An entrepreneur’s fake Diary: Taobao phishing up annual losses of millions

Taobao enter the bubble on two characters, quickly jumped out of the many mobile power products, CEO bubble mobile power Fan Junping reluctantly pointed at the screen and said, “this is a fake, it’s fake, this and this are all false. “Music bubble, there’s only the cat, Jingdong bought the product because the company is signing on dealers, coupled with a registered brand, it is unlikely that the chances of buying a fake, counterfeit music bubble up on the product’s e-commerce platform was Taobao and aliexpress. In the United States are selling products on eBay and Amazon, eBay due to individual sellers, have higher chance of a fake, most trafficking in fake goods sellers are also Chinese. Although some Amazon because the penalty threshold high, relatively low fake chances appeared, however, due to global, once damage as well.

Alibaba also has fakes, Fan Junping on display as long as the input on Alibaba music bubble from shell, batteries, data cables, mobile power, everything, “we are selling a product, why would sell cable with nesting? Are fakes. ”

Poor consumers experience brands goodwill impairment

In addition to the consumer does not buy a fake fair experience outside the poor, for manufacturers of brand damage are cannot be measured by money. Long term, fakes are not only against the Chinese manufacturers, China’s brand image, and would undermine the fairness of the whole market mechanism. Fan Junping, has suffered since the 2011 brand fakes against long term seriously undermine the industry’s ability to innovate. According to his estimate, very roughly speaking on aliexpress and Taobao fakes in circulation, Le per year-losing worth 1 million genuine, which is about 150 million Yuan.

Manufacturers how to identify fakes in a wide range of products? In fact, the easiest way is to look at the price, followed by the product description. Relative to the original to sell 139, a fake mobile power cost just more than 20 Yuan, can sell on the Internet and from 70 to 120 Yuan, even lower than the factory price authentic, making staggering profits. “Seeing these products lower than the ex-factory price is determined to be fake. ”

Fan Junping explained that their products use high quality lithium-polymer batteries and special technology, counterfeiters often use cheap 18650 batteries and cheesy, and tends to fall on the ground it would blow apart, bad batteries may even burst into flames, has serious security implications.

Fake open days spent at high risk

In order to prevent the proliferation of fake music bubble play fakes also has set up a special team, hire lawyers and staff every day to search for fake information on the Web site, monitor the circulation of fake and reported to the e-commerce channel.

Responsible for spotting fakes Tang Hang explained, the current domestic inspection program must rely on manufacturers to buy fakes. Bubble China’s e-commerce operations manager Tang Hang said that take up to 5000 Yuan per month to buy fakes, counterfeit products of about 100 or so, to appeal to the various e-commerce platform.

Fighting encountered so many difficulties in the process, “due to fake the circle is small, and many shops to Word of mouth, and for a while they were not willing to ship to our company is located in Shenzhen, and Shanghai colleagues to help buy it. ”

Online music bubble had been used in investigations of employees, plant the evidence of undercover agents, posing as buyers, and jointly with the relevant sectors, the media, public opinion dismantling of counterfeiting dens. By following the logistics, traced back to selling fake residences and in keeping with the trade and Industry Bureau investigation, however ineffective, fan said, “these sales and delivery location are separated, also does not give the real address, tracing is particularly difficult. ”

Referring to fake, Fan Junping quite helpless. When he joined CES exhibition in Las Vegas two years ago and found a manufacturer in Shenzhen with Lok soak names, venue selling fake goods on the spot, “I soon quarrelled with him, and asked him to put things off and results each other was still beating. ”

Sino-US online fraud have no difficulty

An entrepreneur's fake Diary: Taobao phishing up annual losses of millions

Billions of years losses United States Amazon website Le fake bubble mobile power. (Le foam offers)

Products not only in China, also in the United States sales, foam for both e-commerce platform for reporting processes have profound experience. Tang Hang explained, to treasure, for example, when they find link acquisition after buying a fake, received products to send plant inspections, some will get the report within seven days, reports submitted after the platform, probably within 15 days there will be action. Average one can find 40 to 50 fake links. Taobao approach is that the complaint first and second will delete the links, complained after the third time, shops will be deducted 12 points, one shop 38 mark within a year, blocked for seven days. On average, from a fake link to finally take action, took 22 days to a month’s time, a long time.

In the United States, counterfeiting protection is a relatively mature industry chain. Has a dedicated fraud companies search for fake companies, contact platform, as well as notify the suspension and so on. EBay and Amazon are breeding places for fake and shoddy products and 90% products from processing plants in China. And the United States compared to the e-commerce platform, Alibaba, the Chinese e-commerce platform reporting process cumbersome and relatively loose. United States Amazon and eBay also required makers they are fake, and by reporting, as long as verified in a day or two PIN numbers at once and freeze all funds in the account, seller or sale items on the platform in the future.

However the United States online, although easy to fake, take legal action under the line is not as simple as that. Happy bubbles once in Los Angeles, make unannounced visits to fake physical point of sale, and decided to take in order to achieve the effect of intimidating fakes, but from the testimony and proceedings to closing the case dragged on for 7 or 8 months old, did not appear at each other from start to finish, after spending tens of thousands of dollars in lawyers ‘ fees, and finally still no way to obtain a specific monetary damages. “In China, although online fraud is not easy, but if a shipment is found under houses, and cooperating with authorities arresting effect is quite obvious,” he said.

Start-ups hoping to change the reporting system

Happy bubble think the biggest problem lies in the system, at present all of the burden of proof fell upon manufacturers, every must spend a great deal of manpower and material resources. Compared to Amazon’s approach, as long as the registered brand after the once fake links can be reported. Bubbles believes that Taobao shop should have the onus of what they sell is genuine, rather than the manufacturers to prove their selling is genuine. From proof to final disposition of the process was too long, it will take a month to delete links to shop already makes more money the make.

Followed by penalty threshold should be increased, “Taobao is the most important account and PayPal account are separate, even if the shop had been closed, losses are, at most stores 1000 Yuan deposit, is painful. “The cat and the deposit has more than 100,000 shops Jingdong Yuan, once a violation is found, the deposit would be confiscated and, therefore, less prone to fakes.

Incidents of match-fixing against the Alibaba and the State administration for industry and commerce, Le bubble consider their long-term victims of fake crisis, hopes the event can be teamed up with relevant departments, industry peers and consumers can be strongly promoting and supporting e-commerce platform on counterfeiting activities. Compared to the Fortune 500 and major corporations, start-ups in China it will be very difficult to set up a special human rights Department to take legal action. So, how do I find a startups ‘ path is a need to address the long-term problem.

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