The production and sale of counterfeit goods is a global problem– counterfeit sales makeup eight percent of all global sales. This is multi-billion-dollar issue and one that has serious economic ramifications for businesses. Counterfeiters can erode customer trust and dilute brand equity, so it is crucial to focus enforcement efforts on markets with a high frequency of counterfeit and brand infringement, like China.

M ARKE T TRENDS

Enforce Against Counterfeit in ChinaChinese Marketplaces – The Evolving Landscape

8% Of all global trade is counterfeit sales1

2/3 of all counterfeit goods seized entering the U.S. and U.K. originated in China2

As soon as your product enters the market, counterfeits will begin to surface. They focus their energy on low hanging fruit, or “soft targets.” The key to avoiding counterfeiters before they strike is to become a hard target. Maintain a reference library of copyrighted imagery for both past and present products and an updated patent portfolio to complement copyright and trademark enforcement efforts. Be prepared and stay vigilant.

Two-thirds of all counterfeit goods seized entering the U.S. and U.K. originated in China – the world’s workshop for legitimate and counterfeit goods. Get ahead of and enforce against counterfeiters in China by following best practices and understanding the market trends.

Strike a Balance for Consistent Enforcement

Be both flexible and strategic, creative and calculated. Prioritize your enforcement efforts by monitoring all regions and understand the scope of the problem to help ensure that your brand is using company resources wisely. Fry the big fish first — prioritize and escalate enforcement for persistent sellers by executing controlled buys to identify the supplier, delisting goods on popular marketplaces and adding suppliers to marketplace banned lists.

Be both flexible and strategic, creative and calculated.“

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Listen to our on-demand webinar, Chinese Marketplaces – The Evolving Landscape, for more information about how to protect your brand:www.markmonitor.com/chinese_marketplaces_webinar

1 CIW, China Internet Watch, “CIW China Internet Insights 2015.” 2015. PDF file.2 Mueller, V. (2016, June 2). Swedbrand How to protect your Brand in China | Swedbrand. Retrieved January 11, 2017, from http://swedbrand.com/blog/how-to-protect-your-brand-in-china/

Best Practices to Enforce Against Counterfeit in China

M A R K E T T R E N D S

Register your trademark.

Register your trademark and make

sure to register with customs if you sell

material goods.

Regularly delist.

Regularly delist counterfeit items to

significantly reduce the volume of

infringing listings and categorize the

remaining listings by counterfeit, grey

market or legitimate, and maintain

separate goals and strategies for

addressing grey market versus

counterfeit issues.

Prioritize enorcement efforts.

Understand the scope of the

problem through regular monitoring

of local marketplaces and prioritize

enforcement based on those findings.

WATCH

Strike a Balance for Consistent Enforcement (Cont.)

Set realistic goals that prioritize making it hard for consumers to find a counterfeit version of your product. Remember that you cannot enforce against every instance of counterfeit, nor should you. Being too aggressive can result in additional scrutiny and removal time for all of your requests. Focus on becoming a hard target for high-value offenders and use enforcement efforts strategically.

“ Focus on becoming a hard target for high-value offenders and use enforcement efforts strategically.