I think it comes down to semantics and image. If you are an enthusiast and collector of the genuine pieces, then you will be more inclined to call our watches fakes. If you collect our kind of watches you will be more inclined to call them replicas. On both sides some of this is self justification.
Looking at the dictionary meaning of the words:
Replica - an exact copy or model of something
Fake - not genuine, imitation or counterfeit
Well if we are totally honest with ourselves, we all know both terms apply to our watches. Those with an interest in reps will tend to favour calling them replicas, while those who despise them will prefer to call them fakes. Actually I don't much care. I find this a fun hobby and while I accept there are likely some distasteful practices in the business of manufacturing and supplying them, I do not believe it is either unforgivable to buy them, nor that the business is much worse than many totally legitimate businesses.
For a long time now if asked out of the blue about my watch by someone I don't know, which is very rare, my stock answer if someone says a "nice watch" is a simple thank you. If they ask anything more I am most likely to say "it's a fake mate" whether it is or not. I don't really care what anyone else thinks about my watch, they are for my pleasure and I certainly don't want mugging and loosing the watch and possibly my arm.
Lighten up a little, be confident in yourself and your decisions and enjoy the hobby for what it is.
Enjoy your fakes (and gens) brothers