The effects of counterfeiting as a global economic crime are far-reaching.
Delhi, India (16 August): A new study by the University of Portsmouth exposes how social media influencers are aiding this criminal trade in counterfeit goods, which has become a worldwide economic crime with far-reaching effects.
This assessment is the first of its type, and its publication in the journal Deviant Behaviour demonstrates the outsized influence these individuals have on the market for fake goods. Researchers discovered that it is now easier than ever for consumers to locate and acquire counterfeit products because of the widespread use of social media influencers to promote them.
Based on the responses of 2000 persons in the UK, it is estimated that 22 percent of social media users between the ages of 16 and 60 have purchased fake products promoted by influencers.
The annual value of counterfeit goods is up to $509 billion, making roughly 2.5% of global merchandise trade. Due to intellectual property rights violations and an increase in counterfeit factories with harsh working conditions, genuine businesses suffer substantial economic losses as a result of this unlawful commerce. It also provides aid to terrorist organisations, promotes criminal activity, and undermines national security. Thousands of people die every year due to the dangers posed by bogus drugs, cosmetics, food, toys, electrical items, and batteries. Understanding the causes that are fueling the demand is essential for tackling this complex issue, and this involves the use of social media influencers.
According to the research, the secret to the deviant social media influencers’ success resides in their ability to capitalise on the unique traits of their target audiences. Reasons for this include a propensity to rationalise immoral transactions, a lack of risk awareness, a high risk appetite, and an overexposure to the influence of trusted digital people.
Social media influencers are the new nobility of the marketing world, according to Professor Mark Button, Director of the Centre for Cybercrime and Economic Crime in the School of Criminology and Criminal Justice at the University of Portsmouth. In this industry, buyers frequently rely on the advice of anonymous online reviewers, who have gradually superseded the customers’ own assessments of purchase risk.
The study also found that the influencers’ persuasive strategies were more successful with the younger demographic. The results suggest that people between the ages of 16 and 33 are three times as likely to buy fake endorsed products than people in their forties and fifties. Males account for 70 per cent of all buyers, with their risk tolerance and susceptibility to influencers contributing to this high prevalence.
Dr David Shepherd, School of Criminology and Criminal Justice at the University of Portsmouth, said, “Counterfeit products injure and kill hundreds of thousands of people across the world. The counterfeit factories pay barely above the poverty line, and the working conditions are dangerous. Don’t listen to the people who influence you on social media. We insist that everyone double-check the items they promote. For what reason are they pushing these items? Do you think the prices are too low? Whence do they originate? Do you want to get part in a commerce that exploits people and kills them?
While this research focused on the UK, its implications are far-reaching, considering the global nature of the counterfeit market and the interconnectedness of social media platforms. As counterfeiters find new ways to exploit digital marketing techniques, there is an urgent need for industry players and authorities to collaborate and combat this growing threat.
The study also highlights the role of social media platforms and legitimate brands in either fostering or discouraging the counterfeit trade. Researchers call for a more robust approach in policing the content and advertisements that feature on social media platforms, ensuring legitimate brands do not inadvertently contribute to the counterfeit market.
The fight against counterfeit goods is a multi-faceted challenge, requiring a systemic approach involving consumer education, stronger regulations, and more stringent enforcement efforts. By addressing the root causes of consumer susceptibility and targeting deviant influencer marketing tactics, stakeholders can work together to curb the spread of counterfeit products and protect consumers from economic, social and personal harm.
Professor Button says, “This study raises serious concerns about the impact of deviant influencer marketing on consumer behaviour, particularly among vulnerable demographics. It is crucial for brands, regulators and law enforcement agencies to take action and disrupt the activities of these illicit influencers and the networks that support them”.
