E-Business
How Brands Can Stop Product Fraudsters in Today’s Counterfeit Economy
By Emmanuel Asika
Brands all over the world have a big problem on their hands – dealing with the ugly menace of counterfeit products that are continually flooding the marketplace which are undermining original equipment manufacturers’ (OEM) products.
The activities of these criminals, worsening by the day, undeniably affect the revenue of brands. But more worrisome for these brands, is the issue of lost consumer trust.
In instances, they have been misled into believing that they were buying the original product, only for the product to break down or develop a fault sooner than expected.
In Nigeria, for instance, counterfeiting remains a concern for brands, especially for those in the pharmaceutical industry, with 13% – 15% of drugs in the country said to be fake, according to the National Agency for Food and Drug Administration and Control (NAFDAC).
As of January 2022, the prevalence rate of fake drugs was reportedly higher than the global average of 10% and contributes to a sizable number of deaths annually. In one report, NAFDAC’s director of investigation and enforcement directorate, Kingsley Ejiofor, stated that the agency had seized 2 trillion-naira ($4.8 billion) worth of counterfeit drugs in the past three years.
Aside from pharmaceutical products, other prominent counterfeit items found in Nigeria are: food items, footwear, clothing, leather goods, automotive parts, optical media (CDs and DVDs), cosmetics, alcohol, and jewellery.
The Covid-19 pandemic has also shifted the landscape somewhat, with a greater number of people resorting to online shopping. Unfortunately, as brands embraced e-commerce, so did criminals.
Today, e-commerce platforms offer criminals the anonymity they need to sell products which they present as genuine goods. Where face-to-face retail offers consumers the opportunity to identify fake products at the point of sale, making those selling the products, liable for the products they sell.
With online sales, it becomes easy for illegitimate products to be passed off as original goods to global markets. As a result, brands like HP, renowned for producing print cartridges for customers around the world, must act fast to stop the spread of fake goods universally, both online and offline.
The biggest profit margins for these crooks lie in the commercial market, but they have also been targeting the consumer market. Understanding that consumers like a discount, something that is even more true with the rising cost of living, drives customers to look for cheaper deals. In the end, most of these consumers are tricked into buying counterfeits they thought were genuine.
E-commerce requires new tactics
At HP, our strategy for investigating fake products usually entails looking at the entire commercial and retail supply chain, beginning from physical locations to online platforms. This allows us to be able to trace from stores to a distributor, and upwards to the producer.
This strategy tactic has proven beneficial as we saw that between November 2020 and October 2021, HP seized 3.5 million fake print products, including completed goods and component parts, circulating in several regions including in EMEA, Asia Pacific and the Americas.
The growth of e-commerce means that we will need a wider set of tools, tactics and allies. A great percentage of fake-print products are traded in online marketplaces, and HP has been liaising with these platforms and other third-party groups to help spot counterfeit goods, confiscate them, and find their source.
For instance, HP usually carries out virtual Customer Delivery Inspections (CDIs) and Channel Partner Protection Audits (CPPAs). In FY21 alone, we conducted 1,191 CPPAs, representing an 11% increase on FY20.
These virtual checks and reviews have helped the HP Anti-Counterfeit and Fraud (ACF) team in finding and delisting over 224,000 illegitimate HP online offers globally; and we are doubling down, increasing the number of online delisting’s by 19% every year.
Additionally, HP continues to use dynamic security, which ensures chips within our products are kept updated with information that helps customers verify our product’s authenticity.
Why it is important
The anti-counterfeit war requires collaboration with several parties and joint efforts prove to be very effective. Recently, there has been stronger calls for collaboration amongst relevant stakeholders across all supply chains, to join the fight against counterfeit products in Nigeria.
Indeed, it is in everyone’s best interest to stop the use of counterfeit print products. For instance, HP printers work at their optimal levels when genuine print products are used rather than fake ones.
There are however bigger concerns – where fraudulent businesses are not concerned about the working conditions and welfare of their workers. Patronising genuine goods is an important way of supporting fair working conditions for workers around the world.
Buying original products also shows one’s commitment to protecting the environment. HP has created over 3.9 billion original HP ink and toner cartridges mainly from recycled plastic. Currently, more than 80% of Original HP ink cartridges and 100% of Original HP toner cartridges are made with recycled content.
