Monday, September 10, 2007

L'Oreal challenges eBay over sale of fakes

this article from news.com... L'Oreal decides to take "legal action" against eBay for not doing enough to prevent the sale of counterfeits.

according to L'Oreal

"Consequently, L'Oreal has decided to take legal action to protect the
consumers, preserve the quality of its selective luxury distribution network and defend the reputation of its trademarks."


in all fairness to our friends at eBay, a quick search for L'Oreal or Loreal returns thousands of products, many of them lot quantities. I wonder if they propose that eBay should hire a staff of folks to confirm that it's an actual L'Oreal retailer dumping excess quantity as opposed to some counterfeiter.

French newspaper Liberation said L'Oreal estimated the damage done to its
business from counterfeit goods sold via eBay at "probably several million
euros."

One has to wonder if someone at L'Oreal has ever bothered to count the money they've lost as a result of cannablization because of the sheer volume of the real stuff that out on eBay. Or for that matter the loss of margin as the retailer tries to compete against other retailers dumping it out there. Or perhaps even further the loss of value because of perception of the brand at its "selective luxury distribution network" .

It'd be a heck of a lot easier for ebay to identify the counterfeits if there wasnt so much real stuff out there. and yes, i know coutnerfeiting is a big problem.

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