BALTIMORE, June 22, 2026 – Conventional wisdom suggests that counterfeit luxury goods are primarily purchased by consumers who cannot afford authentic products.
New research published in the INFORMS journal Marketing Science challenges that assumption, finding that both lower- and higher-income consumers are significantly more likely to purchase counterfeit goods than middle-income consumers.
The study, " Frontiers: The Demand for Counterfeits: A Descriptive Analysis ," by Nan Chen and Mengqi Xiang, both of the National University of Singapore, analyzed millions of counterfeit purchases made by American consumers through a major cross-border e-commerce platform.
Using large-scale transaction data spanning more than 24,000 U.S. ZIP codes, the researchers found that demand for counterfeit luxury goods was strongest at both ends of the income spectrum. Compared with middle-income households, both lower-income and higher-income consumers purchased more counterfeit products, bought them more frequently and showed stronger interest in premium counterfeit offerings.
"Our findings challenge the common assumption that counterfeit purchasing is primarily a budget-driven phenomenon," said Chen. "Instead, demand appears to be strongest at both ends of the income spectrum, suggesting that social, psychological and status-related motivations play an important role."
The findings suggest that counterfeit consumption is about more than affordability. For many consumers, purchasing counterfeit goods may also be tied to identity, aspiration and status.
The study found important differences between the two groups.
Lower-income consumers were more likely to purchase counterfeit versions of lower-tier luxury brands. Higher-income consumers, meanwhile, gravitated toward counterfeit versions of ultra-luxury brands such as Hermès and Chanel.
Perhaps most surprisingly, wealthier consumers were also more likely to purchase higher-priced counterfeit listings, suggesting a greater willingness to pay for higher-quality replicas rather than simply seeking the lowest-cost option.
The researchers also found that demand was strongest for counterfeit versions of iconic luxury products with broad brand recognition. Classic product lines such as the Hermès Birkin bag and Chanel Classic Flap generated stronger demand than newer or less recognizable collections.
Another unexpected finding involved product popularity.
The income-related demand pattern was even more pronounced for niche counterfeit products than for widely purchased items. This suggests that some consumers may be motivated not only by price or status, but also by the appeal of discovering products that feel distinctive or exclusive.
The findings carry implications for policymakers, intellectual property owners and luxury brands. Anti-counterfeiting efforts often focus on price-sensitive consumers, but the study suggests that counterfeit demand exists across very different income groups and may be driven by multiple motivations.
"For brand owners and enforcement agencies, understanding who buys counterfeits, and why they do, is essential," said Xiang. "Strategies designed around a single consumer profile may overlook substantial counterfeit demand among both affluent and economically constrained consumers."
The researchers note that the rise of cross-border e-commerce has dramatically expanded access to counterfeit goods, creating challenges for both regulators and luxury brands seeking to protect intellectual property and brand value.
The findings challenge a simple stereotype: counterfeit luxury goods are not primarily a lower-income phenomenon. Instead, demand appears to be strongest at both ends of the economic spectrum, suggesting that the motivations behind counterfeit purchasing are more complex than many brands and policymakers assume.
Read the study in full here .
About INFORMS and Marketing Science
INFORMS is the world's largest association for professionals and students in operations research, AI, analytics, data science and related disciplines, serving as a global authority in advancing cutting-edge practices and fostering an interdisciplinary community of innovation. Marketing Science, a leading journal published by INFORMS, publishes research on quantitative marketing, consumer behavior, pricing, and strategy that informs managerial and policy decisions. INFORMS empowers its community to improve organizational performance and drive data-driven decision-making through its journals, conferences and resources. Learn more at www.informs.org or @informs.
