Kiwis are falling victim to online shopping scams utilising fake websites that claim to be New Zealand-based retailers.
Kiwis are falling victim to online shopping scams utilising fake websites that claim to be New Zealand-based retailers.
Unsuspecting Kiwis are being caught up in a global scam of fake online clothing retailers, costing consumers hundreds of dollars.
The clothing sites, often run through the e-commerce platform Shopify, are convincing to the naked eye, but the stores utilise fake imagery, locations, and history.
The Herald has received numerousreports of fake websites appearing on Kiwis’ social media feeds through targeted advertising.
It claims on its website to have 15 years of experience in fashion and to be located in Queen St in Auckland. But there is no company of that name registered in New Zealand. The business’s reviews are also completely fabricated.
Elyse says on a website, that it has received 342 reviews on Trustpilot, which it described as a majority positive, but Trustpilot actually only has 23 reviews of Elyse, most of which warn of the scam users have fallen to.
Elyse Auckland features fake reviews on its website claiming to have an excellent rating from review site Trustpilot, but it couldn't be further from the truth.
Photo / Elyse Auckland
Some reviews by Kiwi consumers say they spent $50 to $100 on clothing, only to find the quality and material are less than sub-par.
One reviewer described what they received as “worse than a cheap plastic tent”, with another saying that their bank had saved them from getting caught by blocking the transaction.
Many also pointed out the business’ return policy, which according to the website says that all returns will be shipped to its central warehouse in Asia at the customer’s expense, with one reviewer revealing they had spent $83 trying to return a purchase.
Another unfortunate sign is found by reverse image-searching products found on the site. The search findings lead you to similar fake pages worldwide, but also other legitimate retailers where the images have been stolen from.
In a somewhat amusing error, the site’s About Us section features a photo of Auckland’s skyline to push its narrative. Except it isn’t Auckland, it’s actually a photo of Toronto.
Elyse Auckland’s Facebook pages, were only created recently in June, July, and August of this year. It also says the business is based in Belgium.
Other similar businesses the Herald has found are also based overseas, with Vietnam, the Philippines, and interestingly the Netherlands being frequent locations.
The website claims to have been based in Auckland for 15 years, however its about us section mistakenly uses a photo of Toronto. Photo / Elyse Auckland
The Facebook page also features poor reviews calling out the website as a scam, sharing their experiences with others hoping to warn them off.
Many again mention the poor quality of the products, sharing how they have spent almost $200 on clothing only to be bitterly disappointed.
One Facebook member who tried to get a refund was told by the business they could receive a 15% refund, and when pressed again for a full refund by the customer, offered a 60% discount on their next purchase, before once again being told they would have to pay to ship the product back to Asia.
The Elyse Auckland e-store did not respond to requests for comment. Shopify has also been contacted for comment.
A Cert NZ spokesperson confirmed that its tech team believes the site is shady, and because the site runs on Shopify, they are looking into reporting it directly to the provider.
They also confirmed they would send a request to the hosting service to take down the website.
The spokesperson reiterated the recent trend of fake retail sites, reminding users to be aware of any sites that have a New Zealand location in their web address (Auckland in this example).
Other stores found by the Herald that match the trend include Maui Auckland, Jade Wellington, Movenza Auckland, and Indigo Auckland. Each of these sites presents similar red flags for consumers.
The Commerce Commission said that it was aware of consumers’ concerns about misleading retail clothing sites, and reiterated that it works with other agencies including Netsafe, the Serious Fraud Office, and the Financial Markets Authority to help consumers spot and avoid scams.
Scamspotting
Netsafe encouraged people who doubted an e-shop’s authenticity to check if the company was a registered New Zealand business.
“Cybercriminals have set up fake online stores, selling everything from clothing to electronics and even pets,” the Norton antivirus company wrote in a blog post.
“In many cases, after a customer has paid, they either receive nothing at all or get something that’s completely different from what they ordered.
“Even worse, they might end up with a fake version of the product they thought they were purchasing.”
Norton said tests late last year found more than 1000 new fake e-shops emerging every day.
According to Norton, fake e-shops may feature:
Unrealistic discounts;
Contrived reviews and endorsements;
Fake company information and limited or unbelievable “about us” or “contact us” sections;
Unusual payment methods including wire transfers, bitcoin, or gift cards;
Claims to never run out of stock and have a vast variety of products for sale.
Tom Raynel is a multimedia business journalist for the Herald, covering small business and retail.
