When Prices Rise, So Do Fakes: How Inflation Creates Openings for Counterfeiters
You know inflation is bad when even Temu starts to raise prices. Brands and retailers like Walmart and Amazon are passing on costs, from tariffs to shipping, and that’s becoming a bonanza for counterfeiters.
Products that were once cheap now seem expensive, and consumers, under pressure, start looking for “alternatives.” The problem? These alternatives are often convincing fakes.
In this article, we’ll show you why inflation has become a silent brand protection crisis and what your team can do now to respond with intelligence and agility.
The Cost of Everything Is Going Up
Persistent inflation, unstable tariffs and increasingly unpredictable supply chains are leaving retailers in survival mode. Even names once synonymous with low prices, such as Walmart, Temu and Amazon, are adjusting upward.
And the consumer feels it.
They compare, question, and deep down, still hope to find that “bargain” that used to be the norm. This disconnect between expectation and reality is where the risk begins. When the cart costs more and delivers less, the average buyer begins to look for alternatives.
And these alternatives do not always come from reliable channels.
The situation worsens when we see different strategies among the big players. While Walmart is raising prices to offset tariffs, others like Home Depot are betting on supplier diversification to maintain stable prices.
The result? A general sense of confusion in pricing and, for counterfeiters, a perfect window to infiltrate where the original once reigned supreme.
What Happens When Price Outpaces Perceived Value
There comes a point where the consumer stops asking “how much does it cost?” and starts thinking “is it really worth all that?” That’s when perceived value comes into play, and when it doesn’t match price, the consequences appear.
With prices rising across the board, value sensitivity is on the rise. People are more open to trying out even unofficial versions of products they used to trust.
Cheap starts to look smart. And when the packaging looks the same, the list of benefits seems consistent, and the price is much lower? The line between “cheap” and “fake” becomes dangerously thin.
It’s not just about saving. It’s about justifying.
A Perfect Storm for Counterfeiters
In times of inflation, this becomes fertile ground for the proliferation of counterfeits. Platforms like Amazon, TikTok Shop and AliExpress are full of superfakes, replicas so good that they confuse even those who pay attention.
Counterfeiters know what they’re doing. They monitor prices, understand buying habits, and swoop in with aggressive offers at just the right time.
The problem doesn’t come out of nowhere. It’s born of a combination of rising prices, frustrated consumers, and an online culture that normalizes “dupes” as smart purchases. The result? A false sense of advantage.
The customer thinks he saved money, but he takes something no warranty, no quality, and sometimes dangerous.
And this is not a one-off problem: the global trade in counterfeit products is already moving more than US$467 billion, according to the OECD. This is not just piracy anymore. It is a direct reflection of the economic scenario and requires a strategic, rapid and well-equipped response.
Why Brand Protection Needs to Adapt
The old detect, report, remove formula is no longer enough. Traditional brand protection is strong in legal actions, but weak when the challenge is psychological.
Today, the problem is precisely in the consumer’s head.If the official product is expensive and the fake one looks the same, those who don’t understand the value behind the brand will choose based on the price.
This isn’t misinformation. It’s a direct reflection of a market that is failing to tell its story.
That’s why brand protection teams need to go beyond repression. Monitoring the impact of prices on purchasing decisions has become a strategic piece. After all, what’s at stake is not just reputation, but also perception of value, trust and even the brand’s relevance.
Adapting to this new scenario requires looking at data more broadly, understanding where the narrative is failing, and reacting quickly. It isn’t just about fighting against fakes, it’s about ensuring that the real thing continues to make sense.
OSINT and Real-Time Monitoring Are Essential
The black market moves fast and so do counterfeiters. They monitor trends, exploit economic downturns, and adjust their tactics in real time. That’s why brand protection teams need to keep up with the pace with intelligence and structure.
That’s where OSINT (open-source intelligence) comes in: using public sources to track threats has become essential, especially in channels like TikTok Shop, AliExpress and marketplaces that appear and disappear out of nowhere.
To address this scenario, we need more than just data. We need operational agility.
Tools like Hubstream offer:
- Evidence capture with browser extension
- Automate workflows as your team grows
- Clear visualization of connections between cases and sellers
- Rapid adaptation to the changing economic landscape
Less friction, more action. Because investigating counterfeits in 2025 requires technology that gives you time for what really matters: taking action.
What Brands Can Do Now
Even with the challenging environment, there is still a lot that brands can do to protect value, trust and revenue.
Here are three strategies you can apply to your brand:
Communicate Why You’re Worth the Price: If the consumer is going to compare, help them compare correctly. Show what makes your legitimate product better: real quality, durability, ethical origin, proven safety. And don’t hide it in the footnotes, bring it to the center of the conversation.
The clearer the value you deliver, the less likely the customer is to fall into the trap of a fake that “looks the same.”
Be Strategic About Entry-Level Pricing: A high price without an affordable alternative is an invitation for fakes to enter. Think like luxury brands: create entry-level versions, kits or smaller packages that deliver value without compromising your image.
This way, you remain present in the consumer journey, even when the budget is tight. Being accessible doesn’t mean lowering the standard, it means keeping the door open without giving up the essence.
Amplify Real Stories, Not Just Warnings: Generic warnings are ineffective. Consumers think “it won’t happen to them.” But when you share real stories, damaged products, health risks, and customer experiences, the message gains strength.
Use these stories on your social media, email campaigns, and even in customer service. The goal is not only to inform, but to create an emotional connection that makes the risks more tangible and changes purchasing behavior.
Final Thoughts: Inflation Opened the Door, It’s up To Brands To Close It
Inflation doesn’t just affect your wallet. It also reshapes consumer behavior and opens up loopholes that counterfeiters are quick to exploit.
If your brand doesn’t tell its story clearly, someone else will. Pricing transparency, value communication, and smart research tools are not luxuries. They are defense.
If you want to turn uncertainty into action, start with the basics: visibility.
Hubstream can show you where to start. Talk to our team and find out how to transform your protection strategy into a smarter, more efficient operation that is aligned with today’s challenges.