$1.77 trillion was lost to counterfeit and pirated goods globally in 2015, according to an estimate issued by International Chamber of Commerce (ICC) . Besides, brands suffer from negative impacts such as brand image damage and loss of customer confidence due to lower customer satisfaction and consumer health hazards from inferior counterfeit and pirated products.
The proliferation of e-Commerce has forced brand owners to look beyond traditional brick-and-mortar stores for cost-effective means to reach out to more customers; however, brand owners’ control of the distribution channels for their products is being seriously challenged due to the same reason. Therefore, to overcome these challenges, a manufacturer or brand owner should tap on the right technology to provide their consumers with a tool for confirming the authenticity of their purchase anytime and anywhere. According to MarketsandMarkets, more manufacturing companies are using anti-counterfeiting technologies; it is predicted the global anti-counterfeit packaging market size will reach $153.95 billion by 2020 from $82.05 billion in 2015.
“Digital identity technology is reshaping the landscaping of anti-counterfeiting solutions,” says Mr Ivan Lee, Business Strategy Director of i-Sprint Innovations, a recognized worldwide leader in Identity and Access Management technologies. “Leveraging different form factors such as QR code, RFID, memory tag, a unique identity can be applied to every single product. Just like the case of a human, a secured identity assures that a product’s information such as manufacturer, ingredients, date of production, expiry date, is accurate and its life cycle can thus be properly tracked. On the other hand, companies should evaluate and choose a solution that not only provides an anti-counterfeiting or a traceability capability; it should also look at how the same solution may be used to engage their customers directly and generate valuable market insights.”
Key criteria for choosing a right solution with anti-counterfeiting and/or anti-diversion features