Shelley Polansky
Research shows that 8 in 10 Americans shop online, and the dominance of online retail means nearly anything can be bought online, sometimes at discounts that seem too good to be true. Nearly anything available online can be counterfeited, and research also shows that 1 in 4 people have bought something online that was counterfeit.
BBB’s new investigative study: “Fakes Are Not Fashionable: A BBB Study of the Epidemic of Counterfeit Goods Sold Online”, looks at the prevalence of counterfeit consumer goods and the criminal systems that circulate them. It digs into the scope of the problem, who is behind it, the fight to stop it and the steps consumers can take to avoid it.
The risk of encountering counterfeit goods can affect any online shopper. These goods range from brand-name sunglasses and handbags to golf clubs and consumer electronics, as well as many other kinds of products. BBB’s report finds that any shippable item with a reputation for quality and sizable markup is a candidate for counterfeiting. While counterfeit goods often are reputed to be deeply discounted, in reality, counterfeit sellers regularly use selling prices that are close to the price of the real product, so the prices offered are no longer a signal that the product is counterfeit.
In the last three years, BBB has received more than 2,000 complaints and more than 500 Scam Tracker reports from people who have shopped for goods online and received counterfeits instead of what they ordered. The Federal Bureau of Investigation’s (FBI) Internet Crime Complaint Center (IC3) processed 2,249 complaints about counterfeit goods (including pirated goods) in 2018, while the Federal Trade Commission (FTC) processed 552 complaints representing a total financial loss of more than $752,000. That being said, many victims do not file complaints, making it difficult to get a firm grasp on how often people pay for goods that are counterfeit or not as advertised.
If you’ve been a victim of purchasing a counterfeit item, be sure to ask for a refund. Victims who don’t receive anything when buying online with their credit card, or who receive goods that are counterfeit or not as described, should call the customer service number on the back of their card and request a refund. Also, be sure to file a complaint at bbb.org or to the Internet Fraud Complaint Center (IC3.gov).
~ Shelley Polansky, VP Communications, BBB Serving Northern Colorado and Wyoming.