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Old 13th July 2020, 10:01   #1
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Amazon has a big counterfeit goods problem

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Amazon will soon start showing business names and addresses of sellers on its e-commerce platform. The move is said to be part of Amazon’s efforts to curb counterfeit products and sellers on the platform. The changes will come into effect on September 1 for the US version of the platform.

Counterfeit and price gouging have become constant pain points for Amazon over the years. So far, the company has relied upon various techniques to combat this problem. It has also deployed cutting edge technologies such as machine learning to weed out such sellers.
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Amazon has a big counterfeit goods problem-wixtq4nppgbnf6pehtt4hg.jpg

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Despite the COVID-19 crisis, recent data from the U.S. Census Bureau show that e-commerce continues strong growth trends relative to all other forms of commerce. Even before the outbreak of COVID, more and more people were turning to the internet to buy clothes, groceries and other everyday items. At the same time, e-commerce retailers have come under increasing scrutiny for the ease at which counterfeiters are able to operate on their websites. Unlike physical retail stores, e-commerce platforms have been largely freed from liability when it comes to the sale of counterfeit goods. This is because courts in the U.S. and abroad have consistently maintained that e-commerce retailers are third parties that do not directly sell any products.

Because the closure of physical stores will not diminish consumer demand, counterfeiters stand poised to take advantage of the growing number of people who will be shopping online. This will bring increasingly greater numbers of consumers into online marketplaces, which are the very places where counterfeiters are most active. What has resulted from the loss of physical retail spaces is a virtual funneling effect that is sending consumers right into product counterfeiters’ webs.
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While many online marketplaces like eBay have implemented reactive takedown programs to combat counterfeiting. most online marketplaces critically lack the proactive preventative measures needed to tackle this pervasive issue and further, lack incentive to create much needed anti-counterfeiting programs that would scan for and remove counterfeit listings without prompting based on reports received from brands.

Amazon is one exception, with its Project Zero program that includes using machine learning to proactively scan for and remove counterfeit products.
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According to the EU’s Vice-President for Digital Affairs, Margrethe Vestager, the EU plans to crackdown on the sale of illegal and counterfeit goods as part of the upcoming Digital Services Act (DSA).

The act is part of plans to regulate online activity in an assortment of areas, such as political advertising, hate speech, and e-commerce.

This announcement comes at the same time as the amendments to the Audiovisual Media Services Directive, which targets video content on Facebook, YouTube, Instagram, Twitter, Netflix, Amazon Prime, and others.

Even though the e-Commerce Directive, which was introduced in 2000, has regulated some digital services in the EU, many online businesses are struggling due to increased competition.
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Last year, 31 per cent of shoppers unintentionally bought fake products online - up from 24 per cent in 2018, according to research by Anti-Counterfeiting Group (ACG).

And 23 per cent of those items were bought through social media, either through a post or a sponsored advert.

The group has found big high street names such as Clarks, Monsoon and Tommy Hilfiger had been impersonated in sponsored social media posts.

The adverts feature real photographs of retailers' stock in the posts and also contain branded images.

But when you click through to the link it will take you to a scam website which looks the same as the retailers but has a different URL.
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Old 13th July 2020, 10:24   #2
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Re: Amazon has a big counterfeit goods problem

I have returned a lot of Car Products and Rustoleum cans, waterproofing chemicals etc, with proof that they were fake. I had the good fortune of having stuff that I hand carried from overseas, and then these Amazon products (which were delivered) couldn't hold a candle to. Now, I have stopped ordering few categories of products.
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Old 13th July 2020, 10:42   #3
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Re: Amazon has a big counterfeit goods problem

Anyone who thinks "fulfilled by Amazon" means genuine goods is just kidding himself. Fulfilled by Amazon merely means that Amazon India has taken care of the storage & delivery. Amazon has crores of items in its warehouses from 3rd-party sellers and it does NOT manually open each box from every vendor to check if the item is genuine or fake.

My suggestion = best to buy stuff like perfumes from places like Shoppers Stop, electronics from chain stores (Vijay Sales will price match Amazon) etc. Apple said that 90% of "official chargers" on Amazon are fake - related news. On Amazon, I mainly buy books, cheap stuff or other things that I wouldn't care about (e.g. smartphone cover for 300 bucks). Someone I know ended up with fake branded denims bought on Amazon India.

This thread is especially important because many Indians blindly trust the "Amazon" brand, thinking they will only sell genuine goods. While I am an Amazon India fan, I am very wary of the fake goods problem they suffer from.

