Counterfeit couture: ‘We must make it harder for these syndicates to copy’

Irish poet Oscar Wilde said “imitation is the sincerest form of flattery that mediocrity can pay to greatness”, but designer Gert-Johan Coetzee finds no solace in the wave of counterfeits tarnishing his brand. For Coetzee, what was once a nod to his influence has become a threat to his artistry and the integrity of the South African fashion industry.

Coetzee’s couture designs have appeared on red carpets, international stages and in parliament. But in the last five years the designer to the stars has seen knock-offs of his brand in dingy corner stores and uncertified online platforms.   

Off the back of dressing the queen of talk Oprah Winfrey and a McDonald’s collaboration, Coetzee was getting ready to celebrate a decade in the fashion industry when counterfeit Gert garments were first brought to his attention. His client list includes Kourtney Kardashian, Thuli Madonsela, Bonang Matheba, Miss Universe's Demi-Leigh Nel-Peters and Zozibini Tunzi, US singer Kelly Rowland, Lerato Kganyago, Somizi Mhlongo and Minnie Dlamini, to name a few. So when the replicas of his popular designs were first sold he was told to view it as a tribute to his success.  

Coetzee first started seeing replicas of his ready-to-wear sleepwear and loungewear range in 2019. By 2021 it grew to include his knitwear and sweater collections. People sporting the replicas would post photos of themselves wearing these fakes and tag the brand on social media. Others would call the studio to complain about the quality and when Coetzee asked for pictures, the items were replicas.

“Everybody told me, imitation is the biggest compliment. The first time I saw it, I thought I've made it, and then I started seeing people didn't want the original Gert stuff any more, especially the pyjamas,” Coetzee said.    

When he noticed a decline in sales, he got over the notion that he had joined fashion luminaries like Gucci, Louis Vuitton, Chanel, which are among the top counterfeited brands in the world. Coetzee and his team tried to quietly handle the scandal. But the pandemic, which saw a rise in online shopping, made it impossible. With his business growing by over 200% annually, the rate at which knock-offs of his clothes were sold also increased.  

His success continued and he scored a Barbie collaboration which saw him creating a couture and ready-to-wear collection. But as his business grew, so did the fly-by-night online stores and shops selling counterfeit goods. “There was a definite decline in sales when the fakes came out in 2019. Now it's not really hurting my business so much, because I have my customers and they can tell what a real one is from a fake. But it's tarnishing my brand. I have made sure that everything I make gets made in such small quantities so it stays exclusive. If anybody on the street is going to be wearing the brand, then it almost takes away the exclusivity of the brand and that is what I'm trying to stop,” Coetzee said.  

In an original Gert garment the circle which forms the “G” is perfectly rounded. He uses the finest cotton, mohair and viscose, which he personally sources. His clothing is mainly manufactured in factories in South Africa, each employing an average of 30 people.

Coetzee isn’t the only South African designer dealing with counterfeit versions of their designs. Laduma Ngxokolo, founder of MaXhosa Africa, has also been battling to stop the sale of fakes of his unique Xhosa-inspired knitwear designs. An original MaXhosa men's golf shirt costs R9,700 and a women’s golf shirt costs R8,700 but the replicas, which are unisex, go for between R250 and R350. The fakes are made of polyester and cotton while an original MaXhosa item is crafted using 100% knitted silk or viscose and nylon.   

Ngxokolo has 300 full-time employees. His clothing is available from the MaXhosa Africa online store and is also sold in nine stores in South Africa, with three outlets in the UK and two in the US. Coetzee’s ready-to-wear clothing range can only be purchased from his online store or in-person from his studio in Linden, Johannesburg. Coetzee also only uses the best fabric for his clothing while the knock-offs are often polyester or cheap cotton renditions. An original Gert sweater costs R4,700 while the fake is sold for R250 at online stores and shops.  

Counterfeits of both of these luxury local brands have been spotted in shops in the Joburg CBD, Pretoria, Durban, Cape Town and Nelspruit. Coetzee is regularly sent images from staff members and clients who spot fakes. “It’s so heartbreaking because in the beginning it was one or two but now it's at a point where it's almost everything I do that they copy a season later. The most recent thing that they've copied is the knit dress that I did in December. We put so much love in the way the government fits, the way the fabric feels and then it's kind of like a slap in the face if somebody thinks they can slap a logo on something and sell it. That’s not what the brand is about,” Coetzee said. 

Amanda Lotheringen of the Companies and Intellectual Property Commission (CIPC) says the trade of counterfeit and pirated goods is a global epidemic that continues to grow at an alarming rate. In a report Lotheringen compiled in April she says counterfeiting not only jeopardises investments in creativity and innovation but also undermines recognised brands. “Counterfeiting poses a grave threat to our economy, undermining the integrity of genuine brands, damaging consumer confidence, and depriving legitimate businesses of their rightful revenue.”

