TL;DR: Fake online shops copy real brands’ URLs and designs, use fake reviews and celebrity endorsements, and take your money and card details for goods that never arrive. Scamwatch said about half the malicious sites the National Anti-Scam Centre took down in one three-month period were shopping scams. Red flags: prices way too low, only glowing reviews, no ABN, T&Cs or privacy policy, and odd payment requests like multiple PayIDs or gift cards. In the first nine months of 2025, shopping scams were the most-reported scam involving money lost, with $8.6 million in losses.

How fake shops work

From Scamwatch’s December 2024 warning:

The National Anti-Scam Centre removed or restricted thousands of scam sites; about half of those taken down in the prior three months were shopping scams.

How big the problem is

The ACCC’s November 2025 update on Scamwatch data for January to September 2025:

Figure2025 (Jan–Sep)
Shopping scam reports19,662
Reports with money lost9,628
Shopping scam losses$8.6 million (up 19%)
Losses where first contact was online (sites, ads, social, apps)$122 million, 47% of all losses

Shopping scams lose less per victim than investment scams, but they hit far more people. Almost half of shopping reports involved real money gone.

The ACCC also flagged a twist: hacked Facebook and Instagram accounts posting "fire sales" or cheap tickets. The ad looks like it’s from a friend, so you trust it. If a friend’s account suddenly sells a fridge for $50, message or call them another way before paying.

Red flags

FlagWhy it matters
Prices much lower than elsewhereThe oldest trick in retail crime
Reviews all positive, no detailReal customers complain about something
No ABN, T&Cs or privacy policyLegit Aussie businesses show these
Odd payment methods: money orders, gift cards, multiple PayIDs or bank accountsNo buyer protection; the "changing PayID" is a big tell
New social media store with huge discountsPopped up last week, gone next week

A 90% off designer handbag isn’t a sale. It’s a sign.

Quick checks before you pay

  1. Search the company name plus "scam" or "reviews" on independent sites.
  2. Compare prices with other stores.
  3. Don’t trust the top search result blindly; ads can be fake. Go to the brand’s site directly.
  4. Look for contact details, dispute resolution, T&Cs and a privacy policy.
  5. Pay with a credit card or PayPal, which give you dispute options. Avoid direct bank transfer to a shop you’ve never used.
  6. Keep your device and apps updated.
  7. Check when the site was created: a free WHOIS lookup shows the domain age. A "20-year-old family business" on a domain registered last month isn’t one.

If you’ve paid

  1. Call your bank and ask about a chargeback.
  2. Report the site to Scamwatch.
  3. If you shared personal info, contact IDCARE on 1800 595 160.
  4. Watch for follow-up "refund" scams.

Related

Selling online? See the PayID marketplace scam. Shopping season tips: holiday shopping scams. A free exposure check shows if your email is in breach data.

Frequently Asked Questions

How do I know if an online shop in Australia is fake?

Watch for very low prices, only positive reviews, no ABN or policies, and requests to pay by gift card, money order or multiple PayIDs.

How common are fake online shops?

Shopping scams were the most-reported scam involving money lost in Australia in January to September 2025, with $8.6 million lost. About half the malicious sites the National Anti-Scam Centre took down in one quarter of 2024 were fake shops.

What payment method is safest online?

Scamwatch suggests secure options like PayPal or a credit card.

What should I do if I bought from a fake shop?

Contact your bank, report the site to Scamwatch and contact IDCARE if you shared personal details.

Sources

Related Reading