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‘Gut punch’: Spotlight accused of copying small business Craft Club’s bestseller

The well-known Australian retailer has been accused of creating an item that is identical but selling it for almost $70 less.

Thursday, June 6 | Top stories | From the Newsroom

A small business owner, who has previously accused major Australian retailers of “ripping off” her products, was “shocked” to discover Spotlight has allegedly released an almost identical copy of her bestseller last week.

Nakisah Williams set up her brand Craft Club in 2021, launching a popular rug making kit that was copied by stationary brand Typo, which is owned by Cotton On, just months after it was released.

Now the 28-year-old is being forced to call out another big retailer for “borrowing” heavily from the popular design and selling the product for a fraction of the price.

Craft Club's social media posts showing the Spotlight product on the left and their original design on the right. Picture: Instagram
Craft Club's social media posts showing the Spotlight product on the left and their original design on the right. Picture: Instagram
Nakisah Williams set up her brand Craft Club in 2021 and in June of that year launched her rug making kit. Picture: Supplied
Nakisah Williams set up her brand Craft Club in 2021 and in June of that year launched her rug making kit. Picture: Supplied

Ms Williams said two customers, including one who works at Spotlight, tipped her off about the alleged copycat product and even wondered if she had been collaborating with the well-known craft supplier.

“It didn’t take long for me to find it online and confirm it was identical. It was a real gut punch. I felt my heart sink as it was so clearly meant to replicate ours. The Spotlight one has been so shocking as it such a clear copycat in every single element down to the colours and designs,” she told news.com.au.

“I admire Spotlight a lot. I have shopped there for many years as a crafter and I hoped one day if I grew enough to be stocked there, so to have that happen is a harsh thing for a small business.”

When she visited a Spotlight store to see the alleged copycat product it was even more “shocking”, she added.

She has made a name for the brand with the niche type of craft she offers. Picture: Supplied
She has made a name for the brand with the niche type of craft she offers. Picture: Supplied

The small business owner said her Craft Club original, which is called the ‘Check Me Out’ design helped to “catapult” her brand into a new realm and make its mark in the craft world.

“What was also frustrating is a lot of these big retailers undercut pricing as well. We make sure our kits are really high quality, it’s a rug and it’s all stitched with zips and the backing on and these processes cost more money,” she explained.

“When customers shop with us, they know they can create something quality. The Spotlight dupe is just a printed design and yarn so a customer still needs to do more once it’s done to turn it into something useful, whether it be a wall hanging or rug, and that’s what sucks for us as they can sell it for a much cheaper price.”

The kit released on Spotlight's website. Picture: Supplied
The kit released on Spotlight's website. Picture: Supplied
The product Spotlight released. Picture: Supplied
The product Spotlight released. Picture: Supplied
The Craft Club original design called Check Me Out. Picture: Supplied
The Craft Club original design called Check Me Out. Picture: Supplied

She added the price between the two items was a “really big difference” as the Spotlight product was selling for $20 compared to $89 for her Craft Club kit and this was particularly hard given the current economic climate.

“Obviously as a small business, especially in the current economy, it’s a really hard thing. My immediate thought was what if my customers see this and go ‘Wow what a cheap alternative’ and ditch us and go to Spotlight – that was my real fear,” she said.

“The retail environment is very scary and we are hearing news about customers spending less and left, right and centre we are hearing of small businesses shutting down, so that was my predominant fear.”

Ms Williams said she felt it was necessary to share what was happening on social media with her community to “make it known it’s not a collaboration as that puts our brand in jeopardy”.

She is urging big retailers to “support creative businesses and lift them up rather than stealing from them”.

After she called Spotlight out online, some of her customers posted comments on the retailer’s social media which were initially removed by the big brand and later reinstated, she claimed.

Craft Club's social media posts. Picture: Instagram
Craft Club's social media posts. Picture: Instagram

A Spotlight spokesperson said it takes intellectual property rights very seriously and are looking into how they were supplied with this product.

“In the meantime, we have removed this product from our website, and are actioning a recall of our shop floors and will not be repurchasing the product for our stores,” they said.

“We have reached out directly to Nakisah from Craft Club to discuss the matter further.”

The Sydney woman said she also had an incident with Bunnings in November last year.

“I found out in the same way, because one of our customers spotted the rug kits in their stores first. They had two designs, one that was very similar to our ‘Fast Lane’ tote bag kit, and another that was very similar to our ‘Psychedelia’ rug making kit,” she said.

“After sharing the issue on our social media, Bunnings responded within a few days and apologised to me over the phone. They then recalled the kits from their stores.”

News.com.au reached out to Bunnings for comment.

Bunnings released these rug kits back in November. Picture: Supplied
Bunnings released these rug kits back in November. Picture: Supplied
Craft Club's ‘Psychedelia’ rug. Picture: Supplied
Craft Club's ‘Psychedelia’ rug. Picture: Supplied
Nakisah Williams set up her brand Craft Club in 2021 and in June 2021 launched her rug making kit. Picture: Supplied
Nakisah Williams set up her brand Craft Club in 2021 and in June 2021 launched her rug making kit. Picture: Supplied
Nakisah also had a brief issue with Bunnings. Picture: Supplied
Nakisah also had a brief issue with Bunnings. Picture: Supplied

Ms Williams said she wants to see other small business calling out retailers for borrowing heavily their creative work.

“I hope to encourage other small businesses to do the same thing as working in a creative space I have seen it happen to others brands with being copied, it’s almost the Shein effect of dupes, in art and craft,” she said.

“It’s becoming more and more common as the craft space has been growing so fast since Covid but through calling them out it means other small businesses may do the same and they are protected too – that’s the real goal here.”

sarah.sharples@news.com.au

Original URL: https://www.news.com.au/finance/business/retail/gut-punch-spotlight-accused-of-copying-small-business-craft-clubs-bestseller/news-story/bcae86c38f30f797224f89c9f0fa7bae