A 2021 report on illicit global trade trends by the Organisation for Economic Co-operation and Development and the EU Intellectual Property Office states that counterfeiting and piracy are a multibillion-dollar industry. Studies show that international trade in counterfeit and pirated products amounts to over $500bn (R9.3-trillion) and is estimated to make up more than 3% of world trade.  

The report says counterfeiting and piracy pose significant threats across numerous industries. Fake items are prevalent among consumer goods like clothing and footwear, products such as spare parts and pesticides, and luxury items like designer fashion and high-end watches. Many counterfeit products, particularly pharmaceuticals, can pose serious health, safety, and environmental hazards. This risk extends to fake food, cosmetics, toys, medical equipment, and chemicals. 

Although counterfeit and pirated goods are produced in countries around the world, China is the leading source. Counterfeit items often travel through complex trade routes, taking advantage of intermediary transit points. Many of these transit economies, including Hong Kong, Singapore, and the UAE, are highly developed, affluent, and serve as major international trade hubs. Studies conducted by the CIPC found South African counterfeit and piracy trends to be similar to those globally. In a report on the impact of counterfeiting on jobs and investment, it estimated that the counterfeit industry in South Africa was valued at R362bn.  

“This nefarious trade not only siphons off substantial revenue from legitimate businesses but also poses as a significant deterrent for bona fide enterprises contemplating a venture into the South African market. The ramifications extend beyond mere economic figures; the counterfeit trade in South Africa is linked to organised crime, providing a fertile ground for malevolent activities, including drug trafficking and terrorism,” said the CIPC report.   

Another organisation working hard to promote local brands is Proudly South African, a NPO that aims to increase local production and influence consumers to buy local to stimulate job creation. Chief marketing officer Happy MaKhumalo Ngidi said the ripple effect of counterfeiting in the clothing, textile, footwear and leather industry results in a loss of revenue and jobs. 

She noted that the sector is labour-intensive and its extensive value chain contributes significantly to job creation. Counterfeits undermine this. 

“It is a no-brainer that this industry is among the hardest hit in South Africa as a result of the influx of counterfeit goods and an estimated R4bn is lost in revenue in this sector. That is a lot and that is tragic. Typically it is organised crime syndicates we are supporting — these are the suppliers to the informal traders — but if we refuse to buy counterfeit goods we can get rid of these syndicates in the long run,” Ngidi said.  

The national counterfeit and illicit goods task force conducts regular operations in an attempt to clamp down on the sale of counterfeits. The task force includes SAPS members, officials from SARS and security companies. It conducts regular raids on notorious hotspots where counterfeit goods are sold. The areas of concern are Jeppe Street in the Johannesburg CBD, Cape Town’s Bellville Station, Durban CBD and Marabastad in Pretoria. 

In April a raid in Joburg saw the team confiscating goods worth R11.8m and the arrest of 37 people. Police reported that in March that another operation in the Joburg CBD seized 11,000 counterfeit items worth more than R9m. Earlier this year task team confiscated fake clothing, watches, and other items worth an estimated R5.1m in Bellville. In March, the team seized more than R8m worth of counterfeit goods in Rustenburg, in the North West.    

The Counterfeit Goods Act 1997 aims to protect intellectual property rights, prohibit the trade of counterfeit goods, and prescribes stringent penalties for those caught dealing in counterfeit items. First-time offenders can be fined up to R5,000 per fake item or imprisoned for up to three years. Repeat offenders face even steeper penalties, with fines up to R10,000 per item or a prison sentence of up to five years. 

Despite the task team’s best efforts, Coetzee continues to spot fakes in China Malls across Joburg and in Pretoria’s Marabastad. Coetzee said the fakes are manufactured in China and sold in bulk at these hubs.

“You can see the difference between the fakes and the originals. But still, there's people walking around with my name that they did not pay for, and that I took 14 years and millions of rand to build. That is what's upsetting me. What helps is that now people are aware there are fakes and the only way we can remedy it is with the holographic tag inside every garment,” Coetzee said.  

Preparing to launch his handbag collection, Coetzee said that in addition to adding a special holographic tag to his clothing he’s making sure he creates bespoke items that are difficult to replicate.

“With my handbags, shoes and sunglasses it’s important for me to find aspects of the designs that are difficult to copy. So I’m constantly reinventing the wheel, every season. Every season I have to change designs. I designed this complicated emblem that will come on all my bags, even the zips are complicated to knock off. We must make it harder for these syndicates to copy,” Coetzee said.  

These counterfeit versions, made with inferior materials and subpar craftsmanship, pale in comparison to the originals they attempt to mimic. As these fakes flood the market, Coetzee's commitment to authenticity and excellence remains unwavering, underscoring the true value of original craftsmanship in an industry increasingly plagued by imitation.