Dupes are being purchased at high rates among affluent consumers, even more than those with lower incomes.
As tariffs and inflation drive prices higher, the trend will likely accelerate.
Law and order: To fight against the onslaught of dupes, some brands, like Lululemon, have taken the legal route.
The company filed a lawsuit against Costco, alleging the club retailer has “unlawfully traded” on Lululemon’s “reputation, goodwill and sweat equity” by selling product dupes.
While a judge will determine the legality of Costco’s products, public opinion is on Costco’s side. Some 81.6% of consumers say Costco should continue making the dupes, according to a recent Retail Brew poll.
If dupes continue to threaten name brands, legal actions like these may become more commonplace.
“Design patents—a form of IP that is not traditionally used in the fashion or furniture industries that are more prone to dupes—could become an important tool in pushing back against the dupe industry,” according to a Chain Store Age blog co-written by Ali Maloney, associate at Neal Gerber Eisenberg (NGE), Michael Kelber, partner and chair of the Intellectual Property practice group at NGE, and Tanvi Patel, partner, at NGE.
The social ladder: Still, it’s unlikely the flood of dupes will stop anytime soon, especially due to their popularity across social platforms like TikTok and Instagram.
But name brands can use influencers to their advantage, too.
“Brands and retailers can look to the online communities that are already engaged with them as a starting point for marketing their offerings,” said our analyst, Sky Canaves. “Retailers should consider partnering with creators who showcase the latest finds and best deals from their stores, while brands should target category-specific influencers, who may have smaller followings but higher trust levels.”
The bottom line: Dupes are not a passing fad.
“Consumer research and customer data analysis are the foundations for development of private label brands and dupe products that can win over shoppers,” said Canaves. "Retailers should look for the white-space opportunities where their customers are trading down or cutting back, as well as stay abreast of broader trends in consumption across categories."
This was originally featured in the Retail Daily newsletter. For more retail insights, statistics, and trends, subscribe here.
You've read 0 of 2 free articles this month.
One Liberty Plaza9th FloorNew York, NY 100061-800-405-0844
1-800-405-0844sales@emarketer.com