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Business Insights

Aug 08, 2022

The Cost of Fake Feedback: Consumer Research

Discover the impact of fake reviews on UK consumers and businesses. Learn how Feefo tackles fraudulent feedback and offers solutions for small businesses.

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Did you know only 8% of people are confident they could spot a false review and 40% of businesses have been negatively affected by fake reviews?

We wanted to explore how the UK is being affected by the growing problem of fake reviews. So we spoke to over 2,000 UK consumers and 500 small-business owners to find out. We discovered an urgent need for more protection from fakes.

In our latest report, we help you understand what a fake review is, how to prevent them and how to navigate the complex legal landscape when it comes to fraudulent feedback. The cost of fake feedback is available to download for FREE using the form below. The report can help you:

  • Discover the impact fake reviews can have on your business and consumers
  • Learn how to tackle fraudulent feedback with a verified approach
  • Understand the legal landscape in the UK and EU, and how to stay onside of new regulations

 

New UK Legislation: A Turning Point

Since our report, the UK government has introduced robust new rules under the Digital Markets, Competition and Consumers Act 2024 (DMCC Act), which took effect in April 2025. Under this law, it is now illegal to write or pay for fake reviews, offer incentives for positive feedback without disclosure, or publish reviews that haven’t been properly checked for authenticity.

Key requirements for businesses include:

  • Proactively preventing and removing fake or misleading reviews
  • Disclosing any incentives given for reviews
  • Not suppressing genuine negative reviews or selectively promoting positive ones
  • Having clear, transparent policies on collecting and publishing reviews
  • Regularly assessing risks and monitoring for suspicious activity

The Competition and Markets Authority (CMA) now has the power to enforce these rules directly, with penalties of up to 10% of global turnover or £300,000—whichever is higher—for non-compliance. Directors and managers can also be held personally liable if they knowingly allow breaches to occur.

 

The Case for Verified Reviews

In this new regulatory environment, the importance of verified reviews has never been greater. Our research found that two-thirds of consumers say knowing reviews have been verified would influence their buying decisions, yet three-quarters are unsure what a verified reviews platform is. Verified, invite-only platforms like Feefo ensure that only genuine customers can leave feedback, providing both businesses and consumers with greater trust and transparency.

 

What Should Businesses and Consumers Do?

  • Businesses should immediately review their review collection and moderation processes, ensuring compliance with the DMCC Act and focusing on transparency and authenticity.
  • Consumers should look for platforms that use verified reviews and be wary of overly positive or negative feedback that may not reflect genuine experiences.

By embracing verified reviews and adhering to new legal standards, businesses can protect their reputation and increase consumer trust.

Don't let fake reviews damage your reputation.             
Download The Cost of Fake Feedback report now.

 

 

 

Founded in 2010, Feefo is a ratings and reviews platform that collects reliable and constructive reviews for thousands of clients worldwide. We only send invitations to verified customers to ask them to leave a review, so consumers can learn how people like them feel about different products and services. And companies can truly discover what they’re doing right, and where they can improve. This allows Feefo’s clients to create transparent, trusted relationships and deliver exceptional services that their customers can depend on - every time.

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