The global fashion industry is worth well over £1.3 trillion, at least in terms of annual revenue. Fashion brands, whether independents or multi-national conglomerates, are powerhouses in their own right, with valuable stakes in a captive, ever-changing and saturated market.
Succeeding in fashion is not an easy task; competition is high, profit margins can narrow dependent on manufacture and supply chains, and key decisions rest on fickle aesthetic trends. Arguably the biggest challenge that faces existing brands, though, is counterfeiting.
The Impact of Counterfeits
Counterfeit merchandise is nothing new. Fake branded items of clothing can be found in every city and town centre market in the UK, as well as online via international auction sites and drop-shipping fronts. It is a pervasive truth that good brands are aped, and one which can cost a great deal.
According to a piece by Vogue, counterfeit fashion was valued at $464 billion before the coronavirus pandemic – a figure that has only grown. With the recent advent of AI, online outlets more readily able to scrape designs and automate print runs of them for immediate digital sale – further undercutting profits from businesses.
Anti-Counterfeiting Measures
There are many sophisticated and technologically-advanced methods by which fashion companies and clothing manufactures attempt to crack down on counterfeits. RFID tags have become a more popular option for bigger brands, enabling swift detection of the real deal against a fake.
However, true counterfeits are losing ground to cheaper and much more easily-detected, poor-quality alternatives. Swift print runs of t-shirt designs are not designed to match quality, but instead there to wick sales away in the digital plane – where quality cannot be ascertained.
Legal Frameworks
The fundamental legal precedent at the centre of litigating against counterfeiting enterprises is intellectual copyright. Clothing designs are the intellectual property of those that create them – property that can be bought, sold or otherwise attributed freely. With regard to brand names, trademark law comes into play too.
However, bringing legal action to a counterfeiter can be difficult – even if they are tracked down. Jurisdictional challenges can arise, as can future enforcement of legal rulings against bad actors. The best step forward for fashion businesses is to consult experts in laws relating to the fashion industry, so as to solicit bespoke advice relating to specific instances.
Consumer Awareness
But where does the consumer come into this? Consumer awareness can be a powerful way to combat counterfeits without investing in tech-heavy manufacture solutions or expensive legal battles. Product guides that distinguish genuine articles from fakes can be a good place to start, particularly for prestige brands that consumers wear as a statement.
However, there are consumers that care little for the veracity of the item, with cost being much more of a factor for them. In these instances, the story and marketing of the product is key to success. Alerting consumers to the positive impacts of paying for the real deal, and the negative impacts of investing money in counterfeits, can help choke illegitimate online shops.
