With Counterfeiting on the Rise, Brand Security Plays a Vital Role to Both Large and Small Brands

According to the Counterfeiting Intelligence Bureau of the International Chamber of Commerce®, counterfeiting is one of the fastest growing economic crimes of modern time. Once a cottage industry, counterfeiting has become a sophisticated network of organized crime, accounting for 5 to 7 percent of world trade, worth an estimated $600 billion a year.

Until relatively recently, the black and grey market economies did not pose a significant threat to brand owners. The black market operates illegally outside government-sanctioned channels with the buying and selling of goods and services, while commodities in the grey market are distributed legally, but through channels that are unauthorized by the original manufacturer-commonly referred to as diversion. Customers who would frequently shop in one of these two markets now have the ability to browse the Internet for the same products, posing an even deeper threat to a brand’s reputation and integrity, impacting the world’s biggest brands and smaller brands alike.

With the growth of global brands and the Internet, brand owners face threats from counterfeiters and brand pirates who are attempting to generate large profits by illegally producing credible look-a-like products to sell at deeply discounted prices. Brand owners are being forced to take a closer look at their supply chains and police the whereabouts and authenticity of their products at all times.

In the past, such luxury and high-end goods as designer clothes and accessories, spirits and perfumes, were most likely to be counterfeited. However, times have changed with technological advancements in digital imaging, cameras, scanners, artwork software, color and inkjet printers, aiding counterfeiters and brand pirates to generate a profit from any branded item-pharmaceuticals, electronics, software, cigarettes, hardware and food items like baby formula. Even automobile and aircraft parts are being counterfeited. It has been reported that the majority of counterfeited goods are coming from China, North Korea, Taiwan, India, Russia and parts of Africa.

Pharmaceutical counterfeiting has led to extreme outcomes, including consumer fatalities, which illustrates the importance of brand security. The Food and Drug Administration saw an 800 percent increase in the number of new pharmaceutical counterfeit cases between 2000 and 2006. According to The Lancet*, the world’s leading general medical journal, counterfeit pharmaceuticals will generate $75 billion in revenues in 2011, a 92-percent increase from 2005.

Taking a Defensive Stand
Diversion, pirating and counterfeiting not only have a negative impact on the revenues and profitability of legitimate companies, but they also impact the credibility and reputation of a brand. Counter measures against these practices must be taken throughout the supply chain-from the brand owner, supplier and distributor to the wholesaler, retailer and ultimately, the consumer.

It’s crucial that brand owners stay attuned to brand security in today’s market and become familiar with the array of available anti-counterfeiting solutions. Ignoring the importance of brand security is not an option, because once the damage is done, the cost to repair it can be far in excess of what it would have cost to prevent it from happening in the first place.

To ensure their customers only receive the highest quality and safest products, brand owners have a broad range of anti-counterfeiting solutions at their disposal to protect their brand positioning and brand promise.

It’s recommended that brand owners ask themselves the following questions before implementing a brand protection strategy:

1. What level of security-low, medium or high-do we want to build into our packaging design?
2. Do we want to check for counterfeiting at the shelf or at the warehouse? Do we want our customers to be able to check for counterfeiting at the point-of-purchase by using a visible authentication feature?
3. How much do we want to invest in brand security?
4. How are we going to ensure consistency of our brand security on a global level?

Pressure-sensitive technology is versatile. It enables intricate designs and complex die-cuts, creating labels that jump from the shelf. But even more so, the array of materials, when combined with special printing techniques, can become a metaphor for the product itself.

Layered Protection
With threats to brand security rapidly growing, the need to differentiate fake products from genuine ones is increasing, as well as the need for more advanced authentication technologies that thwart counterfeiters. However, it’s important that brand owners understand that even the most sophisticated anti-counterfeiting solutions on their own cannot prevent counterfeiting 100 percent, but can signal an alert when a threat exists and thereby encourage action to be taken.

