Perhaps it's the public's insatiable desire for convenience that has spurred the recent overflow of ecommerce sites. It could be the lure of big holiday money. Either way, large marketing budgets have ensured awareness of these otherwise unknown sites. The question is, are people really taking the time to determine the reliability of these sites and the products they're purveying?
Maybe consumers should take a closer look. A recent study conducted by Cyveillance (www.cyveillance.com) indicates that 4 to 8 percent of websites selling high-end brands such as Gucci, Rolex and Mont Blanc are actually selling fakes this holiday season. The research found in Cyveillance's Holiday Cyber Scams Study shows that today there are approximately 7,000 sites selling the three brands studied. Cyveillance projects that the number of sites selling counterfeit luxury goods is keeping pace roughly with the growth of online commerce. Further estimates that the number of sites selling all types luxury goods, ranging from designer apparel to fine jewelry and accessories, has more than doubled over last year, rising from 20,000-25,000 sites in 1998 to more than 50,000 sites today.
In addition, according to Forrester Research, 8.6 million U.S. households will spend $4 billion shopping online during the five weeks between Thanksgiving and New Year's, up from $2 billion in 1998.
"With record numbers of shoppers buying online this holiday, the potential revenue impact of counterfeiting on luxury goods-makers is staggering," said Brandy Thomas, CEO and chairman of Cyveillance. "If online sales were to represent just 5 percent of the $150 billion market for luxury goods, losing even two percent of that total means hundreds of millions in lost revenue for these luxury brand companies. Not only that, widespread sales of imitation luxury products ultimately devalues those brands."
Tips for Tremulous Shoppers
As the number and sophistication of websites continues to grow, it will become increasingly difficult to differentiate between sites selling knock-offs and sites selling the real thing. There are no guarantees — scams can hide anywhere.
- Order from reputable sites with solid privacy policies.
- If the price looks too good to be true, it probably is.
- Make sure the site has an adequate return policy and relies on a reputable shipping company.
- On the ordering page, look for the prefix "https" at the beginning of the URL, which indicates that you have entered a secure server area.
- Check for a disclaimer near the order form indicating that the site uses a Secure Socket Layer (SSL).






