SINGAPORE: Furniture retailer Loft Home Furnishing has been given a warning after being caught publishing fake five-star product reviews on its website following an investigation by the Competition and Consumer Commission of Singapore (CCCS).
The fake reviews were posted between November 2022 and August 2023, said CCCS in a media release on Friday (Jun 21).
Investigations began last October after some customers complained that reviews containing their initials were posted on the website without their knowledge.
"The reviews gave glowing recommendations on the quality of the purchased furniture, and contained actual photos of the furniture displayed in the customers’ homes," said the consumer watchdog.
It identified fake five-star reviews that appeared to be made by at least seven customers.
CCCS concluded that Loft Home Furnishing and two of its related businesses, Loft Home Furniture and Loft Industries, were responsible for posting those reviews.
"Investigations revealed that only they had access to the customers’ information and were in possession of the photos used in the reviews," said CCCS.
It added that Loft Home Furnishing has since removed the fake reviews identified during investigations.
A check by CNA on Friday afternoon shows that the company's website still has over 13,000 product reviews by customers, the majority of whom gave a five-star rating.
Over 13,000 five-star reviews are still on Loft Home Furnishing's website as shown in this screengrab taken on Jun 21, 2024. (Image: Lofthome.com)
Over 13,000 five-star reviews are still on Loft Home Furnishing's website as shown in this screengrab taken on Jun 21, 2024. (Image: Lofthome.com)
The posting of a fake review by a business in relation to a consumer transaction is an unfair trade practice as consumers might be deceived or misled into thinking that the review was genuine, said CCCS.
"Loft Home Furnishing has also admitted to have engaged in such an unfair trade practice."
Consequently, the company has given an undertaking to CCCS that it will stop posting fake reviews, remove reviews which have been verified to be fake and invite previous and future customers to leave a review.
The company and the two related businesses will also set up a feedback channel for customers to report any fake reviews on the website, or any website owned by the company.
"Sui Luyang and Wang Lei, who own the Loft Home Entities, have similarly given undertakings to CCCS that they will not engage in any unfair trade practice under the Consumer Protection (Fair Trading) Act 2003," said the agency.
CCCS has accepted the undertakings and issued warnings to the company and its business owners over the incident.
It added that CCCS will take action if Loft Home Entities or its business owners breach the undertakings or engage in any unfair trade practice.
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The fake reviews were posted between November 2022 and August 2023, said CCCS in a media release on Friday (Jun 21).
Investigations began last October after some customers complained that reviews containing their initials were posted on the website without their knowledge.
"The reviews gave glowing recommendations on the quality of the purchased furniture, and contained actual photos of the furniture displayed in the customers’ homes," said the consumer watchdog.
It identified fake five-star reviews that appeared to be made by at least seven customers.
CCCS concluded that Loft Home Furnishing and two of its related businesses, Loft Home Furniture and Loft Industries, were responsible for posting those reviews.
"Investigations revealed that only they had access to the customers’ information and were in possession of the photos used in the reviews," said CCCS.
It added that Loft Home Furnishing has since removed the fake reviews identified during investigations.
A check by CNA on Friday afternoon shows that the company's website still has over 13,000 product reviews by customers, the majority of whom gave a five-star rating.
Over 13,000 five-star reviews are still on Loft Home Furnishing's website as shown in this screengrab taken on Jun 21, 2024. (Image: Lofthome.com)
Over 13,000 five-star reviews are still on Loft Home Furnishing's website as shown in this screengrab taken on Jun 21, 2024. (Image: Lofthome.com)
The posting of a fake review by a business in relation to a consumer transaction is an unfair trade practice as consumers might be deceived or misled into thinking that the review was genuine, said CCCS.
"Loft Home Furnishing has also admitted to have engaged in such an unfair trade practice."
Consequently, the company has given an undertaking to CCCS that it will stop posting fake reviews, remove reviews which have been verified to be fake and invite previous and future customers to leave a review.
The company and the two related businesses will also set up a feedback channel for customers to report any fake reviews on the website, or any website owned by the company.
"Sui Luyang and Wang Lei, who own the Loft Home Entities, have similarly given undertakings to CCCS that they will not engage in any unfair trade practice under the Consumer Protection (Fair Trading) Act 2003," said the agency.
CCCS has accepted the undertakings and issued warnings to the company and its business owners over the incident.
It added that CCCS will take action if Loft Home Entities or its business owners breach the undertakings or engage in any unfair trade practice.
Continue reading...