StockX Suspended Sale of $30M Worth of Fake Inventory — Retail Bum

Sneaker resale platform StockX suspended the sale of $30 million worth of knockoff shoes on its platform last year.

In the company’s “Big Facts: The Verification Report,” StockX revealed that the company overall rejected close to $90 million worth of products that failed to meet its verification standards and vetting process, pointing to the rising counterfeit problem in the industry.

One of the key problems that led to the high volume of rejections was faulty manufacturing, which accounted for 27% of the products in question. Meanwhile, fake products came in second at 20%.

The analysis found that counterfeiters are no longer just targeting high-value products but are now also focusing on high-demand and low-priced products.

“I am proud of the global team we’ve built and our commitment to helping millions of customers secure the products they love at the right price,” said StockX CEO Scott Cutler.

“Knowledge is power, and this report offers visibility into our verification process and our efforts to deliver a best-in-class experience to buyers and sellers around the world.”

According to the Organization for Economic Cooperation and Development, the counterfeit industry has grown to a stunning $500…