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$vuetify.icons.faPhone1300 650 620

Managing online reviews as a business

Social media and online review platforms like Facebook, X (formerly Twitter) and Google are powerful tools for businesses to connect with customers, build brand awareness and promote services. While these platforms offer valuable opportunities, they also present risks, particularly when it comes to public feedback.

Customers now regularly share both good and bad experiences online. Unfortunately, businesses can’t control what is posted. Negative reviews, especially fake ones, can damage your reputation.

This guide outlines practical dos and don’ts to help you navigate online reviews effectively and make the most of social media.

How to spot fake reviews

Fake reviews often follow certain patterns. Common signs include:

  • Similar reviewer names
  • Repetitive or identical language across different reviews
  • Very short and vague comments that lack specific details
  • Sudden spikes in extremely positive or negative reviews within a short timeframe
  • Overly detailed reviews referencing unverifiable names, companies, or events.

What should I do if a fake review is published about my business?

If you suspect a review isn’t genuine, here’s how to respond:

Do:

  • Review the platform policy on content moderation and publishing. Understand when you have a right to request the removal of consumer reviews of your goods or services.
  • Notify the platform immediately. You should identify the affected reviews and, if possible, provide supporting evidence that they are fake. Online review sites are generally responsive to legitimate concerns and will act swiftly if evidence suggests a review does not reflect a genuinely held opinion.
  • Post a public response to negative reviews. Use the platform’s response feature to address the review professionally. A sincere reply with supporting evidence can help correct the public record and demonstrate your integrity to other customers.
  • Escalate if necessary. In extreme cases, businesses which are the victims of ongoing harassment or serious threats through fake negative reviews may also consider contacting the police.

Don’t:

  • Write false or misleading reviews about your own business to counteract existing fake ones.
  • Threaten or harass the reviewer.

A business writing reviews about itself pretending to be a consumer is misleading the public. As is writing negative reviews about a competitor when you have not experienced their product or service. Similarly, engaging individuals or public relations firms to post reviews while pretending to be genuine consumers is misleading.

Can I report a fake review to a government authority?

The Australian Competition and Consumer Commission (ACCC) is an independent statutory authority responsible for administering the Australian Consumer Law (ACL). It can take enforcement actions, such as administrative resolution, infringement notices and/or litigation on substantial misleading advertising.

Businesses affected by fake negative reviews may lodge a complaint to the ACCC. While the ACCC typically does not intervene in isolated disputes, it may take action if the conduct:

  • Causes substantial detriment to consumers or small businesses
  • Has broader implications for competition or public interest
  • Has a significant impact on the cost of living
  • Is carried out by large traders that may cause greater consumer detriment and influence other market participants.

Can I offer incentives for reviews?

Yes, but only if you do it the right way.  

Do:

  • Offer incentives equally to all consumers, regardless of review sentiment.
  • Inform reviewers that the incentive applies to both positive and negative feedback.
  • Clearly disclose the incentive to users reading the reviews.
  • Notify the review platform so it can disclose the incentive appropriately. 

Don’t: 

  • Offer incentives only for five-star reviews.
  • Learn more strategies to deal with both positive and negative online reviews.

Can I ban customers from leaving negative reviews in contracts?

No. Some businesses try to include “non-disparagement” clauses in contracts to stop customers from posting negative reviews. These clauses are not enforceable under the ACL. Unfair Contract Terms: How they impact your business may provide more guidance on this topic.

What about our business’ Facebook and X accounts?

Any content including comments made by a business owner on their social media page regarding competitors can also be subject to the ACL and ACCC intervention.

For example, if you post that your business is the first in the industry to deliver a 100% environmentally friendly service without having conducted research to support this claim, and it comes to light that your competitor has in fact been offering this service for many years, you may have engaged in misleading and deceptive conduct.

Similarly, if a ‘fan’ of your Facebook page posts untrue comments about a competitor on your page and you know these comments are untrue but do not delete them, you may be held accountable under the ACL for the fan’s comments. More serious cases could also lead to defamation suits.

To avoid the risk of an alleged breach of the ACL through the use of social media and online reviews, businesses should consider the above dos and don’ts in addition to monitoring their social media pages regularly.

To find out more, contact HIA's Contracts and Compliance team

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