Amazon is one of the world's most valuable companies, valued at nearly $800 billion, and the e-commerce giant pulled in $232.9 billion in global revenue in 2018. And yet, Amazon's federal tax bill this year: $0. For the second year in a row.
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The fake Amazon review economy is a thriving market, ripe with underground forums, "How To Game The Rankings!" tutorials, and websites with names like (now-defunct) "amazonverifiedreviews.com." But the favored hunting grounds for sellers on the prowl is Amazon's fellow tech behemoth, Facebook. In a recent two-week period, I identified more than 150 private Facebook groups where sellers openly exchange free products (and, in many cases, commissions) for 5-star reviews, sans disclosures. A sampling of 20 groups I analyzed collectively have more than 200,000 members. These groups seem to be in the midst of an online Gold Rush: Most are less than a year old, and in the past 30 days have attracted more than 50,000 new users... One stay-at-home mom from Kentucky told me she makes $200-300 per month leaving positive reviews for things like sleep masks, light bulbs, and AV cables... Fake reviews have been an issue for Amazon since its inception, but the problem appears to have intensified in 2015, when Amazon.com began to court Chinese sellers. The decision has led to a flood of new products -- a 33% increase, by some accounts -- sold by hundreds of thousands of new sellers. Rooted in manufacturing hubs like Guangzhou and Shenzhen, they use Amazon's fulfillment program, FBA, to send large shipments of electronic goods directly to Amazon warehouses in the US. This rapid influx has spawned thousands of indistinguishable goods (chargers, cables, batteries, etc.). And it has prompted sellers to game the system. "It's a lot harder to sell on Amazon than it was 2 or 3 years ago," says Fahim Naim, an ex-Amazon manager who now runs an e-commerce consulting firm. "So a lot of sellers are trying to find shortcuts." Steve Lee, a Los Angeles-based vendor, is among them: "You have to play the game to sell now," he says. "And that game is cheating and breaking the law...."
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While there are currently seven retail sportsbooks available to the public in Washington, all of them are located in tribal casinos. In the meantime, residents can still enjoy plenty of other forms of gambling, such as casino games and horse racing.
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