(Juba) – The rapid growth of social commerce across platforms like Instagram and Facebook is opening up new opportunities for businesses, including those in South Sudan. However, the same digital boom is also fuelling a sharp increase in online fraud—posing serious risks to merchants, consumers, and the broader push toward e-commerce adoption in emerging markets.
Social commerce, which blends online shopping with the social media experience, is expected to reach $2.9 trillion globally by the end of next year. This transformation has changed how people shop, with over 2.77 billion people now buying products directly through social platforms, including in African markets like South Sudan, where mobile phone and internet access is steadily expanding.
Instagram, in particular, has become a preferred platform for sellers in fashion, beauty, and lifestyle. Of its 1.74 billion users, 70% use it to discover new products, and nearly half shop there every week. This global reach appeals to African entrepreneurs, including those in South Sudan looking to tap into international demand. But this convenience comes with a growing threat: scams.
Scammers are exploiting the open structure of platforms like Instagram to run fraud schemes that target both buyers and legitimate sellers. According to internal figures, up to 70% of new advertisers on Meta’s platforms in 2022 were associated with scams or low-quality products. Since then, the situation has worsened, experts say.
Some of the fraud tactics involve cloning known influencers’ accounts to promote fake deals, creating counterfeit online stores with convincing product photos, and hijacking real businesses’ logos to trick unsuspecting buyers. In some cases, as reported in the US, businesses have received angry customer calls for orders they never accepted—because someone else was impersonating them online.
For South Sudanese entrepreneurs entering the social commerce space, this trend is alarming. Many already face challenges such as poor transport infrastructure and limited access to global payment systems. Fraud adds another layer of risk, both reputational and financial. Customers who fall victim to scams may lose trust not just in individual sellers, but in digital trade more broadly.
Instagram’s shift away from in-app checkouts—where purchases once happened directly within the platform—towards external website checkouts is intended to give merchants more control. But it also creates a gap in security. Scammers can now easily direct users to off-platform websites that mimic real stores, designed to steal credit card information or never deliver goods.
The fraud issue has escalated further with the rise of artificial intelligence. Scammers can now generate entire fake profiles, complete with photos, video content, and engagement history, to appear genuine. These tools enable fraud at scale, making it harder for platforms and users to tell real from fake.
Meta, Instagram’s parent company, has acknowledged the issue but stopped short of accepting legal responsibility. In a recent US court filing, Meta argued that it does not have a legal duty to protect users from fraud on its platforms. Despite this, users report that fraud complaints often go unanswered until dozens of reports pile up against a single scammer. According to reports, Instagram advertisers can receive up to 32 fraud warnings before being removed.
For South Sudanese businesses exploring Instagram and other social channels to market products like shea butter, honey, coffee, or handicrafts, the risks are real. Yet social commerce still holds major promise—especially in reaching consumers in other African countries, Europe, and the Middle East, where South Sudanese goods are gaining recognition.
To manage these risks, digital sellers in South Sudan and the wider region are being advised to take a few basic precautions. First, obtaining Instagram verification can help assure customers they are buying from a legitimate source. Meta now offers a subscription that includes impersonation protection, which is useful for small businesses frequently targeted by copycat accounts.
Second, merchants should respond to inquiries clearly and quickly, using consistent language and brand voice across their platforms. This makes it harder for scammers to convincingly impersonate them. Sellers are also encouraged to document transactions thoroughly, including screenshots of buyer communications, in case of disputes or chargebacks.
Monitoring for fraudulent activity—such as duplicate ads, impersonator accounts, or sudden traffic surges—is also crucial. Businesses are advised to check not just their Instagram accounts but also other platforms, including Facebook and TikTok, where scam activity can spill over. The broader your digital footprint, the more vigilant you need to be.
Many of these scams succeed because users scroll quickly and make decisions on impulse. Reports suggest that over half of customers who make quick online purchases feel regret afterwards. If the buyer does not trust the seller or lacks a clear communication channel, they may file for a chargeback instead of requesting a return—costing the merchant both money and reputation.
For South Sudan’s emerging e-commerce community, which is still gaining footing in a challenging economic environment, these dynamics are particularly sensitive. The South Sudanese Pound currently trades at approximately SSP1,500 to USD1. With many businesses already operating on thin margins, chargebacks and fraud could erase profits quickly.
Despite the risks, most experts agree that social commerce remains a valuable channel for small and growing businesses. It offers direct access to customers, free or low-cost marketing tools, and global reach—advantages that are difficult to find elsewhere.
Still, merchants must weigh the benefits against the dangers. Protecting customer data, maintaining trust, and fighting back against impersonators may now be just as important as the product itself.
In a digital economy increasingly shaped by platforms like Instagram, success may depend not just on what you sell—but how safely you sell it.
