As of May 28, online retailers operating their own store must provide information on whether they validate customer reviews and, if so, how that check is conducted. This new regulation is part of a comprehensive European directive, which aims to modernize consumer law and provide more protection in online trading.
We at OHN have been reporting extensively on Omnibus guidance in recent weeks. The new regulation for validating reviews occupied a particularly large number of readers and we received many questions: What to check? What if I’m selling in a marketplace or posting reviews on search engines? Where should the necessary information be displayed? Here we give answers.
Only merchants who have their own store and platform operators are affected
First of all, it is important that only retailers who give access to consumer ratings in their store are affected. When a merchant receives reviews on a marketplace like Amazon or Etsy, or on a search engine like Google, they don’t have to check those reviews themselves. On such platforms, the respective platform operators are required to validate and report the ratings to them. However, it makes sense for merchants on the platforms to reach out to the operators and ask if there are also obligations for merchants to cooperate in the future.
These obligations apply when ratings are available
Anyone who makes reviews accessible on their online store must inform customers as of May 28 whether the reviews posted have been checked for authenticity. It is all about authenticity, that is, whether the reviews come from real consumers who have actually purchased a good or service.
If the retailer verifies authenticity, they must also provide information on how the check was carried out. This could mean, for example, indicating that only customers receive a link where ratings can be submitted, or that each rating is individually moderated and checked prior to publication and only released thereafter.
If there is no authenticity check, the retailer must also provide information on this. Then, of course, he is not allowed to advertise that all reviews come only from real customers.
The notice should be found here
Information about whether the assessment has been conducted and the processes associated with it must be transparent, clearly visible and present in the immediate vicinity of the assessment function. We cannot say in general terms what this means in concrete terms, because it also depends on individual store designs and solutions can vary in individual cases. However, it is also an option to add a note to validate each individual review.
Fake reviews will be punished
Unfortunately, some e-commerce companies still use fake reviews in their stores. Some new regulations will take effect here from May 28. Anyone who then uses, requests or offers fake reviews in their store can be financially punished. There will also be misrepresentation of reviews, which are subject to penalties, if the retailer posts only positive reviews but negative reviews are excluded.
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