Fake impact
Not only are counterfeit beauty goods proving to be a prevalent and ongoing issue in the Asia-Pacific (APAC) region and in turn, adversely affected brands' reputations, but worryingly, counterfeit cosmetics are also proving damaging to consumers’ health and wellbeing.
As a result, Alibaba and Kering have joined forces to stamp out the presence of fake goods, both online and offline, to protect the intellectual property rights of genuine labels. Global luxury group, Kering, houses high-end fashion and lifestyle brands including Gucci, Bottega Veneta, Saint Laurent, Alexander McQueen, Puma and Cobra, and proclaims the motto ‘‘empowering imagination".
Clever time to team up?
In what Alibaba Group is calling a “landmark” and “groundbreaking” agreement, Kering, Alibaba and its affiliate Ant Financial Services have collaborated to up intellectual property safeguarding and impose actions to clamp down on both the online and offline promotion of fake cosmetics and personal care goods.
In an interesting twist, British Kering abandoned a lawsuit against the Chinese e-commerce site after the partnership agreement was unveiled on Alibaba's online marketplace.
The impact of counterfeits
The presence of counterfeit cosmetics in the APAC market impacts the customer experience, along with trust, loyalty, and confidence in the marketplaces and companies they are purchasing from. Through this partnership, Kering and Alibaba, hope to “provide the best consumer experience and a trusted environment”.
“Brand trust is core to our mission. Our enhanced platform, along with significant progress in other important initiatives all showcase the industry best practices,” revealed Jessie Zheng, Alibaba’s Chief Platform Governance Officer.
Building the tech
To support these endeavours, Alibaba has made enhancements to its Intellectual Property Protection (IPP) Platform to enable the e-commerce giant to eradicate fake product listings within 24 hours.
Additional upgrades include a single entry point across all Alibaba e-commerce platforms, improvements to its automated complaints-processing and analysis system and a streamlined process to assess the validity of complaints.
Utilising Alibaba’s e-commerce advanced technology, the duo plan to exchange useful information and work closely with law enforcement bodies to prevent infringement.
Going forward, Kering’s prestige brands will enforce their intellectual property rights against both individuals and third parties that manage the production, distribution, and sales of unapproved and illegitimate items in both China and around the globe.
“The new partnership represents a milestone in both parties' investment and efforts to protect brands' intellectual property rights,” the companies commented.