and bought for three years was all because of the reviews. But I never thought they would betray us like this. Everyone said it was good, so I thought it was good even if it had no effect."

She added, "They even manipulate reviews, so now I don't know what to trust when buying. What’s more frustrating is that this company only paid a few million won in fines. The shopping mall is large and wealthy, so this level of punishment doesn't affect their sales. I think fines should be increased or more effective penalties are needed," raising her voice.

Another office worker, Kang (28), said, "Despite various controversies, I have been using OOO cosmetics because I couldn’t find products suitable for my skin, but this is just too much. Even after controversies, they deceive consumers again without remorse and only care about their profits. It feels really selfish and disappointing. I will never buy from them again," expressing her anger.

The problem is that there are likely many more places violating the law beyond the detected shopping malls. Online shopping malls can be easily created by anyone, which has been pointed out as an issue.

According to Seoul City last year, a survey of 4,000 electronic commerce users conducted in November-December 2018 found that 3 out of 10 SNS shopping users experienced damages such as refund refusals or loss of contact. Among them, 90.3% of respondents were SNS users, and 55.7% said they had shopped through SNS.

As SNS-based shopping steadily increases, related damage cases are also rapidly rising. In the same year, the Seoul Electronic Commerce Center received 144 Instagram-related shopping damage reports, with damages amounting to 27 million won.

The most common damage type was refusal of refunds or exchanges, accounting for 113 cases (78.5%), followed by 13 cases (9.0%) of loss of contact or account closure after payment or delivery. Consumers are suffering from deceptive practices by sellers.

Experts suggest that active measures are needed to ensure consumers can recognize problems with detected companies. Professor Lee Eunhee of Inha University’s Department of Consumer Studies explained, "Punished shopping malls should post the details of their sanctions so consumers can be informed. Also, although exchange and refund policies exist, cases of abuse are increasing, and these issues should be addressed through educational programs."

She added, "Specifically, small businesses should be helped to establish necessary operational systems for customer management, returns, and exchanges. Regulation alone is not enough; support policies are needed. Ultimately, this can reduce consumer damage," she concluded.

This content was produced with the assistance of AI translation services.