Do NOT buy engine oils, detailing stuff, creams, shampoos etc. on Amazon.
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Old 13th July 2020, 10:47   #4
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Re: Amazon has a big counterfeit goods problem

Buying from Amazon, or any other Ecom provider has the same proviso as buying a used car.
If it sounds too good to be true, then it probably isn't. I have so far never been gypped by Amazon, and I've even bought higher ticket items like Aircons, TVs and Phones from there. If the price is half of usual, or seller is less than 3.5 stars, you're bound to have some issues with the product.
However, for some reason, I am more comfortable with Amazon, instead of any other, especially flipkart.
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Old 13th July 2020, 12:46   #5
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Re: Amazon has a big counterfeit goods problem

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Originally Posted by GTO View Post
Anyone who thinks "fulfilled by Amazon" means genuine goods is just kidding himself.
I am old school and given my limited computer ability I like to go to shops to buy but this Covid virus and my "risk category" has forced me to download apps (amazon is one of them) on my mobile phone and make more purchases online.

I am assuming Amazon Pantry would at least be genuine. I am thankful to fellow mods like Khan, Jaggu and Viddy who have literally made my purchase decisions for me including sending me the links.

Last edited by navin : 13th July 2020 at 12:48.
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Old 13th July 2020, 13:02   #6
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Re: Amazon has a big counterfeit goods problem

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Originally Posted by GTO View Post
Anyone who thinks "fulfilled by Amazon" means genuine goods is just kidding himself. Fulfilled by Amazon merely means that Amazon India has taken care of the storage & delivery. Amazon has crores of items in its warehouses from 3rd-party sellers and it does NOT manually open each box from every vendor to check if the item is genuine or fake.
It depends not just on fulfilled by but the seller.

If it is Amazon itself like cloudtail or appario chances of fake are lesser because this means the products are sold by amazon by buying from authorised channels. It's rare to get a fake product from cloudtail or Appario.

Also if you are buying from other sellers who are not cloudtail or appario but fulfilled by amazon, one should always check who they are. Either google the website and see if they are authorised.

For example detailing products from Carpro are sold directly by Carpro India on Amazon and are fulfilled by Amazon.

In general you need to be smart when buying from online either Flipkart or Amazon.
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Old 13th July 2020, 13:08   #7
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Re: Amazon has a big counterfeit goods problem

I will still say Amazon at least is reasonably good when it comes to owning up responsibility - Refunds, Exchanges etc for whatsoever reasons. I don't want to go to the shop and argue and beg for a refund or an exchange. For the look and feel aspects, I will prefer to visit a store, compare the prices and buy it from the shop only if the pricing is competitive.

Rarest of the rare occasions, where we had ordered a product via Prime has put us in trouble that we had to shy away from making our next purchase from elsewhere.

Seller rating matters a lot and I have been shopping very regularly from eBay for a lot of items and since eBay's review methods wasn't like Amazon's, I would in detail go through the seller ratings, the items, visit the seller store online to gauge on what are the typical products that he is specialized in and only then make a decision on the purchase.

I would still continue to prefer buying online with thorough due diligence and homework.

The damaged or wrong products that one receives as I have known is due to the delivery folks or for that matter a previous buyer (fraud) and this where Amazon needs to be pull up their socks.

Last edited by paragsachania : 13th July 2020 at 13:10.
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Old 13th July 2020, 13:13   #8
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Re: Amazon has a big counterfeit goods problem

Purchased Samsung Galaxy S9 from Amazon which was tampered, costing more than 40k. Amazon refused to take it back.

Stopped purchasing online on Amazon, Flipkart and other aggregrator sites, all together except for small items. What I learnt over the years of online shopping is, almost all the products that come with discounts on these aggregrator sites are either - Refurbished, Showroom Demo pieces, defective but not easily identifiable, about to expire, low moving models, etc.

Been purchasing in brick and mortar shops and surprisingly many of them are ready to match online prices, sometimes even lesser to online prices. Even in cases where I have to pay extra money, I get fresh stock and good support.

Personally, I feel online shopping on aggregrator sites like Amazon, Flip kart, etc. have become one big scam hence have started avoiding it altogether for the last couple years. Purchasing directly from the the manufacturer website should be far more reliable I guess.

Guys, try to go the old way of shopping, retailers have improved their services and also competitiveness in pricing. Experiencing the product in hand, fresh stock, good customer support and the peace of mind associated with all these is worth the 4k or 5k of a 40k product we try to save purchasing online, is what I have come to realize, along with realizing we are being scammed for that saved money in ways we could not find it out.

I'm happy not shopping online on aggregrator sites these days, I get good products that I really need and also do not fall for the discount gimmicks that come up for every festival.

