Online Shopping

What Are Chinese Online Shops and How Can I Recognize Them?

Chinese online shops are online stores that sell goods from China. These products are usually very cheap because production in China is much less expensive and workers are sometimes paid very poorly. Many products are advertised as heavily discounted, or you are bombarded with discounts. The quality of the products is often poor.

To recognize such shops, you can first use the list provided by the Verbraucherzentrale (German Consumer Advice Centre). It contains an alphabetical list of many Chinese online shops that you should avoid ordering from. If the shop is not listed, you can look for an address in the website’s legal notice (“Impressum”). This is usually found at the very bottom of the website. Nowadays, some Chinese online shops also use Dutch addresses, so you need to be careful about this as well.

How Can I Recognize Fake Shops and Fake Reviews?

The easiest way to identify fake shops is by using the “Fakeshop-Finder” provided by the Verbraucherzentrale. First, enter the shop’s link, meaning its website address. The Fakeshop-Finder then checks the website for characteristics that indicate it may be a fake shop. The resulting assessment – green, yellow, or red – together with the additional information can give you a good idea of how trustworthy the shop is.

If customer reviews are important to you, review platforms such as Trustpilot or Trusted Shops can be useful. Customers can leave reviews about companies or online shops there. The reviews are checked to make sure they are genuine, and reviews identified as fake are removed. They can therefore give you a good impression of whether a shop is legitimate and what the quality of its products is like.

How Can I Shop Safely Online?

There are several things you can pay attention to when shopping online. The most important ones are:

  • Padlock symbol:
    You can see a padlock symbol in the browser’s address bar. If you click on it and it says “Connection is secure,” your data transmission is encrypted. This means that outside access is not possible. If you see an exclamation mark on the padlock, it means that the website is insecure and other people may be able to intercept and view your data. It is best not to enter any important information or to close the insecure connection.

  • Quality seals:
    There are several providers that check online shops and award them a seal indicating security. Not all of these seals are equally meaningful. Some of the best-known seals tested by Stiftung Warentest are the “Safer Shopping” seal from TÜV SÜD and the “Trusted Shops” seal. To check whether a seal is genuine, you can click on it. If you are redirected to the official website of the organization behind the seal, such as TÜV, the seal is genuine and trustworthy.

  • VPNs:
    A VPN, or Virtual Private Network, is basically a program that encrypts your data and allows you to browse the internet more securely. Providers such as NordVPN and CyberGhost also offer the option of automatically blocking harmful or dangerous websites, including fraudulent websites.

  • Established providers:
    If you are not sure where to shop, you can always choose established and well-known providers. They are generally reputable, and you can usually order from them without major concerns. Buying directly from the manufacturer, especially for technical products, is often the safest option. You will have the most information about the product, and in the event of a refund or return, you know exactly who is responsible.

  • Research:
    If you are unsure, you can research the online shop before buying. In many cases, there are reviews on dedicated websites such as Trustpilot or discussions on internet forums such as Reddit, which can help you form an impression of the shop.

What Quality Seals Are There and What Do They Mean?

  • TÜV-ShopIdent:
    This seal is awarded to shops whose identity has been checked by TÜV Saarland and which have been rated as reputable. In combination with the “authorized by” seal, which identifies the shop as an official partner of the brands it offers, you can shop more safely.

  • Trusted Shops:
    According to its own information, the Trusted Shops seal stands for shops with good service, a clear product overview, and high security standards. Only shops that meet these criteria receive the seal.

  • EHI:
    The EHI seal primarily stands for user-friendliness and security. Shops with the seal are checked annually for quality and trustworthiness. If a provider does not pass the inspection, the seal is withdrawn.

  • ips:
    The ips seal stands for data protection and consumer protection. The secure handling of personal data, for example during the ordering process, is the main focus.

  • Trustpilot:
    Trustpilot is not a seal, but instead incorporates genuine user reviews in the form of a TrustScore. This allows you to see directly how satisfied other customers have been on average.

Note: A shop without a quality seal is not automatically untrustworthy. Smaller shops in particular often cannot afford these seals. In such cases, you can look at reviews from other customers on Trustpilot or forums such as Reddit to get an impression of the shop.

What Are Dark Patterns and How Can I Protect Myself Against Them?

Dark patterns are subconscious tricks built into online shops. They are designed to encourage you to spend more money in various ways. The most important examples are:

  • Time limits:
    A countdown shows how long a product will remain discounted. An allegedly great deal is used to pressure you into buying.

