SEIKO GROUP CORPORATION
Business division：Legal deparLegal department
Person in charge : Ms. Noriko Kodaira
Person in charge : Ms. Noriko Kodaira
The Fusion of Analog and Digital Enables Detailed Counterfeit Prevention
Seiko Group Corporation, known for being the first in Japan to release domestically produced wristwatches, has adopted IP FORWARD's online monitoring service as a solution for combating counterfeit and illegally modified products. This enables them to undertake meticulous efforts to address counterfeit and illegally modified products from both analog and digital perspectives.
Facing the Limits of Counterfeit Prevention
It feels like the methods of manufacturing and distributing counterfeit goods have been changing recently. There's been a trend of producing watch parts such as dials, cases, and bezels separately, assembling them upon receiving orders, and promptly shipping them out. In some cases, parts are manufactured in China while assembly takes place in Pakistan, indicating that manufacturing and assembly occur in different countries.
In such situations, it becomes difficult to identify manufacturers, assemblers, and large-scale wholesalers. Consequently, many counterfeit goods are sold online, necessitating measures to prevent general consumers from purchasing them. Measures such as finding and removing counterfeit goods are required, akin to weeding a garden. However, this weeding process is endless, and it's impossible to eradicate all counterfeit goods. Therefore, determining what to prioritize in terms of countermeasures becomes a challenge.
In such situations, it becomes difficult to identify manufacturers, assemblers, and large-scale wholesalers. Consequently, many counterfeit goods are sold online, necessitating measures to prevent general consumers from purchasing them. Measures such as finding and removing counterfeit goods are required, akin to weeding a garden. However, this weeding process is endless, and it's impossible to eradicate all counterfeit goods. Therefore, determining what to prioritize in terms of countermeasures becomes a challenge.
Addressing the Fragmented Manufacturing of Counterfeit Goods
About three years ago, we began strengthening our online counterfeit prevention efforts. While counterfeit goods have existed before, back then, the manufacturing and distribution were not as fragmented as they are now, making it relatively easier to crack down on them. However, nowadays, counterfeiters have become more fragmented, operating further underground. Additionally, the quantity of counterfeit goods being shipped has decreased from hundreds of thousands to just a few units, making it extremely difficult to crackdown on counterfeit products.
To address this issue, we have asked IP FORWARD to identify regions and marketplaces with a high prevalence of counterfeit listings. Based on this information, we have chosen specific regions where we want to focus our efforts more intensively. For example, while smaller regions may have a significant number of counterfeit listings, considering the overall impact on our business, their importance might not be as high. On the other hand, there may be markets with fewer counterfeit listings but strategically important, where we want to implement early intervention measures. IP FORWARD has been responsive to our detailed requests, understanding our desire to address specific areas diligently.
To address this issue, we have asked IP FORWARD to identify regions and marketplaces with a high prevalence of counterfeit listings. Based on this information, we have chosen specific regions where we want to focus our efforts more intensively. For example, while smaller regions may have a significant number of counterfeit listings, considering the overall impact on our business, their importance might not be as high. On the other hand, there may be markets with fewer counterfeit listings but strategically important, where we want to implement early intervention measures. IP FORWARD has been responsive to our detailed requests, understanding our desire to address specific areas diligently.
The Emergence of Modified Products and Its Challenges
Amidst the abundance of counterfeit goods, a new global issue has emerged: wristwatches made by combining imitation parts from multiple brands. For example, these watches may feature an imitation dial with our logo paired with a distinctive bezel or case design from another watch manufacturer.
While these counterfeit products may resemble watches from other brands in appearance, since they bear the Seiko logo, it might be more appropriate to refer to them as "illegally modified products" rather than copies of our watches.
Naturally, other brands whose designs have been imitated also perceive this as a serious issue. Thus, we are collaborating across brands to address this problem. Furthermore, to stay informed about such occurrences in real-time, we are receiving assistance from IP FORWARD, including generating reports.
While these counterfeit products may resemble watches from other brands in appearance, since they bear the Seiko logo, it might be more appropriate to refer to them as "illegally modified products" rather than copies of our watches.
Naturally, other brands whose designs have been imitated also perceive this as a serious issue. Thus, we are collaborating across brands to address this problem. Furthermore, to stay informed about such occurrences in real-time, we are receiving assistance from IP FORWARD, including generating reports.
Strengthening Countermeasures from Both Analog and Digital Perspectives
So-called counterfeit goods are fake products (copies) made to resemble genuine items, making it possible to compare them with authentic ones to identify discrepancies. However, illegal modifications lack authentic counterparts for comparison, making it challenging for AI searches, and visual inspection becomes the only option. Each link must be opened, and the products scrutinized, requiring a laborious, time-consuming process. IP FORWARD also assists with such analog confirmation tasks, enabling us to implement robust countermeasures.
A New Approach to Brand Protection
Illegal modifications, unlike counterfeit goods, are not solely produced by counterfeiters. Rather, there is a tendency for watch enthusiasts to create them as a hobby. While counterfeiters may have a sense of guilt about engaging in illicit activities, individuals involved in illegal modifications may lack such awareness.
As a result, the damage caused by illegal modifications online is becoming increasingly serious. When customers unknowingly purchase these products and bring them to our service center due to issues with their watches, we unfortunately have to inform them, "This is a counterfeit item, so we cannot repair it." To reduce the number of such victims, we are taking measures, but we have yet to achieve a fundamental solution. To eradicate this issue, we are exploring new measures with IP FORWARD to protect our customers.
If left unaddressed, the damage will only continue to escalate, potentially leading to irreversible consequences. From the perspective of brand protection, we believe it is necessary to go beyond current measures, appeal to the industry and organizations, and utilize technology to further strengthen our response to counterfeit goods and illegal modifications.
As a result, the damage caused by illegal modifications online is becoming increasingly serious. When customers unknowingly purchase these products and bring them to our service center due to issues with their watches, we unfortunately have to inform them, "This is a counterfeit item, so we cannot repair it." To reduce the number of such victims, we are taking measures, but we have yet to achieve a fundamental solution. To eradicate this issue, we are exploring new measures with IP FORWARD to protect our customers.
If left unaddressed, the damage will only continue to escalate, potentially leading to irreversible consequences. From the perspective of brand protection, we believe it is necessary to go beyond current measures, appeal to the industry and organizations, and utilize technology to further strengthen our response to counterfeit goods and illegal modifications.
Related Articles
From overseas call, please dial "+81" before the phone number.
For more Information
