Rhode blocked: Beauty pop-up gets shut down amid questions over authenticity

Nishaat Slamdien, Associate, Spoor & Fisher

The pop-up

On or around the weekend of 16 March 2025, Beutessa, an alleged beauty reseller, hosted a pop-up store which exclusively sold Rhode-branded products.

Excited shoppers flocked to grab the coveted peptide lip treatments and pocket blushes, but the initial buzz quickly turned into a cosmetic catastrophe when social media sleuths began raising concerns.

Since Rhode does not officially ship to South Africa, local beauty enthusiasts have relied on international shipping services or overseas purchases to get their hands on authentic products. TikTok users wasted no time posting side-by-side comparison videos between genuine Rhode products and those purchased at the pop-up, highlighting packaging inconsistencies and the sale of discontinued limited-edition releases.

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Combined with the lack of an official announcement from Rhode, these discrepancies raised major red flags, prompting deeper scrutiny into the pop-up’s legitimacy and the authenticity of its products.

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Determined to uncover the truth of the cosmetic conundrum, TikTok detectives reached out to Rhode directly via email. The brand wasted no time setting the record straight, with a response that quickly went viral:

We can confirm that Rhode is not connected or affiliated with this shop in any way. Our only sales channels are rhodeskin.com, our verified Instagram Shop, and TikTok Shop. If you purchase Rhode from any other source, we can’t guarantee that you’re buying genuine products or vouch for their authenticity, quality, or condition. These products may not meet our standards – and in some cases, may be counterfeit.

As suspicion spread online, the Mall of Africa swiftly intervened, issuing the following statement to news outlets:

While the Beutessa pop-up was an exciting opportunity for shoppers to experience greater access to international beauty products, when due diligence documentation was questioned and found inadequate, Mall of Africa shut down the pop-up at Sook with immediate effect.

By the next day, the store had vanished, and a few days later, Beautessa shared this statement on their Instagram page:

Image supplied

Shoppers were left with nothing but buyer’s remorse and lingering questions on their (possibly counterfeit) glossed lips, wondering whether they had scored the real deal or fallen for a counterfeit product.

Aggrieved TikTok shoppers reached out to Beautessa for refunds and took to social media, claiming that refunds had apparently been issued.

If Rhode was not connected to or affiliated with Beutessa, what could the Rhode-branded products being sold by it possibly be?

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Parallel importation: Genuine products but no guarantees

In South Africa, businesses are entitled to sell genuine branded products without the brand owner’s consent – provided that consumers are clearly informed. These goods are known as parallel imports.

Parallel importation occurs when goods manufactured by or with the authorisation of the brand owner, intended for sale in one country, are imported into another without the brand owner’s consent. These products, often referred to as “grey goods”, are not counterfeit but are also not distributed by the brand owner or its authorised licensees. As a result, they do not come with the warranties, after-sales service, or quality assurances typically offered by the brand owner or its official distributors.

In South Africa, parallel importation is legal under the Consumer Protection Act (CPA), which explicitly requires sellers of grey goods to provide a clear and conspicuous notice stating that the products were imported, are distributed without the brand owner’s permission and that the brand owner’s usual guarantees do not apply.

If the pop-up was selling authentic parallel imports without the required disclosures, Beutessa may have breached consumer protection laws. Under the CPA, affected consumers have the right to return the goods, demand a refund, and lodge complaints with the National Consumer Commission (NCC). If the sale is found to be unlawful, the seller could face penalties, including fines or legal action.

Counterfeit Concerns: A risky beauty game

Counterfeit goods are unauthorised imitations of genuine products, bearing third-party trade marks or copyrighted packaging, without authorisation, to deceive consumers by mimicking authentic branding and appearance.

A key question with the pop-up is whether all the items sold were authentic. With counterfeit beauty products becoming more common, Beutessa could face criminal sanctions if it sold or attempted to sell any counterfeit goods. Consumers should stay vigilant, checking for red flags like misspelled labels, subpar packaging, or damaged seals to avoid falling victim to potential counterfeits.

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Trade mark infringement: Branding gone wrong

Trade mark infringement happens when a registered mark is used without permission in a way that causes confusion among consumers.

Trade mark rights are territorial, meaning they exist only in the country where the mark is used or registered. A search of the Trade Marks Register revealed that the Rhode trade mark does not appear to be registered in South Africa. However, if a trade mark is deemed to be "well-known", it can enjoy a measure of trade mark protection even if it is not registered in South Africa.

The Trade Marks Act allows owners of well-known marks to prevent the use or registration of identical or similar marks in South Africa if they could cause confusion or deceive consumers. In assessing whether a trade mark is well-known, consideration is given to the knowledge of the trade mark within the relevant public sector, including knowledge gained through the trade mark’s promotion.

Given the reputation of the Rhode brand in the beauty and TikTok sectors, it could qualify as a well-known mark, providing it protection under South African law, even if it's not registered here.

Passing off: Misrepresentation that leads to confusion

Passing off is a form of unlawful competition and comprises of an unlawful representation by one individual that its business is that of another or associated with another and that there is a reasonable likelihood that the public will be confused into believing that the business of one is connected with that of another. It is a remedy available to a plaintiff to stop another party from trading in a manner that will lead to consumer confusion within the plaintiff’s business or goods.

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In this case, the pop-up store was reportedly adorned with Rhode branding and marketing materials, including screens displaying advertisements of Hailey Bieber applying Rhode products.

Additionally, the store’s entrance sign alternated between the Rhode logo and that of Beautessa’s. The unauthorised use of the Rhode name and logo at the pop-up could mislead consumers into thinking the event was officially endorsed by the brand, creating doubts about the legitimacy of the products and eroding consumer trust.

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Who will gloss to victory?

If Beautessa used the Rhode trade marks without permission and/or misrepresented itself as being affiliated with Rhode, the brand could pursue legal action to:

• Obtain an interdict to stop the unauthorised use of the trade mark and prevent Beautessa from misrepresenting itself in a manner that creates consumer confusion;
  
• Order the removal of the infringing trade mark from goods and promotional materials, or, if inseparable, have all such material returned to Rhode in the US;
  
• Claim damages for any actual financial loss incurred;
  
• Alternatively, seek a reasonable royalty that a licensee would have paid for using the trade mark.

The verdict: A beauty pop-up with legal consequences

This matter underscores the importance of vigilance, both for consumers and for brand owners protecting their intellectual property.

For South African consumers, the allure of luxury beauty products not readily available in the country can be hard to resist, but it’s essential to distinguish between a genuine deal, a dubious counterfeit and an authentic parallel import.

For businesses, while parallel imports are genuine goods, neglecting consumer protection laws by failing to provide clear and conspicuous notices about the imported nature of the products can lead to costly complaints and significant reputational damage.

As for brand owners, staying vigilant is crucial – because in the world of intellectual property, authenticity goes beyond just appearances.

One thing is certain – whether Rhode products officially enter the South African market or remain an elusive beauty obsession, this pop-up serves as a stark reminder that intellectual property law is always in vogue. And when it comes to brand protection, there’s no room for shortcuts.