For Fake Sake!
Louise Baxter - two minute read
Download the For Fake Sake social media pack here
With the festive season nearing, the lure of unbeatable deals and exclusive offers fills our screens, tempting millions. But not all is as it seems. Counterfeit goods and fake and scam ads on social media present a serious, underreported threat to consumers—and the impact extends far beyond disappointing purchases. From personal financial losses to fuelling dangerous criminal networks, the harm these deceptive practices cause goes deep. Here’s why #FakeAds are more than just a nuisance and how we can #StayScamAware.
The Consumer Cost of Counterfeit Goods
Counterfeit products can range from fashion knockoffs to counterfeit electronics and dangerous fake cosmetics. In 2022 alone, counterfeits cost the global economy an estimated $500 billion. But the real cost to consumers is often unseen
Health Risks Fake cosmetics, skincare products, and electronics pose serious health risks. Counterfeit makeup may contain harmful chemicals like lead and arsenic, while fake electronics can lead to fires or electrical hazards.
Financial Loss Scams often look so real that by the time consumers recognise they’ve been scammed, it’s too late. According to the American law enforcement agencies, online shopping scams were responsible for $380 million in reported consumer losses in 2021 alone.
The Ripple Effect Counterfeits and Organised Crime
The counterfeit industry isn’t just about fake goods. It’s a dark industry that funds organised crime, including trafficking rings, forced labour, and even terrorism. This is because fake goods production is often controlled by global criminal organisations who exploit people and traffic workers
Labour Exploitation Organised crime networks often rely on exploited labour, sometimes forcing people into horrendous conditions to produce and sell counterfeit goods.
Funding of Criminal Enterprises When consumers unknowingly buy counterfeit goods, they may be unknowingly funding human trafficking, drug trafficking, and violent crime organisations. In fact, estimates from Interpol suggest that organised crime profits from counterfeits are as high as $2 trillion worldwide.
That’s $2,000,000,000,000!
Social Media’s Role in the Counterfeit Crisis
Social media platforms have become a hotbed for scams and counterfeit ads, particularly during high-demand seasons like Black Friday and Cyber Monday. The algorithms that make ads are targeted, which also allow criminals to reach vulnerable consumers directly. With around 40% of Gen Z (12-27yrs) and Millennial (28-43yrs) consumers primarily shopping through social media, the risk has never been greater.
A staggering 84% of social media users have encountered fake ads, and one-third have been a victim to these scams at least once. Fake ads often promote “exclusive deals” on trending products, luring people into fake storefronts that will steal credit card details or deliver dangerous knockoffs.
How Consumers Can #StayScamAware
Verify Retailers Check a Website and verify before you buy.
Inspect the Website URL Look for spelling errors, strange extensions, or irregular layouts. Counterfeit sites are often poorly designed and may have slight differences from the official brand website.
Report Suspicious Ads Reporting fake ads to social media platforms and Action Fraud, this helps remove dangerous sellers and protect other consumers.
Educating Consumers The #ForFakeSake Campaign
This month’s Consumer Friend campaign #FakeAds #FAD #ForFakeSake sees us partnering up with brand holders and Trading Standards partners. F we can make a bit of a difference in combating scams by educating the public about how to identify fake ads and avoid counterfeit products during peak shopping days we will be winning. We hope by spreading awareness, we hope to reduce consumer vulnerability to scams and protect peoples hard-earned money and safety.
This Black Friday, let’s arm ourselves with knowledge to avoid #FakeAds. Spread the word protect one another from becoming another unfortunate statistic.