In brief
- Counterfeit beauty products have surged on e-commerce platforms, with research showing 67% of tested branded items were likely counterfeit, costing the cosmetics industry an estimated €3 billion in lost sales.
- These counterfeit products are not only infringing from an intellectual property perspective, but also pose serious health risks, frequently containing dangerous substances such as mercury, lead and arsenic.
- Brands should combat counterfeiting through a multi-layered approach including registering IP rights, monitoring online platforms for suspicious listings, submitting takedown requests, and taking legal enforcement action against infringers.
The rise in popularity of global e-commerce platforms and the exponential growth in demand for beauty products have precipitated a significant increase in counterfeit beauty products. Counterfeit products are manufactured with the intention to deceive consumers. The infringing product is designed to replicate those which have been legitimately manufactured by a brand. It is essential to distinguish such counterfeits from products commonly referred to as "dupes" (on which we have previously published guidance in relation to perfume and beauty products). For beauty, where consumer confidence in product quality, safety and provenance is paramount, counterfeit goods can cause substantial damage to brand equity and commercial reputation. Counterfeit products present multifaceted challenges for both consumers and brand owners, with the issues extending well beyond intellectual property infringement to encompass serious risks to consumer health and safety, whilst also jeopardising consumer trust and brand reputation.
Scale of the problem
Recent research conducted by Which? evaluating the prevalence of counterfeiting within the cosmetics industry found that 23 out of 34 branded items purchased and tested (representing 67% of the sample) were likely to be counterfeit. Furthermore, in a report published in January 2024, the European Union Intellectual Property Office estimated that lost cosmetics sales attributable to counterfeiting amounted to €3 billion, corresponding to 4.8% of total sector sales.
Health and safety risks
Laboratory testing conducted by the United Kingdom Intellectual Property Office (UKIPO) in 2024 on seized counterfeit beauty products revealed the presence of carcinogenic ingredients, with some samples also found to contain rodent urine and equine faeces. Counterfeit cosmetics circumvent stringent regulatory testing and safety protocols and frequently contain harmful substances including mercury, lead and arsenic, which may cause skin irritation, allergic reactions and serious infections.
Consumer behaviour and market dynamics
The prevalence of counterfeit beauty products sold online poses significant risks to consumers, many of whom remain unaware of the dangers associated with purchasing such items, or underestimate the risks involved.
In June 2025, the UKIPO reported that 24% of UK women have knowingly purchased counterfeit products online. Research commissioned by the UKIPO identified that consumers purchasing such counterfeits erroneously assumed that they were manufactured under similar or identical conditions to genuine products and were unaware of the potential health risks associated with their use.
There are several indicators which consumers should consider when assessing the legitimacy of websites offering beauty products for sale, including:
- prices significantly below the recommended retail prices for the product;
- adverts promoting "flash sales" for heavily discounted products;
- a social media account that is not connected to the brand website;
- the use of new generic top-level domains (for example, .store, .shop or .tokyo rather than established domains such as .com or .net);
- poor reviews of sellers on online marketplaces; and
- absence of a secure 'https' connection.
In addition to illegitimate websites, counterfeit products are being promoted and sold through numerous social media platforms. There have been various reports from consumers regarding harmful products being sold through TikTok Shop, Vinted and eBay including certain skincare products which are legally required to be dispensed by prescription only. Whilst several platforms, including TikTok, have implemented an anti-counterfeiting policy, more needs to be done to stop this activity and protect consumers.
Impact on brand owners
Counterfeit products that perform poorly or cause adverse effects can cause substantial harm to a brand's reputation, leading to financial losses and a decline in consumer trust.
In February 2024, the UKIPO launched an awareness campaign entitled "Choose Safe Not Fake" to address consumer demand for counterfeit beauty products, highlighting the presence of dangerous ingredients to raise public awareness. The UKIPO has committed to supporting intellectual property rights holders through its Counter Infringement Strategy 2022 to 2027.
Enforcement strategies and remedial measures
In order to combat counterfeiting, brands need to implement a comprehensive, multi-layered approach, combining preventative measures with robust enforcement mechanisms to protect both their IP rights and consumers, albeit brands must be mindful not to make any unjustified threats to sue for infringement of their IP rights (see our articles here and here for more details on what amounts to an unjustified threat).
- Registration of IP rights
Registration enables rights holders to pursue legal action against infringement and serves as a deterrent to third parties contemplating infringement. Additionally, registration can often be a prerequisite for customs recordal systems and criminal prosecution, enabling rights holders to leverage border enforcement measures and seek criminal penalties against serious infringers.
Brand and packaging elements should be protected through trade marks and designs, whilst product formulations should also be protected where applicable.
- Online monitoring and surveillance
Brands can use available technology to scan e-commerce platforms to detect and take down suspicious listings and unauthorised sellers. This way brand protection teams can submit takedown requests as soon as they are alerted to potential infringements.
- Takedown requests and platform enforcement
Amazon, for example, has introduced its Brand Registry programme, which brands can use to actively monitor and remove infringing products. Other platforms like Vinted and eBay have similar programmes available for reporting counterfeit products. See our recent webinar on what to do when you discover a copycat website, including practical guidance on how to use these procedures.
- Supply chain monitoring and authentication
Training personnel to recognise authentic products is essential. Some brands use holograms in their product packaging and embed unique, difficult-to-reproduce materials into products or their packaging. Brands should consider encouraging consumers to buy direct from their websites or one of their approved stockists.
Counterfeit prevention must commence at source within the supply chain. IP rights holders can submit an 'Application for Action' requesting customs detain goods suspected of infringing IP rights, which stops the counterfeit goods from entering the UK. It is also beneficial for a brand to engage with Customs and Trading Standards to educate them about the brand, its products and how to spot counterfeits in order that they feel informed and invested to do so.
- Enforcement
A cease and desist letter may be sent to the infringer setting out the relevant IP rights, the nature of the infringement, and detailing the actions the counterfeiter must take. In certain circumstances, a brand may need to issue proceedings and seek court orders including for an injunction restraining the infringer's activities, damages or an account of profits, and delivery up or destruction of counterfeit goods to prevent them re-entering the market.
Key takeaways
Counterfeit products pose a significant threat to brand reputation and consumer safety. It is therefore imperative that brands adopt a proactive approach to addressing counterfeiting issues through registering their intellectual property, establishing a strong and transparent supply chain and promptly taking legal action to stop counterfeit operations and deter future infringement.