The growth of e-commerce platforms and the continued integration of commerce into major social media platforms, like TikTok, is creating a new challenge for Kenyan consumers. Today, it is estimated that one out of every five products sold in the Kenyan market is counterfeit, resulting in an annual loss of KES 800 billion.
In fact, a recent survey revealed that more than 31% of respondents have purchased counterfeit goods online.
At the top of the list are the e-commerce giants Jumia, Jiji and Kilimall, which appear to have sustained customer demand.
Social media is also high up the list of online sources for fake goods, with the Meta-owned social media platforms Facebook and Instagram leading. E-commerce platforms owned by companies also featured on the survey.
“Notably, online platforms have emerged as the dominant distribution channel, with social media, e-commerce sites, and classified ad platforms accounting for a substantial share of counterfeit sales,” stated Hon. Josephat Kabeabea, Chairman, Board of Directors, Anti-Counterfeit Authority.
This trend indicates a clear need for improved consumer protection and stricter oversight of online marketplaces to combat the sale of fake goods.
Ironically, the Anti-Counterfeit Authority’s (ACA) awareness campaigns against fake goods have the highest reach on social media, reaching 65.5% of respondents, way more than TV, which comes in second at 54.6%.
However, only 25.28% of respondents rated them as effective.
Read: E-commerce Websites now a Haven for Fake Phones in Kenya
Notably, the frequency of online shopping remains low, with only 3.79% of respondents indicating they shop online at least once a week. Meanwhile, 38.63% make online purchases occasionally, just a few times a year.
A smaller segment, 23.22%, rarely shops online, limiting their purchases to once a year or less. Another 20.62% fall somewhere in between, shopping online sometimes, roughly once a month.
According to the survey by the Anti-Counterfeit Authority (ACA), 56.40% of those surveyed believe that some counterfeit goods purchased online originate from other countries, with China deemed to be the leading source.
The other countries of origin mentioned are Turkey, Japan, and Tanzania. Only 13.51% of respondents believe these fake products are not imported.
ICT and Energy Products Prone to Counterfeiting
Goods in the ICT and energy sectors sold within the country are highly susceptible to counterfeiting.
In the critical energy sector, fake energy generators and solar panels are common, which can lead to power generation failures. 29.08% of respondents specifically highlighted electric cables and wires as frequently counterfeited items.
In the consumer electronics category, smartphones and laptops show a 27.02% counterfeiting rate, with home appliances at 22.22% and smart home devices at 21.40%.
A concerning 18.66% of respondents also reported counterfeit batteries, which carry serious risks of overheating and explosions.
