In a recent bust, Western Cape police seized counterfeit luxury goods valued at approximately R55 million, offering a glimpse into South Africa’s growing problem with fake high-end brands. With one in three luxury items submitted for resale being fake, this incident highlights the pressing issue of counterfeit products in the country.
According to Michael Zahariev, co-founder of luxury reseller and authenticator Luxity, the products entering South Africa are made with such precision and attention to detail that even the most discerning eye would find it difficult to tell the difference. “These items are dubbed ‘superfakes’ and are part of the reason we employ a dual authentication process, using an internal expert and an independent third party for every item we purchase.”
Citing the Global Anti-counterfeiting Consumer Survey conducted by Michigan State University, he highlights that 68% of consumers have been duped into buying counterfeit goods, with 39% acquiring these from online retailers and another 39% from social media. “Given WhatsApp’s popularity in South Africa, it has become counterfeiters’ tool of choice for targeting unsuspecting buyers.”
Additionally, with the rise of generative AI tools, counterfeiters are employing new technologies to deceive buyers in increasingly sophisticated ways. “This includes tactics such as generating thousands of fake positive reviews and using AI-generated product images to bolster their fraudulent sales,” Zahariev explains.
He advises anyone wanting to purchase genuine luxury items to be cautious of prices that seem too good to be true. “While ‘superfakes’ aren’t priced as high as the genuine article, they’re still expensive enough to make customers think they’re getting a bargain on the real deal. Generally, fakes are sold at up to 35% of the original cost, but in some cases, counterfeiters may ask for as much as 80%. Some scammers will claim items are pre-owned to justify the lower price.”
“Watch out for sellers who don’t allow returns or exchanges and have no website or physical address,” warns Zahariev. “As scammers primarily engage with customers through WhatsApp or social media, buyers have little recourse for questioning the product’s authenticity or alerting the authorities if they encounter fraud.”
“Another red flag is being told there’s a waiting list because the seller is importing items from fashion houses, when in reality, they’re sourcing them from China,” he adds. “Scammers might also claim that a private shopper is traveling overseas to purchase the desired product on the buyer’s behalf, but more often than not, the money paid disappears, or the product received is a fake.”
Finally, to ensure you’re buying the real deal, Zahariev advises, “It’s best to purchase directly from the brand or a reputable reseller. Though it might cost more, you’ll have the peace of mind that comes with a genuine luxury item.”
