Louis Vuitton is the most counterfeited luxury brand, according to new report

Counterfeits have been a sharp thorn in the side of luxury fashion houses for decades. Dating back to ancient Roman times, counterfeiting within the fashion industry underwent a surge of popularity in the late 1970s, thanks to the rise of designer jeans. With several copycats trying to mark and sell duplicated designs and styles for a fraction of the price of the original, the fight against counterfeits began a battle that continues to this day.

As brands seek out trademark registration and firm international agreements under the World Trade Organization (WTO) to protect their intellectual property, a new report from Entrupy, an AI-powered authentication technology provider, takes a closer look at the 'State of the Fake.' 

The State of Fake: New report reveals top counterfeited luxury brands

The 2025 report aims to create awareness concerning the world of counterfeits, and is based on Entrupy's proprietary data alongside intelligence derived from hundreds of thousands of AI-powered product evaluations conducted across a global assortment of merchandise. One of the main findings from the report was that Louis Vuitton is the most counterfeited luxury brand, accounting for 32.76 percent of all Entrupy submissions for luxury goods. 

Prada was the second most counterfeited luxury brand regarding handbags, with 14.42 percent of all Prada bags scanned by Entrupy being flagged as "unidentified," aka a fake. What's more, 12,190,340 dollars worth of fake Gucci handbags were submitted to Entrupy for verification in 2024, with Chanel accounting for the highest total dollar value with a total of 500,470,067 dollars in counterfeit goods detected. 

In addition, Goyard maintained its position as one of the most counterfeited brands by volume, with 18.4 percent of its St. Louis Totes identified as fakes. The report also named Louis Vuitton as the most frequently counterfeited brand in the United States, with the total value of authentic products verified by Entrupy reaching 640 million dollars, compared to 61 million dollars worth of "unidentified" items, those likely to be counterfeit.

Counterfeiting remains a serious issue, with fraudulent returns and claims costing US retailers an estimated 103 billion dollars, accounting for 15.14 percent of all returns in 2024. Part of this comes down to consumers' shopping choices. In 2023, 40 percent of US consumers and 26 of UK shoppers purchased online with Shein or Temu, known platforms for counterfeits. With counterfeiters becoming more savvy and using sponsored posts on social media to promote fakes, tracking them down is becoming more difficult, which is reflected in the data.

Counterfeit fashion costs US retailers $103 billion annually

Although the rate of fakes decreased in 2024 to 8.4 percent (down from 8.9 percent in 2023) for handbags and sneakers, the overall volume of fakes has not declined. While many consumers may not immediately see the harm or damage caused by counterfeits, the proof is in the pudding. Not only does counterfeit fashion add to the industry's waste crisis, as many are made from cheap, synthetic materials, which means shorter lifespans, more landfill waste, and no chance at resale or recycling, but many counterfeits can also be dangerous financially and socially. 

According to the European Union Intellectual Property Office (EUIPO), counterfeit goods are responsible for an estimated 60 billion euros in annual losses across the EU and contribute to the elimination of approximately 434,000 jobs. Beyond the financial toll, these copycat products frequently fall short of safety standards.

Nearly 97 percent of identified counterfeit items present significant risks, with counterfeit apparel often treated with harmful chemicals linked to adverse health effects such as skin irritation and allergic reactions. Counterfeiting has also been linked to human trafficking and modern-day slavery, with 38 percent of human trafficking victims being children, many of which have been exploited to produce copycat products, notes the report. 

Underlying a serious problem, these risks also highlight the need for more advanced tools to detect and deter counterfeits. Entrupy's CEO, Vidyuth Srinivasan, believes that "a more scaled approach" is needed to stop the impact of the counterfeit market on the legitimate one, one which includes more collaboration and partnering on a systemic level. "Our assumption that more data leads to better authentication results is holding up, leading to our overall accuracy rate being 99.86 percent," said Vidyuth Srinivasan in the report.

Unsurprisingly, fashion houses increasingly deploy authentication technology such as Entrupy to combat counterfeiting. These AI systems leverage extensive global databases to detect fraudulent merchandise, safeguarding brand integrity while protecting consumers from fakes.