Brand protection solution

21/02/2022

Product counterfeiting is taxing for businesses and brand credibility. Many promising brands have lost their strong presence and years of hard work because of the availability of a fake version of their high-end products.

Counterfeiting has been a global issue now! It captures 3.3% of global trade impacting social and economic development across the world, the OECD data reveals. It also stated that fake and counterfeit products have grown by 80% in the last ten years. The industries such as FMCG, alcohol, pharma, documents, agriculture, infrastructure, automotive, tobacco, lifestyle, and apparel are most impacted by counterfeiting practices.

Why does counterfeiting continue to thrive?

The consumer looks for branded products. The easy availability of the top brands online with the bloom of the e-commerce market has given counterfeiters a fair chance to exploit these opportunities. They are also becoming proactive and technologically advanced to duplicate branded products successfully.

Considering the consumer side, they need to be educated and well-informed about the latest brand offerings enabling them to make an informative decision. They don't usually know the product's security features, so it becomes easy for the counterfeiters to cheat them!

Economic and political factors are also responsible for the rising counterfeiting practices. Many countries still don't have strict laws and powerful solutions to address this concern. What are the outcomes? Brands and consumers are facing the severe consequences of the easy accessibility of fake products.

Some riveting case studies of counterfeit products

It takes years of research, hard work, and innovation to build brand reputation. What does a counterfeit product do? Put these consistent brand efforts into jeopardy! It not only attacks the name of a known brand, but brings harmful, and sometimes fatal, consequences to the unsuspecting consumer.

Products like automotive parts, electronics, safety equipment, prescription drugs, and cosmetics have always been a target of counterfeiters. If consumed, they bring potential threats to public safety and public health. Let's understand the destructive consequences through some case studies:

  1. Fake airbags and components can lead to severe malfunctions leading to non-deployment, under-inflation, hyper-inflation, and the explosion of metal shrapnel during deployment in a crash.
  2. Fake lithium-ion laptop batteries create a risk of extreme heat, self-igniting, and exploding.
  3. Counterfeit helmets and baby carriers are easily breakable.
  4. Fake medicines and drugs don't contain the active ingredient or even lead to accidental overdose if consumed continuously.
  5. Counterfeit cosmetic products can cause severe skin infections and allergic reactions.

Like these, other industries are also facing massive losses because of the wide presence of counterfeit products.

Ensuring product authentication is going to be the biggest challenge for the brands

The scale of counterfeit operations is rising rapidly! With the latest advancements, counterfeiting practices are also evolving. Since counterfeited products look exactly like the original ones, it is becoming challenging for consumers to differentiate real ones from fakes, regardless of the quality. If brands don't take preventive action today, they will fail to guarantee authentic products to their consumers.

If these counterfeit products don't go through stringent quality checks and are manufactured with toxic materials, the consumer's health is severely impacted. Once they receive a fake product, their trust in the brand fades forever. In the end, it's the brand that has to face the consequences of counterfeit products.

To be one step ahead of counterfeiters, businesses need to implement brand protection solutions. Powerful and advanced digital brand protection solutions that can detect the presence of counterfeit products and eliminate them from the supply chain processes give brands an unbeatable level of security. If done right, they can guarantee product authenticity to consumers.

Speed {IT} powerful brand protection solutions

With industry expertise, years of experience, and industry exposure, Speed {IT} delivers the most advanced brand protection solutions to its clients. With our digital solutions, brands can overcome counterfeiting with expertise. Connect with us to get more insights about our offerings.