Korean Intellectual Property Office Reveals Up to 300,000 Counterfeit Items on Naver's Smart Store

The Korean Intellectual Property Office has warned over the presence of up to 300,000 counterfeit products on Naver's Smart Store portal, raising alarm bells for consumer safety.

Among those fake products is Chanel perfume containing urine, according to Korea Bizwire.

Distribution of Counterfeit Products on Naver's Platform

The report highlights that over the past five years, approximately 297,200 cases of distribution of counterfeit products were detected on the Naver platform, reports Inside Retail. Breakdown by channel shows that blogs account for 138,532 cases, followed by Naver Cafes with 133,442 cases, Naver Band groups with 14,926 cases, and Smart Stores with 10,300 cases.

Concerns About Counterfeit Perfumes

One example of a counterfeit product is the 'Bleu de Chanel' perfume, which was found to be available at a significantly lower price on Naver's platform compared to the official Chanel website. The counterfeit perfume was confirmed to contain 0.28% methanol (v/v), violating safety standards the Ministry of Food and Drug Safety set.

Exposure to methanol can have severe health consequences, including the risk of cancer or damage to the optic nerve.

It has come to light that in producing such counterfeit perfumes, animal or human urine is often used to control acidity (pH). Cost-saving motives drive this practice, as it requires no additional expenses. However, using urine in these products raises serious concerns about the safety and quality of the sold items.

Naver's Lack of Responsibility

As stated in their terms and conditions, Naver is not responsible for selling counterfeit products on their platform. This places the onus on customers to navigate the potential risks associated with products sold through Naver's online channels.

In February, Musinsa, Korea's largest fashion goods sales platform, and the Korea Brand Fashion Association, comprising 50 small fashion brands, called on Naver to take stricter measures against selling counterfeit goods on their open market. This move comes as industry officials raise concerns about the prevalence of fake products on Naver's platform.

Photo: Naver Pressroom