5 red flags shoppers should watch out for this holiday season
According to a fraud expert, here's how to spot the scams before you click "buy."
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Holiday shopping brings out the best deals—and the worst scammers. While you’re hunting for that perfect gift, fraudsters are hunting for you. These aren’t the obvious scams of years past—today’s fraudulent merchants operate sophisticated operations complete with professional websites, customer service teams, and convincing advertisements. This season, take extra steps to make sure you’re supporting the real businesses.
We spoke with Kelsey Blakely, Shopify’s director of fraud and risk, about the red flags every shopper should know.
1. Prices that make you do a double-take
If a high-ticket item is priced way below market value, there’s probably a reason. Fraudsters use shocking discounts to create urgency and bypass your better judgment.
“We had a case where a fraudster was selling robotic lawnmowers at absurdly low prices,” Kelsey shares. “They had a robotic lawn mower for the price of $79 when they can retail for thousands. That is wild to me.”
Fraudsters are betting that the excitement of finding an incredible deal will override your skepticism. Take a moment to research typical pricing for that item—if it seems impossibly cheap, it probably is.
2. Sold-out items that are somehow not sold out
“You can bet whatever the hot ticket item is for the holidays, that is what the fraudsters are going to go after,” Kelsey explains. “So this year we’re watching gaming consoles, wearable tech, or items with scarcity like rare collectibles.”
That sold-out toy everyone wants? That limited-edition sneaker? If a random website claims to have it in stock when major retailers don’t, be skeptical. Fraudsters specifically target items with high demand and low availability because they know desperate shoppers are more likely to take risks. They’ll create entire fake inventories around trending products, knowing that scarcity makes people act fast and think less.
3. Shipping promises that are too good to be true
Fraudsters prey on last-minute desperation, promising delivery dates that legitimate merchants can’t match. They understand the psychology of holiday shopping—the closer it gets to the deadline, the more willing people are to believe impossible promises. Legitimate merchants are honest about shipping timelines because they actually have to deliver. Fraudsters can promise anything because they never intend to ship.
“As that window shortens for holiday shoppers, these fraudsters will make ridiculous claims that they can get you that item by Christmas,” Kelsey warns.
4. Customer service that feels like a performance
Here’s what’s particularly insidious: these aren’t obvious scams anymore. Fraudsters will use fake customer service agents to interact with shoppers. “They’re actually responsive to buyers,” Kelsey says. “So, if a buyer asks a question, they’ll engage with the buyer in a back and forth. And so the buyer really thinks that they’re talking with a legitimate merchant.”
Fraudsters invest in customer service to build false trust. A quick response doesn’t guarantee legitimacy, so don’t assume you’re talking to the real deal just because they have a convincing agent on the line.
5. A gut feeling that something is off
Kelsey’s advice sounds simple, but it’s powerful: “It sounds so cliché, but if the offer seems too good to be true, it probably is.”
Trust your instincts. If something feels off about a deal, a website, or a seller’s promises, don’t ignore that feeling. Your subconscious often picks up on inconsistencies before your conscious mind does—maybe the website looks slightly off, or the seller’s responses feel scripted, or the deal seems too convenient. These gut reactions are your brain processing subtle warning signs.
The bigger picture
“Fraud is not going away and it’s universal,” Kelsey reminds us. “So buyers really need to have their guard up around whether or not they’re buying from a trusted source.”
The good news? Being aware of these tactics makes you a much harder target. This holiday season, shop smart, trust your instincts, and protect your bag.