IP Outreach Research > IP Crime
Reference
| Title: | The effects of counterfeiting on consumer search |
| Author: | James W Gentry [University of Nebraska], Sanjay Putrevu [University of Albany], Clifford J Schultz [Arizona State University] |
| Source: | Journal of Consumer Behaviour 5, no. 3: 245-256 |
| Year: | 2006 |
Details
| Subject/Type: | Counterfeiting |
| Focus: | Brands (deceptive counterfeits), Brands (non-deceptive counterfeits) |
| Country/Territory: | Australia, International |
| Objective: | To investigate the cues used by consumers from areas where counterfeits are plentiful to make evaluations of a product's genuineness. |
| Sample: | 102 international students attending a major research university in Australia |
| Methodology: | In-depth interviews |
Main Findings
Study participants reported relying on the following cues to identify counterfeit products:
- sales outlet (fixed-store formats, as opposed to informal retail settings, are strongly associated with authentic products)
- price (unbelievably low price of counterfeits, in some cases only after bargaining)
- quality and/or performance (inspecting the product for cues varying from simple to complex, e.g. misspelled names, obviously cheaper materials, altered logos, minor product details, etc; bad product performance of fakes after purchase)
The fact that counterfeits vary greatly in terms of quality (from obvious cheap fakes to overruns of originals) makes telling the difference between original and fake goods increasingly difficult for consumers.
Reasons given for purchasing counterfeits were: value for price; ability to use the fake item freely without worry about it being damaged; inexpensive product trial; ability to stay current in times where fashions quickly fall out of favour; attraction of novelty; benefit from social status associated with brand. The single most important reason given against purchasing counterfeits was the “loss of face” associated with being caught wearing a counterfeit item. Overall, participants said that mostly young and financially less-off publics, along with tourists, buy fakes.
The study authors highlight the following implications: very low-priced Western goods may be seen as counterfeit, rather than as good buy; known brands should distribute their products to “upscale” stores and avoid being extremely competitive in terms of price; manufacturers should be careful when introducing a modified product into a market flooded with fakes, as it may well be seen as a counterfeit – subtle cues used to judge product authenticity should be evident in the modified product.
[Date Added: Apr 9, 2009 ]