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Is This Online Business Legit? 3 Ways to Check

November 15, 2011
Is This Online Business Legit? 3 Ways to Check

Navigating the Landscape of Online Retailers

The dominant forces in the realm of online retail are widely recognized. Companies like Amazon, Overstock, and Newegg cater to a vast customer base and enjoy a reputation for reliability.

Their widespread use contributes to this perceived trustworthiness. However, despite their extensive product ranges and competitive pricing, these large-scale online stores aren't invariably the optimal solution for every purchase.

When to Look Beyond the Giants

For specific product categories, a more focused search may yield superior selection and more favorable prices from alternative sources.

This presents a new challenge, though. Determining the legitimacy of smaller, less familiar online businesses can be a concern for consumers.

The Challenge of Trusting Smaller Online Businesses

A key question arises when considering purchases from unfamiliar online vendors: how can one confidently assess their trustworthiness?

It’s important to remember that while established retailers offer convenience, specialized retailers often provide expertise and unique offerings.

  • Selection: Niche stores frequently stock items unavailable from larger platforms.
  • Pricing: Competitive pricing can often be found with specialized retailers.
  • Expertise: Smaller businesses often possess in-depth knowledge of their product areas.

Therefore, exploring options beyond the most well-known online retailers can be beneficial, provided a degree of caution is exercised.

Verifying Online Businesses with Google

Utilizing search engines is a highly effective method for protecting yourself from potentially fraudulent websites. Numerous platforms exist where individuals can share experiences of being defrauded or receiving substandard customer support.

A search on Google, combining the business's name with the term "scam," frequently reveals any existing complaints against it.

Understanding Search Results

It’s important to remember that an isolated negative review doesn't necessarily indicate a problematic business. However, illegitimate websites typically exhibit a pattern of multiple complaints originating from various sources.

Maintaining perspective is crucial when evaluating search results. A single instance of dissatisfaction shouldn't automatically disqualify a business.

Limitations of Google Searches

One drawback of this approach is the time factor. Newly established websites may not have accumulated sufficient complaints for them to appear in search results.

Therefore, relying solely on Google searches isn't always sufficient. It’s advisable to employ at least one additional method to assess the legitimacy of an online business.

Leveraging Retailer Search for Verification

In addition to investigating reports of fraudulent activity, utilizing search engines like Google can be a valuable method for uncovering general customer feedback via Google Shopping.

A significant number of retailers are indexed within this platform, allowing users to share their experiences. Furthermore, Google aggregates reviews originating from prominent review websites.

Navigating Google Shopping Reviews

Interestingly, Google doesn't prioritize the organization of these reviews. Consequently, locating them typically requires a direct search for the retailer’s name or a specific product they offer.

The merchant can then be identified on the resulting price comparison page.

Alternative Retailer Review Platforms

Should direct searching prove unsuccessful, or the merchant isn't listed, BizRate.com presents a viable alternative. This online shopping search engine facilitates browsing and searching for retailers, enabling you to discover what other customers have experienced.

For those still seeking further information, Reseller Ratings is a dedicated platform focused exclusively on evaluating online retailers, unlike Google Shopping or BizRate.

Exploring Established Consumer Resources

Established organizations, such as the Better Business Bureau (BBB), and various local and national consumer affairs websites can also be consulted.

While these resources may contain pertinent data, information regarding a retailer is often more readily accessible through BizRate or ResellerRatings.

These platforms generally provide a more streamlined and efficient method for assessing retailer reputation.

Evaluating Website Trustworthiness with Web of Trust

For users of all major browsers, the Web of Trust (WOT) extension represents a highly valuable tool. It functions by compiling data derived from user experiences, creating a comprehensive profile for each website.

This aggregated experience is then disseminated to all WOT users, effectively providing access to a collective understanding of online safety. Each user benefits from the insights of the entire WOT community.

How WOT Works

Upon installation, the extension displays a website’s rating directly within Google search results. Ratings are also visible when a site is accessed directly through the browser.

A dedicated “Vendor Reliability” section is a key feature, alongside privacy ratings. Negative experiences reported by other WOT users result in a lowered ranking, immediately visible to you.

Detailed Site Scorecards

Users can access detailed scorecards for individual websites. These scorecards provide specific information regarding a site’s overall ranking and any user-submitted reviews.

This information assists in assessing not only the reliability of a business but also its longevity. Newer websites typically have fewer WOT entries, a fact clearly indicated within the extension and on the site’s scorecard.

Evaluating Online Business Authenticity

Employing the strategies detailed previously should equip you to confidently ascertain the legitimacy of an online business. Caution should primarily be exercised with newly established websites, as limited user feedback will be available.

When encountering a recent site, carefully consider the potential savings it offers. Is a reduction of $5, $20, or even $100 truly worth the inherent risks associated with an unproven vendor?

Assessing Risk vs. Reward

A thorough evaluation of the potential benefits against the possibility of negative consequences is crucial. Prioritize security and reliability over minimal cost savings.

Consider the implications of a fraudulent transaction. The financial loss, coupled with the time and effort required to resolve the issue, may far outweigh any initial savings.

Due Diligence is Key

  • Research the company's history and background.
  • Verify contact information and ensure it is accurate.
  • Read reviews from multiple sources.
  • Check for security certifications like SSL.

Taking these steps will significantly reduce your exposure to potentially fraudulent online businesses. Remember, a small amount of preventative effort can save considerable trouble later.

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