Fake online reviews negatively impact companies, consumers

A lot of us rely on product reviews when deciding whether to buy something, but not all of those reviews can be trusted. Consumer advocacy groups estimate as many as 40% of online reviews are fabricated.

Good Morning Cleveland anchor Mike Brookbank spoke with Karla Jo Helms of JOTO PR Disruptors about the ramifications fake online reviews have on both companies and consumers.

"If a consumer finds out a review is fake, 54% of them will never go back to that company," said Helms. "It has an economic impact on the person. It could like involve their safety."

The Federal Trade Commission proposed regulations last year to ban fake reviews with penalties of up to $50,000 per violation, as well as compensating consumers for any losses.

Fake online reviews are posted by companies as well as consumers. Fabricated reviews typically have identical phrasing as other reviews. If you're looking at ratings on Amazon, check for verified purchase badges. If you suspect an online review isn't genuine, report it to the company and the FTC.