Walmart Counterfeit Sales Continue Despite Complaints

Walmart joins the e-Commerce Counterfeit Marketplace

October 12, 2017, Los Angeles, CA – Walmart would like consumers to believe that Walmart is a safe place to buy name-brand goods, but that's just not true. Many consumers aren’t aware that Walmart is both a direct seller of counterfeit products, and allows third-party sellers to list and sell products, including counterfeits, on Walmart's website - Walmart.com. Alarmingly, counterfeit products can appear right next to authentic items conveying Walmart's endorsement and the illusion they are from Walmart.

The Counterfeit Report, a consumer advocate and industry watchdog, found hundreds of counterfeit products on Walmart's website and submitted dozens of complaints to Walmart, authorized by the trademark holders, to remove the counterfeit items. The Counterfeit Report also purchased counterfeit products from Walmart as direct seller, and from Walmart's third party sellers. Months later, some items remain, while others were removed, but later relisted.

Inconceivably;

• Walmart refused refunds for confirmed counterfeit product purchases.
• Promises from Walmart staffers for removal of counterfeits products, and telephonic follow-ups from Walmart management were simply lip service.
• Emails directed to Walmart's legal department are unanswered.

For example; The Counterfeit Report purchased the inarguably counterfeit 64GB microSDHC^® computer memory card below on Walmart’s website and submitted 21 complaints over 15 weeks to remove the fake item. The item remains despite the complaints and a call to Walmart management. Promised return phone calls from Walmart management within 48-hours never occurred.

The microSDHC^® trademark is owned by SD-3C, LLC, who licenses the trademark to authentic, conforming products. In simple terms, there is no authentic 64GB microSDHC^® product in the microSDHC standard, or any licensed manufacturer's authentic product line. However, the items are sold on Walmart.com.

Could you identify these fake microSD^® and microSDHC^® memory cards sold by Walmart directly, or by third party sellers, on Walmart.com? It's simple, none exist in the Secure Digital (SD) standard, or any licensed manufacturer's authentic product line.

Consumers cannot determine the actual memory capacity of a counterfeit memory card by simply viewing the capacity displayed on their computer, phone or camera. The counterfeiters are too smart for that, and simply overwrite the real memory capacity with a false capacity to match any capacity they print on the counterfeit packaging and card. Actual capacity may be much less than shown on the product and when reached, exiting data may be overwritten and lost.

The removable microSD memory storage card is an amazing, convenient and trouble-free storage device. When it works, it is unnoticed. When you get a fake, it will be the very core of your frustration, despair and pain – your data will likely disappear and your equipment may be damaged.

Companies that facilitate criminal activity and profit from dishonest sales which impact consumer safety, jobs and public trust create a public perception of deception and impunity. However, their reputation damage is only a small part of the problem: the value of counterfeit and pirated goods is forecast to grow to $2.8 trillion, and cost 5.4 million net job losses¹ by 2022, while manufacturer's brand integrity is tarnished or destroyed.

Consumers purchasing counterfeits online are supporting terrorists and criminals, and destroying jobs while receiving little, if any, value in return. How should consumers react to Walmart's deceptive practices and behavior?

Footnote:
¹ THE ECONOMIC COSTS OF COUNTERFEITING AND PIRACY
The report was prepared for The International Chamber of Commerce (ICC BASCAP) and The International Trademark Association (INTA)
January 2017
Frontier Economics, Ltd.