The following product counterfeiting risk checklist contains 6 quick and valuable points to see if your product is vulnerable to copying and counterfeiting:
- Is your product sold on a large online marketplace or manufactured in countries known for fake goods?
If the answer is yes, then your manufacturing process can potentially be compromised at a local level and you may lose control over your distribution channels.
- Is your product distributed through a complex supply chain?
If the answer is yes, then there are many opportunities for counterfeit products to come in.
- Does your product and/or packaging have any security features?
If the answer is no, it is likely that there is nothing to deter counterfeiters from copying your product.
- Is your product high in volume and low in variable cost (e.g. standardized products)?
If the answer is yes, it can potentially be a prime target for counterfeiters to replicate.
- Is your product sold at high gross margins or does your product have a high perceived value to consumers?
If the answer is yes, regardless of its price, the product will be an attractive target to counterfeiters. Counterfeiters will likely aim to leverage your marketing efforts as the original supplier/manufacturer and benefit from it.
- Does your product have a large market share?
If the answer is yes, it is will be more appealing for counterfeiters to target as their copying efforts will yield better returns.