Fast and reliable authentication of genuine products is essential to safeguarding critical revenue, preventing brand identity erosion, protecting public health and safety, and maintaining consumer confidence.
A recent report by the U.S. Department of Homeland Security (DHS) cited research from the Organisation for Economic Co-operation and Development (OECD) showing that the value of counterfeit goods traded internationally has increased by 154 percent between 2005 and 2016, from $200 billion to $509 billion. Globalization and ecommerce have made a nearly infinite variety of goods and services available at the click of a mouse. At the same time, bad actors are becoming more sophisticated. It’s estimated that by 2022, counterfeit goods will displace more than $1 trillion in global sales from legitimate companies.
Along with addressing the distribution of counterfeit goods at the systems level, physical security features are essential. Technology-enabled physical security solutions can be used effectively to authenticate pharmaceuticals, electronic and automotive components, apparel, food and spirits, and other high-end consumer products. Effective physical security solutions - from both a security and brand protection perspective - combine overt, covert and forensic security elements that are tamper-resistant and resist counterfeiting. Consumers are able to rely on physical security features to quickly discern legitimate products from counterfeit ones that may pose a risk to them or their families. Brand owners benefit from multi-layered security features that support consumer engagement, supply chain controls and investigation and enforcement efforts.
You can read more about SICPA’s new anti-counterfeiting product security labels in Labels & Narrow Web, here.