When Lilian, a young female medical student, found an Instagram page that sold shoes, she was elated. She began scrolling the page and stumbled on a pair that would match one of her outfits in her closet.
She contacted the seller and paid for the shoes to be delivered using mobile money. Unfortunately, Daisy would never see those shoes in person.
“I paid for the shoes plus the shipping fee and they never got delivered,” she said, exasperated.
“Subsequently they blocked my account on Instagram and I was unable to contact the seller to get a refund. I would really love for whoever is behind that account to be caught and brought to justice,” she added.
Unfortunately, Lilian’s experience is not unique.
From personal observations and conversations with users, there appears to be an increasing number of shoppers falling victim to shopping scams on Instagram (or “IG” as it is more commonly referred to.
Fraudsters pose as legitimate businesses on the platform, collecting payments from unsuspecting customers and disappearing after a transaction is completed.
Some accounts are also involved in deceptive business practices where products advertised do not match real-world products.
From fake sneaker shops to fake wig stores, these online scammers are capitalizing on Instagram’s lack of direct buyer protection as well as the naivety of online users.
A Growing Problem
According to DataReportal, a website that creates reports on social media activity in various countries, an estimated 2.2 million Ghanaian users were registered on the Instagram platform in 2024.
The platform has evolved from a social media platform to a marketplace for small businesses and entrepreneurs. Many use the app to promote their products, leveraging its reach and visual appeal.
While legitimate businesses on Instagram offer customers value for goods and services, some unscrupulous individuals use the platform to exploit unsuspecting buyers.
These individuals tend to use the same pattern to scam their victims:
- They create a page with high-quality images of products for sale. Some products have their prices listed while other accounts state that shoppers must directly message them to inquire about the full cost of a product.
- They usually insist on upfront mobile money payments. Once payment is made, the buyer either receives nothing or, in some cases, a cheap knockoff of the advertised product is delivered to their location.
An interview with an Instagram user revealed how a friend never had an item delivered after she made an online purchase.
“They had my friend send payment and delivery fee for an item she expressed interest in. But it never got delivered. They proceeded to block their personal and business accounts. They haven’t made a refund,” they said.
Another user explained how an item that was purchased and delivered was not what was advertised:
“What they posted on their page was not what was received. The sizes were either too big or too small. It also looked like second-hand clothing that was worn out,” they said.
Another user narrated how a scammer had deceived not only her but several other victims with the same account:
“I got deceived by this account on IG[Instagram], Xclusive Hair Deals. Only to reach out on Twitter and find out they have done this to 9 other girls!”, she exclaimed.
Why Do Cases of Fraud on Instagram Keep Happening?
In 2023, the Ghana Cybersecurity Authority reported that victims had lost at least GHC 3.5 million through online shopping and romance scams. An estimated GHC 2 million was reportedly lost through online fraud between January and March 2024.
So why do these cases keep happening?
Maureen Atebawone, a Customer Experience expert stated that consumers prefer to use Instagram to shop online because of the convenience it offers.
“I can confidently say that most shoppers turn to Instagram for its sheer convenience. The platform offers easy access to multiple options, making shopping just a few taps away,” she said.
Ms. Atebawone stated that Instagram’s visual appeal, combined with its algorithm, plays a huge role in using the platform to make purchases.
“Once you show interest in a product or search for an item, you’re bombarded with targeted ads, making it incredibly tempting to buy.”
Instagram does offer consumers protection in case of fraud but the feature is limited and is not offered in countries like Ghana.
The platform also has a strict policy against fraudulent sellers, allowing users to report accounts suspected of deceptive practices. However, these sellers can skirt these policies by creating new accounts with similar names.
Red Flags and How to Stay Safe
Although shopping on Instagram is convenient, Ms Atebawone stated it is still risky. She suggested ways that consumers can avoid scams when shopping online:
- Ask friends and your network if they have shopped with the brand before
- Check how often the business has changed its Instagram name
- Look through the comments to see real customer interactions
- Verify if the brand has a physical store or phone number – If a seller refuses to provide verifiable contact details, that’s a red flag.
- Inquire about return or exchange policies.
- Ask about pay-on-delivery options
The Way Forward
As social media shopping grows, experts like Ms Atebawone believe stronger measures are needed to protect consumers. She stated the need to establish and enforce consumer protection laws, especially for online users.
“E-commerce businesses, including Instagram vendors, should be verified, and there must be an efficient reporting system to suspend fraudulent accounts,” she said.
Until there are regulations to protect consumers, Ms. Atebawone has taken the initiative to launch a platform to report scammers on Instagram.
“Consumers can use platforms like ‘Legit or Scam Ghana,’ a recently launched Instagram account that allows individuals to report fraudulent businesses and access a directory of businesses to be cautious about,” she stated.
Until there are more safeguards in place, online shoppers need to be more self-aware when purchasing from Instagram shoppers. Although Parliament has had a draft of a Consumer Protection Bill since 2006, the bill has not been passed into law.
Advocacy groups and concerned consumers might need to apply pressure on the current government administration to pass the bill to help safeguard and protect shoppers from online fraudsters.
The author of this piece is Esther Agyapong. She is a journalist and a writer.
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