  • Price anchoring:
    A high price for a particular product is used to influence the customer’s perception of price. Other products then appear cheaper and are supposed to look like a good deal.

  • Social proof:
    The opinions and actions of other people influence your own decisions. If many people want a product or speak positively about it, you may subconsciously be encouraged to buy it.

  • Scarcity:
    A small remaining quantity is displayed on a product page to put pressure on you to act quickly.

  • Free gifts:
    Once you spend a certain amount, you receive small extras, such as free shipping or a fabric bag. This is intended to encourage you to spend more than you originally planned.

What Payment Methods Are Available and How Safe Are They?

  • PayPal:
    With PayPal, you usually pay in advance, but you can also choose to pay in installments or 30 days later, similar to paying by invoice. There is integrated buyer protection if the goods are not as described or do not arrive at all. Purchases made using the “Friends and Family” option are excluded. It is therefore recommended not to use this option when shopping online, as you will otherwise not be protected against potential fraudsters.

    PayPal is also directly connected to your account. This means you can pay quickly and conveniently, but if fraudsters know your email address and password, they could make purchases without your permission. A strong password and two-factor authentication are strongly recommended. If you follow these precautions, PayPal is a reliable payment provider that is available almost everywhere.

  • Klarna:
    With Klarna, you can either pay in advance by instant bank transfer or pay by invoice or in installments. If a product is defective or does not arrive, Klarna’s buyer protection offers a payment extension and assistance with resolving the issue. There are many positive as well as negative experiences reported by users. Two-factor authentication is also strongly recommended because, without it, fraudsters would only need your Klarna password to make purchases.

  • Credit card:
    Credit card payments are processed immediately. If goods are damaged or do not arrive, you may be able to have the payment reversed through your credit card company. Since 2017, two-factor authentication for credit card payments has been mandatory, using passwords, SMS, or biometric authentication such as a fingerprint. Nevertheless, you should remain cautious of fraudulent fake shops that attempt to steal your credit card details.

  • PaysafeCard:
    With PaysafeCard, you pay in advance. The major advantage is that you do not have to enter your personal data, only the code on the PaysafeCard. The payment is therefore practically anonymous and works similarly to paying with cash. However, many fraudsters try to obtain these codes. You should therefore only use PaysafeCard at authorized shops. You can recognize them by the web address displayed in the payment window. If you lose a PaysafeCard or your code is stolen, you can have the code blocked through the customer service hotline using the serial number.

  • Payment in advance:
    With payment in advance, the seller only sends the goods after receiving the money. This creates considerable uncertainty for the customer and makes it easy for potential fraudsters to take advantage of the situation. If you use this payment method, only do so with established shops or shops you trust. It is best to choose an alternative payment method.

  • Payment by invoice:
    According to the Verbraucherzentrale, payment by invoice is the safest payment method. You receive the goods first and only pay afterwards. If, for example, there is a defect, you can return the product without having to wait for a refund or anything else. After making a payment, you also have eight weeks to object to it.

  • Cash on delivery:
    With this payment method, you only pay when the package arrives, usually directly to the delivery person. This allows you to make sure that the goods actually arrive. Compared with payment by invoice, the disadvantage is that you cannot inspect the contents before paying. Nevertheless, this method is very safe.

  • Google Pay / Apple Pay:
    With these payment services, the buyer only has to confirm the payment using biometric authentication or a password. The seller only receives confirmation and does not receive the customer’s payment details. However, this payment method is only as secure as the smartphone it is used on. Therefore, you should always have the latest operating system version and the latest security update installed.

Differences Between the Right of Return and the Right of Withdrawal

The right of withdrawal is a legal right for buyers that allows them to cancel a contract within 14 days, for example an online purchase.

The right of return, on the other hand, is a period determined by the seller during which you can return something. Since the seller can also determine the conditions, you may sometimes receive a voucher or something similar instead of a refund.

Differences Between a Guarantee and the Statutory Warranty

A guarantee refers to conditions under which you can return a product. Since guarantees are not legally mandatory, each retailer can determine its own conditions and the scope of the guarantee. This means that some sellers may offer vouchers or discount codes instead of refunding the money.

The statutory warranty, on the other hand, is the seller’s legal obligation to ensure that the product functions properly during the first two years after purchase and to provide a replacement or remedy in the event of a defect or damage. If the seller cannot do so, you may be entitled to a refund.

If you make a warranty claim only during the second year, the buyer has to prove that the defect was not caused by them and explain why the warranty claim is only being made at that point.

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