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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.
Fake reviews often follow certain patterns. Common signs include:
If you suspect a review isn’t genuine, here’s how to respond:
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.
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:
Yes, but only if you do it the right way.
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.
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.
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