The Competition and Consumer Commission of Singapore (CCCS) has concluded an investigation into Loft Home Furnishing, revealing the publication of fake 5-star customer reviews on its website.
The probe, which began in October 2023, revealed that the furniture retailer posted fake reviews on its website from November 2022 until August 2023.
The competition regulator launched the investigation under the Consumer Protection (Fair Trading) Act 2003 after customers reported reviews with their initials posted without their consent.
These reviews praised the quality of furniture and included photos of the customers' homes.
The investigation identified at least seven customers whose names were used in fake reviews.
The CCCS determined that Loft Home Furnishing, along with related companies Loft Home Furniture and Loft Industries, were behind the fabricated endorsements.
They were found to have exclusive access to the customer information and photos used in the reviews.
In response, the Loft Home entities have committed to cease the posting of fake reviews and establish a customer feedback channel to report any such reviews on their website.
The retailer has also agreed to remove any reviews confirmed as fake by either the CCCS or by its own verification process.
They will inform past and future customers, inviting them to report any falsified reviews related to their purchases.
The CCCS will take action if the Loft Home entities or their business owners fail to adhere to their undertakings or if they engage in any unfair trade practices.
CCCS chief executive Alvin Koh said: “Today, online reviews play an important role in helping consumers make purchasing decisions. These reviews can shape customers’ perception of a brand and its products, and when businesses fabricate reviews to make themselves look good, consumers may be misled into making purchases.
“CCCS will make this an area of enforcement priority in the coming months and will continue to take action against businesses who engage in such unscrupulous acts.”
