Many businesses, especially those of smaller scale, rely on social media to drive awareness, increase sales, and expand market share. With over 4.5 billion users from across the world, many sites have become an essential tool to reach mass audiences as well as targeted leads.
But they are not without risks. Fraud-related losses on different platforms amounted to over $930 million in 2022. Unidentified and non-quantifiable costs are likely more. But protecting your business from social media scams is easier when you know these essential measures.
1. Be Wary of Unsolicited Messages
Fake accounts are a problem for both social media platforms and their users. While many sites take proactive action to remove them, bots, social engineering, and AI technology are making it increasingly difficult to wipe them out completely.
Most scammers use bogus accounts. Sometimes they clone profiles of high-profile individuals such as celebrities and influencers, making it nearly impossible to tell the difference.
Scammers could also create random profiles to reach out to businesses. They can pose as suppliers, service providers, investors, and business partners. For example, they might impersonate an office supplies retailer and message you with fake discounted deals. Or they can pretend to be an investor to get hold of sensitive business information.
To avoid these scams, being wary of unsolicited messages you receive on social media is important. Think twice about what you share and how you respond, even if the message seems legitimate.
2. Ignore Links
Malicious links are a popular tool in the world of cyber scams. With a single click, they could download a virus or take you to a spoofed site and steal personal data, money, or both.
Social media scammers use links in posts, ads, and private messages. Sometimes, links can appear in fake emails as well. For instance, a fraudster might impersonate Facebook and email you about a temporary suspension of your business account.
They will ask you to click a link shared in the email to log in and verify your account details. When you do, you get directed to an imposter site that collects your login credentials. The result is an account takeover or hacking attack.
Following this, getting back access to your account could be a nightmare and may take weeks and months. But by the time you regain control, scammers would have already executed their ploys—they could harvest your customer data or run bogus promotions under your account to steal money from unsuspecting victims.
The resulting reputational damage and financial costs to your business could be substantial. But you can sidestep all this trouble by ignoring malicious links.
3. Verify Before You Act
Imposter scams are not just about cloning profiles or setting up fake accounts. Sometimes, they start with hacking, where fraudsters take over accounts without anyone’s knowledge.
So, practicing caution is crucial when communicating with others on social media. But distinguishing a fraudulent message from a genuine one is not easy. And if you are overly cautious, there is always the risk of missing out on genuine opportunities. This is why verifying identities is important when someone reaches out to you.
Start by checking their profiles. Many scam-related accounts will have a short history and little to no activity. In addition, search for their name on the respective social media platform. If more than one account turns up under search results, some are likely fake.
With accounts that have been active for a longer period, look for unusual account behavior. Out-of-the-ordinary posts or a sudden lack of activity might signal account hacking.
Remember to examine their profiles on other social media platforms, too. If a contact number is listed, check who owns it using PhoneHistory.
4. Keep Your Passwords Safe
Account hacking could be detrimental to your business. So, protecting your passwords should be a priority.
Never write down your login credentials or share them with others via social media messages. If you need to provide back-end account access to an employee, ensure you monitor their activities. If you need a third-party service provider to manage your accounts, verify their identity, reputation, and references before employing them. Always change passwords when assigning account access to another service provider or employee.
In addition, follow standard protocols to set up strong passwords. For example, use a mix of letters, numbers, and symbols in upper and lower case. Avoid phrases, dates, and names that others could easily guess. Choose two-factor or multi-factor authentication features for an added layer of security.
5. Turn Off Data Tracking Features
Reputed social media platforms always offer privacy settings. Using such features is necessary to keep these platforms and third parties away from your data.
But what type of data are we talking about? Social media platforms typically get access to your full name, date of birth, and location details when setting up your account. In addition, they will request your email address and phone number to verify your profile. Then there is data you generate as you engage with others on these platforms—what they call account activity.
Social media platforms have access to all this information, which they could share with third parties. It is an industry-wide practice with significant risks. For example, a simple hacking attack on their user databases could transfer your personal data to the dark web, making you instantly vulnerable to various scams.
The good news is that many platforms allow you to determine the information they can collect, store, and share. So, ensure you use these features to keep your data secure and private.
To Conclude
Social media can be a friend and a foe, depending on how you treat it. Its benefits, especially for small-scale businesses and startups, are undeniable. With an active presence, social media platforms could help you engage with a wider audience, build trust, and connect with your customers by leveraging targeted and personal engagement.
Of course, as with any other digital platform, they harbor malicious individuals, too. So, understanding how to avoid social media scams is critical to safeguard your business and customers.