Author: Amber Spong

As so often happens when a product goes viral, counterfeiters have followed close behind.

The Labubu toy craze has swept the globe. And in the last few months alone, Chinese authorities have seized nearly 49,000 counterfeit “Lafufu” dolls encroaching on the IP of the hugely popular Labubu toy by Pop Mart.

Pop Mart has invested heavily in intellectual property protection, registering trade marks, copyrights, and design rights worldwide. This ranges from adding holographic Pop Mart stickers, QR codes, and UV stamps to its packaging. The Chartered Trading Standards Institute (CTSI said these are “commonly missing or poorly replicated” on fakes.

Yet despite these efforts, counterfeits continue to flood online marketplaces, social media feeds, and even bricks-and-mortar stores.

Brand reputation
Counterfeits don’t just divert revenue, they undermine brand reputation and weaken customer trust. In some cases, they can put consumers in danger.

UK authorities have warned that fake versions of the Labubu dolls could pose choking hazard risks to children. In other industries, counterfeit electronics can be unsafe, imitation cosmetics can cause skin reactions, and fake sports gear can fail when it’s needed most.

With the growth of online marketplaces and the reach of social media, fake products can appear in your customer’s feed alongside the real thing, making detection harder and brand protection more critical.

Despite Pop Mart’s robust legal and IP defences, it continues to face counterfeit challenges. Here’s why:

- The huge demand and limited supply of Labubus means their viral popularity outpaces Pop Mart's supply capacity. That imbalance creates a lucrative opportunity for counterfeiters.
- Even with multi-territory IP protection, fakes can still flood the market because registering your rights is only step one. The Madrid System has been used to extend Pop Mart’s trade mark protection across multiple countries, but having the rights doesn’t automatically stop counterfeiters. The brand owner still has to actively detect and take action in every jurisdiction where fakes appear.
- Many fake dolls look deceptively close to genuine Labubus, making them harder to detect and remove from the market. When unsafe products slip through, they can quickly damage a brand’s reputation and consumer trust.

The takeaway for brand owners
The Labubu case proves that even with strong IP rights, brands can’t afford to be reactive. Counterfeiters will always look for gaps in your supply chain, your monitoring systems or your global coverage. If products are in demand, someone could already be working out how to fake them.

The key is constant vigilance and a proactive, global strategy that adapts as quickly as counterfeiters do.

How Brandsmiths helps brands stay ahead
At Brandsmiths, we know that fighting fakes requires a coordinated, multi-channel approach. This includes:

- Developing and implementing comprehensive global anti-counterfeiting strategies
- Monitoring online counterfeit outlets, social media, and managing domain name disputes
- Filing take down notices with online platforms, such as Amazon, Facebook, and eBay
- Making Applications for Action (also known as a Customs Notice) with customs in the UK so that customs can seize counterfeits.
- Enforcing Intellectual Property rights against unlawful parallel imports and grey market goods

About Brandsmiths
We work closely with investigators, the Police Intellectual Property Crime Unit (PIPCU), UK Border Force and Trading Standards to provide comprehensive online and offline coverage.

We also understand the importance on return on investment and ensure that our clients are aware of the results of their anti-counterfeit strategy. To discuss your queries in more detail, book a free legal consultation with one of our solicitors.