In Vietnam, counterfeit goods shake consumer trust

Despite crackdowns on smuggling and counterfeiting rings following strong directives from the prime minister, the marketplace remains a confusing blend of genuine and fake products.

Disillusioned consumers turn away

Considering herself a savvy shopper, Kim Ngan, a 24-year-old resident of District 12 in Ho Chi Minh City, shared that she would inspect products thoroughly, relying on not just brand promises but also reviews and trusted endorsements from well-known influencers.

She used to trust the opinions of reputable key opinion leaders and key opinion consumers, but that trust is fading fast, she said.

"Every day, there is a new scandal involving influencers promoting fake or substandard products,” she said.

Kim Chung, a 33-year-old resident of Thu Duc City in Ho Chi Minh City, said that her confidence in the marketplace was shattered after learning about a counterfeit rice trading ring.

"I was horrified to see fake rice bags that were identical to what I had in my kitchen,” Chung said.

“This fake rice might have made its way into many markets, even supermarkets. 

"I can’t help but worry whether I have unknowingly eaten it before."

Chung reflected on how consumers have long placed their trust in seemingly official markers: packaging, QR codes, familiar faces in ads. 

Now, even these are proving unreliable.

Counterfeit crisis hits businesses hard

The spread of counterfeit and grey-market goods is not only confusing consumers, but also taking a heavy toll on enterprises.

Minh Hung, 55, who has been running a small pharmacy in District 3, Ho Chi Minh City for over a decade, said that keeping track of supply sources has become increasingly difficult, especially for high-value products like supplements, which are often targets for sophisticated forgeries.

“The market is so complex now. Even with years of experience, I can’t always tell what is real," he said.

“It is a constant worry."

Hung added that like many small pharmacies, his business relies on customer trust.

A director of a cosmetics supermarket chain in Ho Chi Minh City echoed this concern, sharing that the influx of untaxed, unregulated, hand-carried goods is distorting price expectations.

“We constantly have to explain why our genuine products are more expensive than what is being sold online or in unregulated shops,” the director said.

Counterfeiters pay no taxes or adhere to no safety standards, so they can lower prices, but their action is damaging the whole market, explained the director.

The head of the cosmetics division of a major retail chain attributed the persistence of counterfeit goods to three key factors: unscrupulous sellers willing to sacrifice ethics for profit, lax enforcement and weak penalties, and a portion of consumers still prioritizing cheap prices over verified quality.

Even some influencers and major brands have been implicated in promoting or selling questionable goods.

Food industry struggles in storm of misinformation

Ly Kim Chi, president of the Food and Foodstuff Association of Ho Chi Minh City, said that the food sector is under unprecedented media pressure owing to the proliferation of misinformation and deceptive marketing, which is sowing widespread public doubt.

Nguyen Thanh Dao, president of the Ho Chi Minh City Advertising Association, warned that unchecked advertising and the spread of misinformation by influencers and anonymous accounts are triggering a dangerous chain reaction.

“This is a crisis of trust rather than a media crisis about product quality,” he said.

“If companies are not quick to respond, they risk being completely wiped out."