04 July 2025
With AI making it easier than ever to spin up convincing online storefronts, a new wave of scams is targeting consumers and damaging the reputation of legitimate brands. These scams come in the form of “ghost stores” — websites that look like official retail shops but are anything but.
They often offer luxury goods, cosmetics, electronics, or limited-edition items at prices that seem too good to be true. That’s because they usually are.
What Are Ghost Stores?
Ghost stores mimic real brand websites or trusted resellers. They often:
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Use AI-generated product images that look professional but are fake.
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Hide contact details or list bogus addresses — sometimes copying unrelated businesses.
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Use a different return address to the shipping origin.
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Launch recent social media pages that look polished, but have little history or engagement.
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Offer deep discounts to lure buyers into a false sense of urgency.
After payment, victims often receive nothing — or a counterfeit knockoff that doesn’t match what was shown online.
Who’s at Risk?
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Consumers, especially those shopping for high-end goods or trying to score deals via ads on Instagram, Facebook, or TikTok.
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Brand owners, who face reputational damage and legal headaches when angry consumers blame them for scam purchases made on fake sites.
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Resellers and marketplaces, who may unknowingly facilitate transactions involving fakes, exposing them to liability or customer backlash.
What Can You Do to Avoid a Scam?
For consumers:
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Verify the URL: Official sites usually end in .com or the brand’s country domain, not strange variants or newly registered domains.
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Check the contact info: No phone number or a Gmail address instead of a company domain is a red flag.
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Google the store’s name + “scam” to see if others have already reported it.
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Look at the return policy: Vague or overly generous terms can signal fraud.
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Be cautious with social media ads: Scammers often use targeted ads on Instagram or TikTok to appear legitimate.
For brand owners:
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Monitor domain registrations and marketplace listings for unauthorised use of your brand name.
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Use takedown procedures through hosting providers, domain registrars, and social media platforms.
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Educate your customers on how to find your official store and identify fakes.
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Register your trade marks in major markets and enforce your rights promptly.
Final Thoughts
Ghost stores are getting smarter — and faster — at exploiting online trust. Whether you’re a business or a shopper, a few extra minutes of verification can save a lot of pain. At IP Solved, we help brands protect their intellectual property and take fast action when scams hit.
If your business is being impersonated or you’ve spotted a fake version of your store online, get in touch. We’ll help you navigate the legal and technical steps to get it shut down.
