Online shopping has revolutionised the way we buy everything—from clothes to electronics and even everyday essentials. With just a few clicks, shoppers can browse endless options, compare prices, and have products delivered straight to their doorstep. No long checkout lines, no crowded stores—just pure convenience.
But, at times, behind the ease of online shopping lies a world of misleading deals and questionable business practices. From inflated prices on items to counterfeit goods and deceptive marketing tactics, what seems like a great bargain can quickly turn into an expensive mistake. Take the experience of shoppers who were ripped off after being tricked into a dropshipping scam.
One shopper, Debra, said she was enticed by the sophisticated marketing of Everly Melbourne, an online store that advertised high-quality dresses on social media. However, after spending over $156 on two dresses, she was dismayed to discover that the garments she received were of such poor quality that she valued them at no more than $10 each.
‘I felt really ripped off,’ she said. ‘I thought I was buying from a Melbourne company, but they were just being dropshipped from China.’
Dropshipping, for those unfamiliar, is a retail fulfilment method where a store doesn’t keep the products it sells in stock. Instead, when a store sells a product, it purchases the item from a third party and has it shipped directly to the customer. The seller never sees or handles the product, acting as a ‘middle person’ between the supplier and the consumer.
While dropshipping is a legitimate business model, it becomes problematic when companies mislead customers about the quality of their products, their location, or the consumer’s right to a refund.
This is what happened to Debra, who believed she was covered by a ‘money-back guarantee’ only to find out that the dresses were ‘not eligible for a full refund.’ To add insult to injury, a reverse image scan reportedly revealed that her $70 and $60 garments were available for just $16 and $14, respectively, on international websites like Ali Express and Temu.
‘I’m really angry now because I think there [are] so many people this has happened to and this is a massive scam,’ she said.
Debra’s experience is not an isolated case. Another shopper, Tanya, paid $50 for a dress from Aussie Luxe, which claimed to be based in Melbourne. When the dress arrived, she deemed it ‘worth more than $5’ for its ‘really poor quality [and] bad stitching.’
This is a stark contrast to the $7 price tag on Ali Express for a similar item.
The Australian Competition and Consumer Commission (ACCC) has acknowledged that some retailers are breaching consumer law by ‘misleading consumers’ about the quality of products, the location from which they are buying, and their refund rights.
ACCC deputy chair Catriona Lowe has stated that investigations are ongoing, although specific companies under scrutiny have not been disclosed.
To avoid falling victim to such scams, we encourage you to do your due diligence before making online purchases. Here are some tips to help you shop smarter and avoid being scammed:
1. Research the retailer: Look for reviews and feedback from other customers. A lack of information or predominantly negative reviews can be a red flag.
2. Reverse image search: Use Google’s reverse image search to check if the product images are available from other sellers at a significantly lower price.
3. Check the location: Verify the physical address of the company to ensure they are genuinely based where they claim to be.
4. Understand your rights: Familiarise yourself with the Australian Consumer Law, which protects your right to a refund for products that are faulty, not as described, or don’t perform as advertised.
5. Pay with protection: Use payment methods that offer buyer protection, such as credit cards, which can help you dispute charges and recover your money if you’re scammed.
By staying vigilant and informed, you can protect yourself from online shopping scams and ensure that your hard-earned money is spent on products that meet your expectations.
Have you ever experienced a similar situation? Share your stories and tips with the YourLifeChoices community in the comments below to help others navigate the sometimes treacherous waters of online shopping.
Also read: Australia Post scam: How fraudulent QR codes are tricking sellers
Despite swearing to never use a retailer such as Temu (to be accurate, I swore that I would never use Temu), it is now my go-to when I am researching products to purchase online. The number of times I have found exactly what I wanted at a fraction of the price is astounding, but makes sense given that at least 80% of the – frankly crap – purchased is produced in China. Besides which, such purchasing is an endless sinkhole as one has to meet a certain threshhold to successfully complete the purchase, and it’s SO easy to keep adding things to one’s cart until what one is spending far exceeds any cost-savings. In any event, I’ve sworn off buying “stuff” online – particularly from Temu – due to cost of living pressures, of course, but mainly because I am very concerned at the amount of plastic that such purchases involves.
What I am actually saying is do your research and spend wisely.