In recent years, anti-counterfeiting measures have become increasingly complex and bolstered by the installment of different layers of security. Many of today’s technologies are used in conjunction with other security features that work in concert to heighten the overall level of protection. For example, a low-level of anti-counterfeit technology that is visible to the consumer is combined with a high-level security feature containing a covert or forensic technology. The more layers of security a brand owner applies, the more difficult it becomes for their brand to fall victim to counterfeiting, pirating or diversion.

The most common anti-counterfeiting technologies employed by brand owners include:

1. Overt technology: This level of protection is visible to the naked eye, and allows the brand to be authenticated without the need of a special inspection tool. Overt technology offers only basic protection against counterfeiting, whereby:

a. Devices can include, but are not limited to:

i. Customized security papers-watermarks, paper color or visible fibers embedded in the paper.
ii. Security threads-threads are embedded in the paper and are made of a film, making a label hard to copy.
iii. Two- or three-dimensional holograms-standard holograms are used mainly for decorative purposes, but customized holograms can be powerful tools in security applications.
iv. Tamper-evident films, paper and voids-destructible/frangible films, papers and void materials show destruction upon tampering. Void labels leave a customized “VOID” alpha numeric or geometrical-shape message on the substrate when the label is removed.

2. Covert technology: The security device is not visible to the naked eye, but can be detected by a low-cost inspection tool, such as an UV light, magnifying glass or plastic film overlay. The type of tool depends on the specific protection technology used. Covert technology is an advanced level of protection with hard-to-copy security features and some level of personalization:

a. Devices can include, but are not limited to:

i. Customized security papers-UV luminescent fibers embedded in the paper, chemical protection or verification with a special reactant pen.
ii. Non-visible security threads. Customized security threads can contain ultraviolet (UV) reflection and microprints.
iii. UV prints-various colors and designs can be printed in the laminate of a facestock or liner. Standard and customized UV prints are available.
iv. Infrared (IR) taggants-can be applied randomly in the paper, a self-adhesive laminate or in a custom spectrum that works as a unique signature. IR readers can be tailored to match the custom spectrum, giving off a signal when the right taggant percentages are detected. Uniquely encoded, IR taggants are virtually impossible to duplicate.
v. Inorganic taggants-can be added to inks, coatings, varnishes, adhesives, plastics, etc. Authenticity is confirmed using a special reader that gives off signals when a particular taggant is detected.

3. Forensic technology: These security devices are not visible to the naked eye, are hidden within the product and require laboratory analysis for authentication. Forensic technology is the highest level of protection from unique and personalized security features:

a. Devices can include, but are not limited to:

i. DNA taggants-microscopic or nano materials that are uniquely encoded for a brand. Provides a forensic chain of evidence that is trusted by police and recognized by courts globally. Large botanical DNA is acquired and then segmented, shuffled and reassembled to form a unique secure signature DNA marker that becomes patented technology. DNA taggants cannot be counterfeited, digitally copied, scanned or re-engineered.

To effectively deploy one of these technologies requires close collaboration between the brand owner and technology supplier.

Brand security is an investment that directly impacts the bottom-line for a consumer packaged goods company. It does this by protecting the brand from counterfeiting and diversion. And it also protects the brand owner from potential liabilities should a counterfeit product result in a consumer injury. Due diligence to protect your brand is a vital strategy that cannot be overlooked.

How to Create a Successful Marketing Video For Your Business

When it comes to creating videos for a small business, I typically find there are a couple of common thoughts going through the minds of most company owners.

1) Is video marketing really going to produce the results I want for my business?

2) How much time and money am I going to have to invest into creating a marketing video?

These are both very good questions and before getting into something like video marketing, you as a business owner should have a thorough understanding of exactly what you are going to get out of the process.

These uncertainties also boil down to a series of sub-questions. For instance:

  • How much money is this going to cost me?
  • Will I have to appear on camera?
  • How do I know I’m not getting ripped off?
  • How much time will this take and how much of my day is going to be interrupted?
  • Will anybody actually watch my marketing video?

With all of this in mind, it’s no wonder that just about anybody would have to think twice before deciding to go forth with something as uncertain as video marketing! What it also means is that you should be as informed as possible about the video production process and know what competencies to look for when hiring a video marketer.

Here are a few things to consider.