With the HP Planet Partners, HP’s return and recycling programme, the company has recycled more than 875 million cartridges since the programme began nearly 30 years ago, with expansion to 68 countries around the globe. Patronising genuine products encourages these kinds of efforts and increases the number of sustainable cartridges in circulation.
For us at HP, we are encouraged and remain committed to halt the manufacturing of counterfeit products at source. We are also on a drive to educate consumers, the main victim in all this, about the need to report any fake products they come across.
It is a collective responsibility that involves all, from manufacturers all the way to the consumers themselves – to discourage the cycle of counterfeit goods and manipulative criminal activities. We encourage all HP customers to always look out for the holographic security label on their product box, scan the QR code to check if it’s a genuine or not– and report if it’s a counterfeit.
Emmanuel Asika is Country Head, HP Nigeria
E-Business
Konga Yakata’s Last Week: Don’t Miss Out on Incredible Deals
Excitement is reaching a fever pitch among shoppers as the Konga Yakata Black Friday shopping fiesta enters its final week. Shoppers nationwide are gearing up for a rain of last-minute deals and irresistible offers, with the promotion set to end on Saturday, November 30, 2024.
The month-long Konga Yakata campaign, which kicked off on Friday, November 1, has delivered an unparalleled shopping experience, treating customers to incredible discounts, engaging promos, and unbeatable incentives.
In addition to massive price cuts across a wide range of products, Konga has thrilled shoppers with exciting events such as Treasure Hunts, Flash Sales, Bargain Bash, Brand Days, and specialized Black Friday packages like the Budget Store, Under 50k Store, and TGIF Epic Drop.
The highlight of the Yakata 2024 season will be this year’s Black Friday, which takes place on Friday, November 29. Thousands of customers will be able to score exclusive discounts on items including electronics, clothes, home appliances, computers, and groceries.
Reflecting on the experience so far, a satisfied anonymous shopper who snagged a TV at a discounted rate said, “Konga Yakata has been nothing short of amazing this year. The discounts are unbelievable but true, and the convenience of shopping online is unmatched.
“I’ve already made several purchases, and I’m excited to see what other deals are in store for the final week.”
Konga’s Black Friday sale has been a boon for consumers, offering respite from the economic challenges many Nigerians face. By providing access to affordable products and services, Konga has empowered shoppers to make the most of their money.
Despite the prevailing economic challenges, shoppers have embraced the Yakata season, targeting high-value deals and leveraging Konga’s tailored offerings to make significant savings. With the countdown underway, the excitement is expected to hit its peak on Friday as customers traditionally wait for that day to grab the most exclusive deals.
Speaking on the heightened anticipation, Kunle Ajani, Group Head of Marketing at Konga, stated, “We’re thrilled with the overwhelming response to Konga Yakata this year, and we’re committed to ensuring the final week delivers the biggest surprises yet.
“We are proud to offer a platform where shoppers can enjoy exceptional value, despite the economic realities.”
As the curtain closes on the 2024 Yakata season, shoppers can look forward to a flurry of last-minute deals, culminating at midnight on November 30. From tech enthusiasts to lovers of electronics and deal hunters, Konga Yakata continues to redefine the shopping experience, making it a season to remember for all Nigerians.
Take advantage of the final week of Konga Yakata. Visit Konga.com and experience the thrill of shopping at unbeatable prices.
E-Business
NITDA DG Harps on the Role of Innovation in Nigeria’s Sustainable Development
Kashifu Inuwa CCIE, the Director General, National Information Technology Development Agency (NITDA), has reiterated the critical role of innovation in driving Nigeria’s sustainable development, economic diversification, and global competitiveness.
Inuwa made this remark while delivering a keynote address at the 8th Annual Research Fair and Exhibition of Nasarawa State University, Keffi (NSUK), where he called on academia, industry leaders, and policymakers to embrace disruptive transformational innovation as a tool for addressing the nation’s challenges and unlocking its immense potential.
Speaking on the theme, “Disruptive Transformational Innovation; Shaping the Future,” Inuwa commended NSUK for organising an event that aligns with Nigeria’s pursuit of growth through knowledge-driven solutions.