Last edited by CliffHanger : 13th July 2020 at 13:17.
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Old 13th July 2020, 13:24   #9
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Re: Amazon has a big counterfeit goods problem

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Originally Posted by GTO View Post
Anyone who thinks "fulfilled by Amazon" means genuine goods is just kidding himself.
Add "Amazon's Choice" in the list. I have seen people who have blindly ordered based on "amazon's choice" tag but were disappointed after seeing the products.

I prefer Amazon to buy small products, expensive ones's are a big NO. For mental peace I would spend a few extra bucks & buy stuff from authorized stores only.
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Old 13th July 2020, 13:34   #10
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Re: Amazon has a big counterfeit goods problem

Only buy Prime products from Amazon. As Vidd6639 said mostly they are authorized sellers like Cloudtail and Appario. Also there are many chances you can get the same stuff cheaper in-store as Amazon charges a big % as fees and the seller then just adds it on top, exceptions being some limited stuff that is only sold online.

Last edited by AnandB : 13th July 2020 at 13:36.
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Old 13th July 2020, 13:45   #11
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Re: Amazon has a big counterfeit goods problem

Some more tips to add when buying from Amazon.

1. When buying electronics always check the date when the product was listed on Amazon. Amazon many times has products that are older gen models. It's always better to check the product website to ensure it is a model from that year. Example when seeing microwaves, Amazon has 2015 products as well as 2019. You would think the rating and higher count of reviews means its a good buy but it would be an outdated model which the store won't even have on display.

2. Amazon also has a rank of the product on highest selling products for each category. This gives some confidence on the product. However I have realised in India most of the products in top 100 rank are the cheaper ones and not necessarily the best ones. You can use the top sellers rank as an indicator of the product popularity but there are chances there will be more premium products that will never be on top 100. Best example is headphones. Very rarely will the top 100 have Bose or Sennheiser.
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Old 13th July 2020, 13:46   #12
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Re: Amazon has a big counterfeit goods problem

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Originally Posted by Vid6639 View Post
If it is Amazon itself like cloudtail or appario chances of fake are lesser because this means the products are sold by amazon by buying from authorised channels. It's rare to get a fake product from cloudtail or Appario.
You are part of the 1-2% of customers who would check this, Viddy. I have never, and I just asked 10 of my cousins on a WhatsApp group. No one there has ever "checked who the seller is" either.

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Originally Posted by CliffHanger View Post
Purchased Samsung Galaxy S9 from Amazon which was tampered, costing more than 40k. Amazon refused to take it back.
I bought my S9 directly from Samsung, and my S6 Edge from Vijay Sales.
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Old 13th July 2020, 13:52   #13
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Re: Amazon has a big counterfeit goods problem

I have always shunned online stores against actual stores. I like to hold the product and speak to staff before purchase. If the product under question is a domestic appliance like TV , fridge etc , just forget it as it essentially needs home ministers approval to avoid the day to day " i told you so " type hassles. So it has always been a family trip to Croma or Pai for any appliance or even smartphone.

The same goes for provisions, as the local kirana stores are quite good with price and delivery and i can't bring myself to look at online clothing. I have always preferred Raymond for tailoring my shirt or pants.
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Old 13th July 2020, 14:30   #14
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Re: Amazon has a big counterfeit goods problem

Usually some of the models have exclusive platform. ( Either amazon or flipkart)
If I remember correctly, flipkart was the official seller for S9. (You can easily make out by looking at the number of reviews). In such cases, never buy from the other platform no matter what the offer is.
For electronic items, I usually buy only if the seller is appario or cloudtail. ( There is one more seller who gets exclusive rights. I forgot the name)

As Vid6639 mentioned, amazon has this top 100 (not necessarily the best, due to the price) selling page for every item. This is very useful. ( Especially for categories where there are only unorganized players). Here the total number of reviews will get some idea. Dont read too much into the total rating. Because I have seen many items where rating is high but very less number of review. This could imply not many people are buying it.

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Originally Posted by CliffHanger View Post
Purchased Samsung Galaxy S9 from Amazon which was tampered, costing more than 40k. Amazon refused to take it back.
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Old 13th July 2020, 15:23   #15
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Re: Amazon has a big counterfeit goods problem

Good thread. I am one of those who trust the Amazon brand, especially if I see 'fulfilled by Amazon', my assumption is that it is a fast moving product and Amazon does some level of due diligence on them. Looks like that is not a very safe assumption.

But in general I don't buy critical items without verifying. In that case I dig down a little more. Big ticket items like home appliances are always store bought and they quickly match Amazon price. Recently bought a fridge and the Amazon price was 5k lower than their claimed 'discounted price'. I asked once and they matched it without any hesitation.
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