USA Has Lost A Great Amount to Frauds in Online Shopping in the Last 5 Years

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Online Shopping has become a norm in the last few years. People prefer digital mediums, rather than shopping physically. In the last 5 years, online frauds have been happening a lot. That’s the reason online shopping fraud is one of the common frauds happening in the US. The Federal Trade Commission (FTC) has shared the numbers of online shopping frauds reported since 2019. To know more about online shopping and negative review frauds, consumers should know what this fraud really is. Online shopping scams include unmentioned prices, not delivering products on time or not delivering at all, and fake reviews.

Even though this is considered deceiving the customers, it is known as fraud in digital commerce industry. Many sellers also distort their reviews so they can attract more customers.

Since 2019, 15% of fraudulent cases in the US are through shopping online. If we see this through stats, this means that every hour about 40 Americans fall victim to online shopping fraudulent in the last 5 years. A total of 1.7 million fraud cases have been reported since 2019 in America, i.e., according to Surfshark data.

In Q2 2020, frauds by online shopping were at the highest peak and there were many cases reported. It was right after the spread of covid pandemic when people were preferring to shop online. There was a major contrast between the reported cases of frauds in online shopping in Q1 2020 and Q2 2020. In early 2020, 63k cases of frauds were reported while in mid 2020, it increased to 132k.

If we talk about the loss American citizens endured due to these frauds, it sums up to $1.45 billion. To make the figures more clear, each online shopping fraud victim lost about $16. The cities in the USA which are the most affected in terms of online shopping fraud are Florida and New York. In the past 5 years, Florida has reported 95k frauds while New York has over 89k fraud complaints. The third city in the list is New Jersey with 40k online shopping fraud reports.

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