GMA: Social Media Advertising Scams Consumers Encounter

Last October, many consumers reported a significant increase in social media advertising scams. The FTC's Consumer Protection Data Spotlight shows that in the first six months of 2020 alone, consumers lost more than $117 million to such scams, and for all of 2019, consumers lost $134 million.

Additionally, Better Business Bureau spokesperson Katherine Hutt warns, “Consumers may see ads for some products in online boutiques’ social media. Maybe the products look great in the ads, But it might be terrible when you get the physical thing.”

Kyla Nardini saw an ad from Funnydressing on Facebook and spent more than $120 to order a set of blankets and four pillowcases for herself and a friend. . But when I got the product, the results were less than satisfactory.

"The pictures on the website did not match what I received at all," Nardini said. "All I received was a blanket and a small decorative pillowcase that didn't fit my pillow at all."

The Better Business Bureau launched an investigation into Funnydressing in February after consumers claimed they didn't receive the products they ordered, were disappointed with the items they received, and didn't receive refunds.

After investigation, security expert Payton discovered that Funnydressing was not registered until October 2020. However, the site describes itself as a family-owned company based in Paris that has been around for ten years.

Additionally, to see if products advertised on social media fit the bill, ABC News' Becky Worley tested several products advertised on social media.

Wally purchased clothing from several online boutiques, including tops from a website called ZOLUCKY, which claims to offer "high-quality and exclusive fashion products from independent designers."

According to Worley: "It looked like a nice Italian weave from a designer in the ad, but when I got it, it was polyester with white stitching."

There are many well-known brands and reputable small businesses selling quality goods on social media, but experts say there is also false advertising and poor customer service in social platforms.

Sellers should also take warning and not give up long-term interests just because of temporary profits. If you want to develop on social media for a long time, operating in compliance is the way to go.