Inuwa who was represented by the Deputy Director, eGovernment and Digital Economy Development Department, Engr Ya’u Garba, applauded the university’s increasing focus on transformation, noting that such initiatives reflect an understanding of the need for impactful innovations to address real-world issues.
Inuwa emphasised that while inventions remain a cornerstone of academic inquiry, their significance lies in their ability to move beyond theoretical exploration to become practical innovations. These innovations, he explained, have the power to reshape industries, tackle societal challenges, and accelerate national progress.
He urged institutions to prioritise creativity and bold thinking, ensuring that research outputs translate into tangible benefits for society.
Explaining the concept of disruptive transformational innovation, Inuwa described it as a profound force capable of altering established systems, processes, and products in ways that redefine societal functions. Unlike incremental innovations, which focus on improving existing frameworks, disruptive innovations introduce entirely new paradigms, addressing challenges in groundbreaking and previously unimaginable ways.
He cited historical examples such as the Printing Press, the Steam Engine, and Electricity, which have significantly transformed human existence and set the foundation for modern development.
Inuwa pointed out that Nigeria’s abundant human and natural resources present a unique opportunity to harness innovation for sustainable development. He called for a collaborative approach involving academia, industries, and government to build an environment that nurtures creativity, supports bold investments, and encourages inclusive growth. Such an ecosystem, he said, is vital for fostering homegrown innovations that can propel Nigeria to the forefront of global technological and economic advancements.
He further highlighted NITDA’s dedication to fostering innovation through various initiatives, including the National Adopted Village for Smart Agriculture (NAVSA) to digitally transform the agricultural sector, the National Blockchain Adoption Strategy to enhance digital trust and transparency, and the National Artificial Intelligence Strategy aimed at building a robust AI ecosystem in the country, among other impactful projects, which are part of the Federal Government broader strategy to position Nigeria as a leader in the global knowledge economy.
Inuwa also urged NSUK to deepen its commitment to innovation by establishing hubs that support facility-led startups, fostering collaborations with industry stakeholders, and equipping students with essential technological skills. He noted that such efforts would not only empower the university community but also contribute significantly to national development.
Inuwa expressed confidence in Nigeria’s ability to not only adopt global innovations but also create groundbreaking solutions that could influence the trajectory of Africa and the world.
He called on all stakeholders in the country to embrace the transformative power of innovation in order to drive sustainable development, economic diversification, and global relevance.
E-Business
Data Commission, NAICOM Partner to Safeguard Data in Insurance Industry
Nigerian Data Protection Commission (NDPC) and National Insurance Commission (NAICOM) have signed a Memorandum of Understanding (MoU) to protect data pilfering in the insurance industry.
The agreement was finalised on Friday and aims to address critical concerns around data privacy and ensure that the insurance sector complies with global best practices in data management.
Some of the objectives of a MoU include training and capacity building to enhance awareness and skills in data protection, setting up specialized clinics to address data protection concerns and provide guidance; conducting compliance activities by regularly, monitoring and enforcing compliance with data protection regulations and educating insurance companies on the importance of data protection and the benefits of adhering to best practices.
Mr Olusegun Ayo Omosehin, commissioner for Insurance/ chief executive officer, NAICOM, said, “The collaboration marks a significant milestone in safeguarding the personal data of insurance policyholders and promoting trust in the insurance sector”.
To ensure the effective implementation of the Memorandum of Understanding (MoU), an Implementation Committee will be established.
This committee will comprise representatives from the 2 agencies, as well as other key industry associations, including the Nigerian Insurers Association (NIA) and the Nigerian Council of Registered Insurance Brokers (NCRIB).
The committee’s primary responsibility will be to monitor progress, provide guidance, and facilitate collaboration among stakeholders to guarantee the successful execution of the MoU.
Officials from both NAICOM and NDPC have expressed confidence in the partnership’s potential to strengthen data privacy frameworks within the insurance sector.
They noted that the initiative would boost public confidence, enhance compliance, and position the sector for greater innovation and credibility.
This collaboration is expected to pave the way for a more secure and trustworthy insurance landscape in Nigeria, ensuring the protection of personal data while fostering the industry’s growth.
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