Serialization of Cosmetics: What Cosmetics Companies Can Learn from the Pharmaceutical Industry

The perfumes Chanel No. 5 and Cool Water by Davidoff are among the absolute classics among fragrances and among the top-selling products in the industry. This popularity, however, also puts them at the top of the list of the most counterfeit products. If cosmetics companies want to avoid economic disadvantages and loss of reputation in times of globalization and growing online trade, they must act. The fact that the pharmaceutical industry has been struggling with similar problems for years and that solution strategies already exist could turn out to be a real advantage for the cosmetics industry.

The counterfeiting of cosmetics is now more lucrative than that of medications. Because counterfeiting is no longer associated with cheap copies, which are - on colorful markets for sale - unmask themselves by their unbeatable low price. No: Good counterfeits now cost good money.

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Cosmetic Association calls for more consumer protection

Really good cosmetic plagiarisms no longer stand out due to insufficient pressure on even more inadequate packaging. And inclusions in glass flacons, sharp edges or rickety atomizers are also rare.

Especially since online retailing is clearly competing with brick-and-mortar stores, product piracy is becoming an increasingly lucrative business - one more thing that is risk-free. Associations such as the VKE Cosmetics Association therefore demand that Internet trading platforms for consumer protection measures be taken into account as part of the implementation of a digital single market strategy and that traffic safety obligations be introduced.1

If this becomes official and corporations want to better protect their brands, safety standards will have to improve.

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Thinking Outside the Box: the Pharmaceutical Industry Makes it Happen

Ever since clever pill counterfeiters have proven that encodings and holograms are conditionally forgery-proof, so must the cosmetics industry. Because for the fake mafia it is always easier, for. B. imitate the unrecognizable with the naked eye security codes from micro-markings. So good that smartphones no longer have a chance to expose these false codes, which was once the requirement of various apps.

The same applies to the laser-gloss technology, a film lamination of reusable special film that makes markings safer. The high-volume cosmetics industry has a trump card that they only have to play: thanks to the new serialization policy for pharmaceuticals, which will become mandatory at the beginning of this year, those responsible in the cosmetics industry need only glance over and adapt serialization technologies for the production of their products.

TQS-LI-Bottle: Compact serialization solution for bottles and vials

To Protect the Brands: Serialization of Cosmetics

Technically, it makes little difference whether a biologic is packaged in a vial forgery-proof or a fragrance in the bottle. The follow-up and solutions are what counts. For beauty giants this means more brand protection and security. For themselves and their customers, because every single product that runs off the production line can be identified beyond doubt. Stationary retailers, as well as various online portals, are already familiar with the place and date of manufacture of cream and co.

And the entire life cycle on delivery. If cosmetic companies pay too little attention to the issue of product piracy, it can be costly. On the one hand through the image damage and concomitant loss of sales in the sale of an original. On the other hand by additional costs, which cause crisis communication and the tedious restoration of the scarred image. That this can be far more expensive than an equipment upgrade through serialization solutions is obvious.

Accelerating Markets Requires Innovative Consumer Protection

Especially since it is not only the bad scent that literally lies in the air when counterfeits are made. Not infrequently, cosmetics plagiarized serious health damage, z. For example, if the fake sunscreen with SPF 50 does not deliver what it promises and sunburn and skin irritation are the result. Then, the disappointed customers often lose confidence in the original.

Serialization stands for safety – at every point in the manufacturing and distribution chain, regardless of package contents, sizes and batches. In view of the growing globalization and the increasing individualisation of products to different target markets, solid serialization measures and their communication with the end user create trust. This makes product counterfeiting in cosmetics an obsolete, no longer lucrative business model.

Wipotec has years of expertise in developing serialization solutions for pharmaceutical products. It is irrelevant whether these are very small batches or large units and what material is used for primary and secondary packaging. From the recipe for creams and perfumes to the retail shelves of brick-and-mortar stores or the storage location of the online retailer, serialization secures the valuable products.

Solutions from Wipotec represent a very meaningful investment in the future. A future that experts predict not only more acceleration and increased online commerce, but also further growth of the cosmetics industry.

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