Companies invest a huge amount of time and money in creating objects of intellectual property, an important reflection of which, for example, are trademarks whose market value can be of the hundreds of billions of US dollars. After all, the more recognizable a trademark is, the more popular the consumer finds it. However, in that case the risk that it will attract the attention of attackers and will be used illegally is higher. The easiest way to bring a counterfeit product to the market that has nothing to do with the original good is to use a mark of a wide-used brand which products are at a high level of demand.
According to various marketing agencies, more than 80% of sales across the world occur via the Internet. That is why in the virtual space requires the high-quality protection of a trademark.
Also, according to the statistics, more than 70% of good sales of a certain brand is made without the knowledge of the copyright holder. Trademark infringement on product sales via the Internet occurs every second.
Remember that only the copyright holder or their official representatives, whose credentials are documented, are entitled to use the trademark.
What are the consequences of the trademark infringement?
Most often, trademarks of leading companies are illegally used by little-known firms with products of dubious quality in the hope that buyers will be attracted by the reputation and broad recognition of the brand which intellectual property was “borrowed”. In addition to reducing sales and, as a rule, increasing financial losses, the company loses another major and invaluable part of the brand - its reputation.
Direct financial losses
- Reduction the original product sales;
- Forced reduction in production;
- Marketing expenses, the recoupment of which is reduced due to the fact that counterfeit products parasitize on them;
- Colossal losses in the form of lost profits from the counterfeit product sale under the copyright's brand;
- Counterfeit-Fighting Costs.
Trademark Reputation Losses
- Poor quality forms a consumer's negative attitude towards the trademark, which marks a fake;
- Most often, the consumer does not even realize that they bought a fake, directing all their negative mood to the copyright holder;
- It takes a long period of time to restore the image;
- Losing the brand reputation affects the competitiveness of your business.
How to protect a trademark on the Internet?
Trademark protection on the Internet has its own specifics. Without the help of professionals, it is almost impossible to track and stop illegal use of the mark in online stores, on social networks, market places and other online sales channels. For effective and complete protection, it is best to turn to a team of professionals who have proven their effectiveness in working with the world's largest brands.
The BRANDPOL GROUP team has successfully been engaged in the protection of intellectual property, and the fighting against illicit trafficking in industrial products for 10 years.