Counterfeit Christmas: PCPC sounds alarm on fake cosmetics flooding e-commerce

Consumers are more exposed to counterfeit cosmetics and the harm they pose to public health during the festive season when online shopping surges, according to the Personal Care Products Council (PCPC). 

Fake cosmetics may contain harmful ingredients since they are not subjected to proper cosmetics testing. Consumers buying counterfeit beauty products, believing they are the real deal, can undermine their confidence in the cosmetics industry.

According to the PCPC, cosmetics are among the top categories of fake goods seized by US Customs and other law enforcement agencies. The council cites data indicating that the US beauty industry loses approximately US$5.4 billion annually to counterfeits, contributing to a global fakes market worth over US$1 trillion.

“Cyber criminals are pushing larger counterfeit shipments in the lead-up to the holiday demand. They infiltrate social and paid media channels by running fake ads and storefronts that offer enticing deals,” Paul DelPonte, executive director at the National Crime Prevention Council (NCPC), tells Personal Care Insights.

“These bad actors treat the holiday season like a giant market surge, scaling production and speed, and lean into modern shopping habits to take advantage of today’s fragmented e-commerce landscape.”

Ahead of the festive season, the PCPC has launched the Buy No Lie campaign to help educate consumers about the dangers of counterfeit cosmetics. The initiative also features a guide on how to distinguish genuine cosmetics from fakes when shopping online.

“Consumers are likely seeking great deals on holiday gifts. Some bargains may be too good to be true, which is why it’s so important to have the right information to identify authentic cosmetics and personal care products and avoid counterfeits,” Tom Myers, CEO and president of PCPC, tells us.

Online crime spikes during the Christmas season as counterfeiters flood e-commerce platforms.Bargains that burn

The annual price markdown during holidays prompts consumers to search the internet for significant discounts. The PCPC says counterfeiters exploit this behavior through unrealistic deals and urgency-driven promotions.

“The holiday season and major discount days like Black Friday may increase the chances of consumers inadvertently purchasing fake products that are circulated on e-commerce platforms,” explains Myers.

“Heavily discounted products on e-commerce sites may be tempting for shoppers. However, prices that seem too good to be true can be a red flag for counterfeit products.”

A key reason why the Buy No Lie campaign was launched is to prevent seasonal spikes in adverse reactions from cosmetics.

Fake beauty products often do not contain the same ingredients as the authentic ones and may include ingredients that are not approved or safe for use in cosmetics. 

“Often, consumers don’t realize they’ve purchased fake cosmetics until they’ve received and used them. That’s when potential adverse reactions, such as skin irritation and rashes, may emerge because counterfeit items may contain ingredients that haven’t been properly tested or labeled,” says Myers.

Regardless of the cost, the PCPC and NCPC urge consumers to take steps to confirm a product’s authenticity. The councils suggest reviewing the seller’s information and scanning product reviews for comments on concerns about fake products.

Counterfeit cosmetics can contain unsafe ingredients, posing serious risks such as skin irritation and other adverse reactions.Irresponsibly incognito

Policing the sale of dangerous cosmetics on e-commerce sites is a growing concern in the beauty industry. With the rise of third-party sites and legislative loopholes regarding seller listings, counterfeit products continue to saturate the market.

UK-based organization Which? recently conducted a survey and bought beauty products from well-known brands on eBay, Amazon, Vinted, and TikTok Shop, finding that 67% were counterfeit. 

At the Internet’s inception, online platforms were viewed as passive hosts rather than commercial players, and they were given broad protections from liability. According to toxic watchdog, the Zero Mercury Working Group, that legacy has created “an uneven playing field.” US manufacturers must follow strict chemical-safety regulations, while overseas sellers can sidestep those rules and sell directly to consumers.

While the Buy No Lie campaign aims to educate and prepare consumers to identify potentially dangerous goods, the NCPC ultimately places the final responsibility on e-commerce sites. It says it is working to close a gap where counterfeiters can escape liability.

“Because counterfeiters are sophisticated and have found ways to go undetected, e-commerce platforms need to take more responsibility in filtering out these fake products,” DelPonte says. 

“NCPC and PCPC are working diligently to close these gaps through coordinated awareness campaigns that help people identify suspicious patterns, so they do not fall victim to counterfeiters.”