Luxury companies are competing with counterfeiters who produce their items in large quantities and sell them for lower rates, even as luxury brands’ sales in India continue to rise. In addition to expanding their presence in India, luxury global companies like Louis Vuitton are investing time and money to eradicate low-quality knockoffs.
“In India, the issue is quite serious. A senior official from the Federation of Indian Chambers of Commerce and Industry (FICCI CASCADE) stated, “There are numerous fakes of high-value, expensive goods.”
Fighting or stopping counterfeiters, whether they are domestically or internationally made, is a very difficult undertaking. Famous designer Tarun Tahiliani remembers how the ensemble he made for Kim Kardashian was visible in the alleys of Chandni Chowk. The rise of social media has facilitated the proliferation of counterfeit goods.
Stylish stores run by youthful, aspirational entrepreneurs in both big and small cities have replaced middle-aged sellers selling counterfeit luxury products in crowded marketplaces. According to the FICCI representative, “The more expensive the brand, the higher the profit margins – so more duplicates, more fakes.”
Even though some luxury businesses take extreme steps to keep their products out of the grey market, like destroying millions of dollars’ worth of excess inventory, they are hesitant to make the problem of counterfeit designs public.
