The Risks of ‘DIY’ Test Purchases

Test purchases - also known as secret buys - are a widely used, fundamental tool for Brand Protection and e-commerce teams seeking to confirm suspected gray market sales or counterfeiting. 

With 80% of counterfeit products being sold online, brands are under immense pressure to execute enforcement strategies swiftly.

On the surface, a secret buy seems incredibly simple: 

• Order the suspected item 
• Document the process
• Build your case

But in reality, the process is far more fragile and complex than it initially appears.

At Corsearch, we frequently see brands fall into the "do it yourself" trap. Driven by budgetary constraints, brands often assume it is cheaper to conduct test purchases in-house rather than hiring an expert partner. 

Unfortunately, without the necessary resources and experience this can often lead to critical and costly mistakes.

Here is why you should avoid DIY test purchases and how partnering with us ensures your evidence can stand up to legal scrutiny.

The Three Critical Failures of DIY Test Purchases

When inexperienced teams attempt secret buys, the process frequently fails legal scrutiny due to several critical issues.

Here are some of the main issues that come with conducting test purchases yourself: 

1. Compromised Anonymity 

Counterfeiters are highly suspicious and will frequently conduct their own due diligence on the people buying from them. The use of good aliases and security is absolutely necessary to ensure that purchases succeed and evidence is properly secured.

• When in-house teams use personal details - such as a personal credit card or home address - you run the risk of your company and personal information becoming publicly available if the case goes to court.
  
  
• If a test purchase is easily traceable back to a person working for your brand, the infringer may manipulate the process or simply refuse to send the item entirely, resulting in a failed purchase.

2. Risk of Entrapment 

Entrapment is a key issue that can inadvertently discredit the legal process due to a buyer's lack of experience.

• This occurs when a test buyer inadvertently asks a seller to commit counterfeiting.
  
  
• If a seller was not already selling or listing the infringing product, and the buyer's suggestion prompts the action, the seller can use entrapment as a legal defense.

3. Weak Chain of Custody 

A weak chain of custody means there is no integrity in every step of the process, including the failure to document exactly where evidence is located at all times.

• Unclear documentation and weak chain of custody processes quietly undermine strong infringement claims by creating gaps in the evidence.
  
  
• These gaps can lead to evidence being deemed completely inadmissible in court.
  
  
• Failure to properly log evidence - such as not documenting delivery details or failing to capture images of the correct website appearance - undermines the entire foundation of the case.
  
  
• More experienced counterfeit sellers will exploit these gaps, claiming the sample was purchased from the incorrect location, or arguing that they were hacked or experienced a technical error.

The True Commercial Cost of Failed Enforcement

The consequences of a botched DIY test buy extend far beyond wasted legal fees. 

The true commercial cost of presenting inadmissible evidence includes a lack of a proper outcome. This allows infringers to continue operating and provides them with confidence and a greater awareness of the process itself, allowing them to adapt and learn.

A failed action can also severely damage a brand on multiple fronts:

Exposing the Process

Failed enforcement actions can expose your methodology, making infringers more aware of how the system works and encouraging them to continue utilizing hidden channels and anonymous storefronts.

Reputational Damage

A legal case that fails - even if it was thrown out - can still become public knowledge. This damages the brand's public perception as well as its reputation within the Brand Protection field.

Severed Marketplace Relationships

Failed test purchase legal actions can also actively damage a brand's relationship with marketplaces. Chinese platforms, for example, require strict evidence of counterfeiting or gray market sales to remove listings. If a client consistently provides wrong or inaccurate information, the marketplace may stop trusting them, permanently damaging the relationship.

How To Conduct Effective Test Purchases

Corsearch completely differentiates itself from in-house or e-commerce teams by eliminating the vulnerabilities of the DIY approach. 

We provide the necessary foundation of evidence for any offline enforcement, including litigation and raid actions.

We secure your legal standing through:

• Absolute covert operations: We utilize unattached shipping locations, covert payment methods, and alias profiles to ensure no information related to Corsearch or our clients is ever provided to the seller.
  
  
• Ironclad chain of custody: We employ strong chain of custody processes that include signing evidence in and out, meticulously documenting, photographing, and securely storing all items.
  
  
• Global legal compliance: Through our partners in 190 different countries, we offer a truly global capability. This enables the delivery of items in different jurisdictions to meet highly specific legal requirements, such as targeting an action in New York.

Ultimately, test purchases are a fundamental tool used by nearly all clients but they often lack the infrastructure or expertise to guarantee results. 

When layered onto other services like online intelligence reports, Corsearch builds a comprehensive picture of a seller to gather evidence of infringement in a purposeful, secure way. 

Don't risk your brand's reputation and legal standing on a DIY approach - partner with Corsearch to ensure your test purchases are executed flawlessly.