Why Do People Buy Counterfeit Luxury Goods?

The analysis is firstly based on the functional theories of attitudes. According to Katz (1960), two main functions, value-expression function and social-adjustive function play important roles in this case. Value-expression function, which means self-expression, helps consumers to communicate their central values and beliefs. However, as a driver of consuming for gaining social status, social-adjustive function is mainly about maintaining relationships. Thus, the possibility of purchasing counterfeit luxury brands depends on the function served in the attitudes toward luxury brands. Signal Preference and Taxonomy Based on Wealth (Han et al, 2010) also helps to understand the reason why consumers buy counterfeits. Based on the criteria of wealth and need for status, consumers can be divided into four groups, patricians, parvenus, poseurs and proletarians.

In order to get accurate results for the analysis, two interviews about why buying counterfeit luxury goods were conducted. The two interviewees are both female and with regular consuming habits of counterfeit luxury handbags. Questions ranged from why buying it to how they buying it. According their privacy requirements, in the following part, Ms. A and Ms. B will be referred to them.

Concluding from the interview scripts, both interviewees think luxury goods are related to expressing social statuses and they are not really that worthy. As for separate situations, Ms. A is a regular consumer of counterfeit Louis Vuitton handbag. She is a cashier and without high income. She usually buy fake luxury handbags online. Her situation can be described as a typical poseur. As for Ms. B, she works for an accounting firm and is with relatively high income. She has good taste and sense for fashion and she is a regular consumer of the real Prada and Gucci handbags. But since the demand of her fashion needs exceed her consuming power, she sometimes buy fake ones through some specific suppliers. She is a typical parvenu.

Judging from our interviewees' experiences, although they are defined as different type of consumers, there are some things in common can be found. To conclude, the brands they buy are all common luxury brands that we can always first think of when mention 'luxury'. There are two reasons explain why they buy counterfeit copies of such common luxury brands.

Firstly, those brands are too commonplace, and usually people won't be surprised to see others own them. Thus, when someone has counterfeit copies, the authenticity is less likely to be suspected.

Secondly, due to the prevalence, counterfeit copies of these brands are quite common. This situation leads to moderate moral belief. People believe that there are lots of people besides them buying counterfeit products, so they won't feel guilty to own them.