First, successful video marketing is about a lot more than just putting together a nice flashy final product. In fact, having something that looks nice and flashy shouldn’t even be one of your primary concerns. Yes, having a professional looking final product is important but there are certainly other things you should be more concerned about. After all, if you have the absolute best looking video in the world but nobody watches it past the first ten seconds, how much value is it really delivering?

An excellent marketing video follows this process:

1) The video marketer(s) learn everything they can about your company.
2) The highly engaging script for the video is written.
3) The actual marketing video is created using visuals, voice-overs, animations and/or live footage.

Here is a summary of the process.

Learning about your business
In order to be effective, the video marketer must learn as much as they can about your business. Starting with questions like, who will the video actually be selling to? Who makes up your target market? What terminology does this demographic understand? The video script must be written in a way so that it speaks directly to these prospective customers.

Next, the video marketer must learn about your business entirely. What makes you unique? What problems do your customers come to you with? How do help them?

In order for the marketing video to be effective, it must be relevant to you and your company. This valuable information can only be obtained through in-person or phone meetings. Simply filling out a questionnaire cannot provide the video marketer with enough information to do a good job.

Writing your video script
Next, before any filming, animations or other work is done – the most important part of your video has to be created.

The sales script.

And yes that’s right – not just ‘the video script’. This highly engaging script must be designed to do two things specifically.

  • Grab the viewers attention and hold it for the duration of the video.
  • Convince them to take some sort of action after watching the video.
  • One without the other simply isn’t good enough. This is where many marketing videos fall apart and where business owners start to wonder if investing their time and money into a marketing video really was a good idea, because their video is not achieving either of these.

    Make sure your video marketer knows how to do both of these things when inquiring about script writing.

    Producing your marketing video
    Finally, after a satisfactory script is agreed upon by both parties, your marketing video can start being created. The great thing about technology in today’s age is that your entire video can be created without a camera ever having to be pointed in yours, or anyone’s direction.

    In fact, your entire marketing video can be created using screen capture software such as Camtasia with the image part of the video being nothing more than a colourful PowerPoint or Keynote presentation.

    Of course, your video can also be a combination of this and live footage.

    Overall, as long as you follow these three things, your marketing video is much more likely to be successful. The most important item to remember, is that you do not want your video to be a commercial all about you and your company. Make it about your customer instead. After all, they are coming to you because they want help solving their own problems. So let them know exactly how that is going to happen.

    Why Branding Is Most Is Important In Building A Business

    Branding is one of the most important part of starting a new business. Creating a unique branding for the business will enhance and support the marketing strategy. A company or business can create a huge difference in the minds of its prospects and audience by creating a powerful branding for it. Branding can be explained as the overall image of the brand including its logo, graphics, promotional materials and customer service. Powerful positioning will capture the interest and attention of wide audience and mass interest.

    When creating a branding there are lot of factors that needs to be kept in mind like the company’s image and promise towards the customers. This stands for the company and its products with its promises which in turn build up trust and loyalty among its clients and public. The major part of a marketing strategy is creating an impact on the audience and creates a memorable existence in their mind for the company and its business.

    A branding can be successful only if the branding is done with the target audience in mind as well as their culture and understanding of the concept. It should complement the marketing plans so that it will help return in more sales and profit. It should have a main purpose in promotional and marketing requirements. The branding is very important part of the business and a lot of care has to be put in during the initial period when creating the branding and later in maintaining its position and image in the market. Positioning the brand in the market is important and can be done only though effective branding.

    When the audience watches your brand through the promotional materials like flyers, brochures, advertisements the branding gives them an idea, impression and image of your business or the company. The more the branding quality is the more trust and likely it is to be trusted as an established or powerful brand. When using branding in promotional mediums like social networking websites, company websites, leaflets and business collaterals the branding is communicated very evidently and thus establishes its position in the market.

    The logo stands for the structure of your business and its nature. The customers should feel the branding through the service or product provided by the company which is why it is said that a good branding is not just graphics experience for the audience but actual service and product experience. A good branding can help a company in promoting its services or products only if it can compliment a good service from the company.