Systech is revolutionizing brand protection. For over 30 years, global brands have relied on us to combat counterfeiting, prevent product diversion and meet regulatory compliance. Our brand protection software empowers cosmetics manufacturers and brand owners to verify product authenticity at any point in the supply chain—from manufacturing to the consumer’s hands.
Counterfeiting and Diversion – The Threat is Real
Health and beauty products are developed to help individuals. Manufacturers go through rigorous development and testing before releasing their products to market. There are also numerous governmental quality regulations that manufacturers must follow. Counterfeiters of successful branded products have little regard for consumer safety or governmental oversight.
In recent years, the news has shown us that the health and beauty industry is a major target for counterfeiting and diversion. And it’s only getting worse. The ever-expanding gray market poses significant risks to global cosmetics brands and their consumers. With numerous distribution channels such as retail stores, pharmacies, salons, online merchants and independent reps, the chance that your product and your brand is being compromised is exponential.
Your brand is just as important as the product itself. Cosmetics customers are extremely loyal to the brands they trust. As counterfeiters become increasingly savvy, they develop fakes that look exactly like the real thing. Furthermore, these dupes are nowhere near the quality of the real thing and can harm the consumers who fall into the counterfeiter’s trap. Also, diverted products that end up on Amazon or other unauthorized retailers are being sold for reduced prices, impacting your company’s revenue flow and reputation.
A Brand Protection Makeover
In fact, a prestigious haircare brand recently reached out to Systech to get in front of the diversion threat prior to launching its newest high-value products into the market. To get an in-depth look at how Systech helped proactively solve this brand’s impending diversion issue, check out the full case study.
Until recently, counterfeit health and beauty products could not be verified as the genuine product—or authenticated—quickly and cost-effectively. Furthermore, Internet-based distribution outlets have proliferated, and it is difficult to tell an online retailer that sells legitimate products from one selling counterfeits.
But what if there was a way for all parties involved along the supply chain and consumers to easily verify product authenticity and confirm the seller is legitimate? Placing the power to combat counterfeiting and diversion into the hands of potentially millions of users.
Systech offers a cost-effective, non-additive solution that creates a unique digital identifier—or e-Fingerprint®—for each individual item based on the existing QR or barcode. There’s no need to add special inks, holograms or taggants which can be easily duplicated. Using a simple smartphone app, field inspectors and/or consumers can now authenticate and track products throughout the supply chain wherever they are in the world.
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