Security matters

Counterfeiting is a significant threat. On the credit side, there are many sophisticated anti-counterfeiting and brand protection features for integration with labels, seals, printed packaging, or on the product itself. The use of industry-standard barcodes and variable numbering with encrypted information is now commonplace, including with multi-layer holograms.

There is also more emphasis on making product verification clearer and easier, such as using smartphones with cameras to scan 2D QR codes or using wireless-based NFC (Near Field Communication) verification systems.

Nevertheless, industry experts note that the total value of security products and services remains at just one percent of global financial losses. It seems many brand owners recognize the problem, but cynically factor in their potential losses, ignoring the other concerns, such as the loss of manufacturing jobs and the potential health and safety risks that may arise.

The highly fragmented nature of the brand protection industry does not help.