In a bid to combat the proliferation of fake consumer reviews plaguing ecommerce platforms, the Indian government is set to impose tighter regulations, according to a senior government official from the consumer affairs ministry recently.
The decision comes on the heels of the apparent failure of a voluntary system initiated a year ago aimed at curtailing the spread of fabricated feedback. Despite the previous attempt, complaints regarding subpar products and misleading reviews have continued to surge, signalling a dire need for more robust measures.
The existing voluntary guidelines had barred platforms from endorsing paid reviews and mandated the disclosure of promotional content. However, with a noticeable uptick in grievances, it became evident that many e-commerce entities were flouting these directives.
Following an extensive review of consumer complaints, the Department of Consumer Affairs (DoCA) has determined that mandatory regulations are imperative to safeguard consumers from falling victim to fraudulent practices, asserted an official.
Nidhi Khare, the consumer affairs secretary, emphasised the necessity for mandatory standards, highlighting the persistent issue of fake reviews despite claims of compliance by some ecommerce players.
An important meeting is scheduled for 15 May to finalise the guidelines, where representatives from major ecommerce firms are expected to participate actively. Khare underscored the government's commitment to ensuring consumer welfare through the enforcement of these standards.
The Bureau of Indian Standards (BIS), operating under the consumer affairs ministry, had previously introduced standards for online consumer reviews in November 2022. These standards explicitly prohibited paid reviews and those generated by individuals hired either directly by the supplier or by a third party.
The surge in ecommerce services has led consumers to increasingly rely on online reviews for their purchasing decisions, often without the opportunity for physical inspection. However, the proliferation of misleading reviews poses a significant risk, potentially leading to purchases based on erroneous information.
As the ecommerce landscape continues to evolve, the government's proactive measures underscore its commitment to fostering a transparent and trustworthy online marketplace for Indian consumers.