Better Business Bureau® (BBB®) has tips to help business owners spot “vanity awards” – illegitimate professional awards that are used to trick people out of their money.
Vanity awards are phony awa rds that require businesses to pay an entry or acceptance fee, usually a couple hundred dollars. They often begin with an unsolicited email stating you’ve won the award or have been nominated by someone else to enter.
These awards are typically handed out by organizations that don’t have a longstanding or trusted reputation, so they carry little weight and are ultimately a waste of time and money for businesses.
In 2023, a small business owner in the Springfield, MO, area received a legitimate-looking email saying that she had been nominated to receive a “small business best of e-commerce" award with a $2,200 prize. She thought this was odd because she was still working on developing her business' website and it was missing products. When she clicked the application link in the email, it stated that she must make two payments of $250 to enter. At that point, she closed the application and blocked the sender.
How to avoid vanity awards:
● Know the red flags. These are common signs of a vanity award:
o You're asked to pay a fee for the award
o It requires few or no qualifications besides payment
o Someone sent you an unsolicited email about it
o You didn’t apply for the award but were named a winner
o You’ve never heard of the award company before
● Research the award. If you’re noticing red flags, check out the award company's BBB Business Profile at BBB.org. If the company has negative reviews or customer complaints, it will be reflected in their profile.
● Ask how you were nominated. If you didn't apply for the award yourself and the award company can’t tell you how you were nominated, chances are the award is not legitimate.
● Ask specific questions. Learn everything you can about who is giving the award, where they are located, how long the award has existed and how your business was nominated or selected as a winner. A legitimate awards company should be able to tell you in detail why your company was selected.
● Don’t click strange links. Scammers often hide malware in email links. If you click the link, they can gain access to your personal information. If you receive an email about an award, double check that you're dealing with a real business before clicking any links.
● Report it. If you think you’ve encountered a vanity award scheme, report it to BBB Scam Tracker to help protect business owners like you. You can report emails with suspicious links to your email provider to help them more effectively block spam and phishing attempts.
