The myth and legend of the fake Rolex and other fake watches abound in popular culture, the media and the internet. We’d like to counter that saying “Fake watches are for fake people”. We’d prefer to say, “There are no fake customers, only real customers”. Or, “There is no fake demand, only real demand for the fake watches”. That is to say, people are the source of the demand for the fake watch industry. Without the support of the people, the replica watch industry would not exist.

Rolex dealers have complained about peddlers of fakes selling right on their doorstep. Law enforcement complains that they have no resources or trained personnel to handle the fakes. Well, that is the smaller law enforcement communities that are complaining. The larger communities, and the industry, have decided to take on the fake industry. In 2009 National Jeweler reported the trade in fake watches to be about $ 1 billion – and growing. A large seizure of fake goods seized in LA in 2009 had an estimated value at just over $ 10 million.

Those are impressive numbers, but that was only one seizure. That’s about one millionth of one percent of the total fake watch output for one year. With about 2500 major cities in the world, one seizure like that per city can only remove about 6% of the total fake watch output. That’s in one year only. And that is a wild estimate by far.

Again, some of the law enforcement community is complaining about the inability to keep up. But, outfits like Louis Vuitton are closing up some of the larger fake shops. We suspect that a dozen more will pop up to take their place. Why? Because it gets back to that demand for the fake watch – or rather the low cost one that the average person can afford. That fake Rolex – is it a good deal?