eBay plays major role in counterfeit market

A recent report Counterfeiting Luxury: Exposing the Myths 2007 commissioned by London law firm Davenport Lyons has concluded that buying counterfeit goods has become socially acceptable, with more than two thirds of UK consumers proud to tell their friends and family that they had purchased fakes. This is an increase of 20% on the previous figures from 2006.

In addition, consumers spent 10% more on faked designer and luxury brands than in the previous year, bringing the average spend to £21.30 per person.

More than 10% of those questioned said they had paid over £50 for a fake, continuing the trend identified in last year’s report of many of these consumers being well-off: 20% of them come from households earning over £50,000 p.a.

The majority of these counterfeit items were bought in markets in the UK, and the amount of goods bought abroad or on the Internet also increased. In particular, eBay was highlighted for being the source of 29% of this market, putting it third in the overall table of fake goods suppliers. eBay purchases were also twice as likely to have been bought in good faith by the shopper as those from other sources.

This report shows that the growing social acceptability of buying fake goods is creating a crisis for brands which will affect company profits as well as exclusivity. Clearly there has never been a greater need for effective brand protection. Here at Cerberus we can offer services such as anti-counterfeiting and parallel trade identification, as well as our specialist Brand Infringement Takedowns team for online infringements.

Please visit out Intellectual Property section for more details.

The full report can be obtained from the Davenport Lyons website or directly from this link.