What potential do companies see in serialization as a tool to protect against counterfeiting? To find out, METTLER TOLEDO PCE surveyed European and North American companies, over the course of several months.
According to the World Customers Organization (WCO), counterfeits make up a total of around 7% of world trade. The economic damage caused by this for both manufacturers and brand owners amounts to hundreds of billions of euros each year.
In 2015 alone, counterfeits in the global smartphone market resulted in lost sales of around €45bn EUR.
Setting the stage for serialization
Serialization solutions cannot stop counterfeiting. But they are a powerful weapon in the fight against product and brand piracy. In the Track & Trace study, METTLER TOLEDO is showing how things look, across industries, indicating the value that companies put on serialization when it comes to fighting product and brand piracy.
The following are some extracts from the survey results:
- A majority of the companies surveyed anticipate new serialization requirements. A third of those surveyed would welcome legal requirements on serialization for their own industry
- Large retailers could become key market drivers for serialization solutions through requirements for their suppliers
- Companies consider the most important advantages of serialization to be protection against brand and product piracy and greater transparency in the logistics chain
- A majority of those surveyed admitted that they or their industry were already affected by counterfeiting; a quarter of these respondents even reported massive disruptions
- There is a need for information as to what opportunities serialization offers in the fight against counterfeits and unauthorized sales channels, as well as to what the limits of these solutions are
- When implementing serialization, companies consider the total package, including hardware, software, and service. Flexibility and ease-of-use in software -are particularly important to them
- Experience in serialization projects that have already been implemented is a top priority when selecting a project partner
- The IT infrastructure required to manage serialization data in the medium and long-term is frequently underestimated
- More information is needed on how end-to-end verification can be implemented at the product level with partners across the supply chain.
- High implementation costs make it difficult to introduce serialization solutions for products with a low price point.
The results of the survey are available now to download for free, from www.mt.com/pce-Track-and-Trace-Study.