Omnitude and anti-counterfeit
Counterfeiting is big business. It can damage brand reputations and build distrust.
The Global Brand Counterfeiting Report 2018 estimates that the losses suffered due to global online counterfeiting has amounted to 323 Billion USD in 2017, with luxury brands incurring a loss of 30.3 billion dollars through internet sales.* Astonishing really.
This is a particular issue within the Luxury Goods Secondary Market. Control of the secondary market is difficult, for customers and brands. Customers are often paying hefty prices for something that is so well made and copied that their naked eyes cannot tell the difference. We are talking about the extremely good quality and well made fakes.
The life expectancy of Luxury Goods far outweighs other mass market products, hence the hefty price tag for certain items. Provenance, heritage, ownership and traceability is an important factor when purchasing a Luxury piece; particularly on the secondary market as knowing where the product comes from, and it’s certification is key. Often certification can easily get lost.
So, what are the Luxury Houses doing about this issue? How can these corporations instill the right levels of trust back into consumers that buy within the secondary market, and trust within the category in general?
If you didn’t know, Omnitude is a blockchain middleware technology company that is working with key industries to help bring back true transparency and enable trust across multiple levels.
Omnitudes middleware solution has a core function that focuses on the traceability of products. This allows customers and brands to track complete end to end of a piece. From the provenance of the materials that make up a piece, to where the piece was made, to the number of owners a piece has had in the past; then where that piece is going, such as the full transparency of where that piece is being shipped to.
How would this be possible you ask?
By inserting either a QR Code, RFID or NFC Chip in luxury pieces, this will provide a unique OID (Omnitude ID) per piece which will make it impossible to change, break, or replace, and allow for a completely traceable and visible record.
Choosing a blockchain middleware layer such as Omnitude, allows organisations to not only ‘easily integrate’ blockchain without replacing existing systems, but to track an entire process, reduce costs, build brand equity and deliver customer benefits.
Interested in discussing how your business can build trust, increase transparency and reduce costs of counterfeiting? Then get in touch with our consulting team today.