Globally, counterfeit products enjoy a market share of nearly USD 200 billion. India’s economic impact due to counterfeits is close to USD 15 billion, with a suspected annual growth rate in the range of 20 – 25%. This menace has amplified exponentially during the pandemic and is expected to grow persistently owing to the prevailing situation. This is a double whammy for the organizations/brands – loss of revenues, on the one hand, reputation on the other.
Industries that bear the maximum brunt are usually from the manufacturing sector – auto, consumer goods, parts & components, after-market products, construction materials, equipment, tools, etc. End-users, obviously, also suffer.
With the ever-evolving and advanced copying/imitation technologies, doppelgangers and spurious product makers dump their goods into the market through unscrupulous channels often at highly lucrative prices, eating into the market share of original makers.
The biggest destruction is the fallen experiences of consumers who use/consume fake products inadvertently, causing unimaginable consequences for the brand. This is more so for unsuspecting/untrained eyes – a vast majority of gullible customers, that cannot differentiate between genuine and spurious despite 20% variation in product packaging / other attributes.
Companies take perpetual responsibilities of putting appropriate systems in place (vigilance squads, surprise checks, conviction, compensation, legalities, etc.). Such processes are mostly reactive or post-occurrence and long-drawn, involving tremendous amounts of time, money, and effort. Furthermore, it invariably demands the physical presence of personnel, which at times especially during pandemic/restrictions, is neither practical nor feasible.
A QR/code-based solution could potentially solve this problem. Quick Response (QR) is a code that contains several product attributes/details in an encrypted format. Products bearing/carrying an authentic QR (outside or inside the package) right from the place of origin (factories) can be scanned through appropriate mobile apps and instantly ascertained for its genuineness.
QR serves multiple purposes:
For more details on foolproof loyalty with embedded fraud-detection and preventive systems, please contact us at the coordinates below.