The First Line of Traceability and Defence in the War Against Counterfeiting has Arrived

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1 The First Line of Traceability and Defence in the War Against Counterfeiting has Arrived As crime syndicate operations become increasingly sophisticated, an alarming number of consumers unwittingly become victims of counterfeiters and unauthorised trade. AuthenticateIT is a powerful new tool to enable consumers and brands to work together to identify and stop the sale of counterfeit products and unauthorised imports in legitimate retail situations. Introducing AuthenticateIT AuthenticateIT is a smartphone application that empowers consumers with a fast and convenient way to check an item s authenticity before purchase, effectively removing the threat of purchasing a counterfeit product. The comprehensive brand protection solution is build with an advance track and trace system at the back end, whilst the front end of the Authenticateit system is a smartphone application that provides consumers with a free, easy way to check an item s authenticity prior to purchase. The entire Authenticateit system utilises the GS1 barcode technology as identifiers. The smartphone application is free to download and can be used by consumers to authenticate the goods of participating brands in retail and online situations. AuthenticateIT Features For the first time, brands have control over what s been sold and complete visibility to the supply chain. AuthenticateIT offers: The most robust authentication system available Unique, patent pending system Suitable for current environments - works with GS1 barcoding system Monitor unauthorised parallel imports Keep track of resellers Cost-effective, scalable implementation e.g no expensive holograms Keep track of online portals Free apps for consumers to use to authenticate their purchases Allows brands to pinpoint anomalies in the supply chain, anywhere in the world! BRANDS 2 MADE AWARE 1 CONSUMERS SHARE 3 COUNTERFEITERS BEWARE

2 The First Line of Traceability and Defence in the War Against Counterfeiting has Arrived How does AuthenticateIT work? AuthenticateIT works by linking serialised barcodes to physical locations, which naturally cannot be replicated. As an object cannot exist in multiple locations at the same time, this helps form an unbreakable link in the authentication process. About Us Authenticateit Pty Ltd is an Australian company created by a team of experts in intellectual property, trademark protection, retail, media broadcasting, e-commerce, logistics and IT. Alarmed by the growing sophistication of counterfeiters in legitimate retail situations, coupled with the burgeoning problems in online retail, the team developed AuthenticateIT to provide consumers and brands greater protection from the threat of illegal and unauthorised imports. The team has extensive experience working in Eastern Europe, Asia, North America and Australia, adding countless hours to research and develop the AuthenticateIT platform. The result is a complete, effectively foolproof system that is simple to use, but offers a powerful disincentive for counterfeiters around the globe. To find out more about Authenticateit visit As the product moves through the supply chain, the product s location is updated in the database. Consumers are therefore able to use AuthenticateIT before making a purchase, and can reject products if the product s reference data does not correspond with its serialised barcodes. This simple check provides consumers and brands complete confidence in the authenticity of each transaction, and ultimately stops the sale of illegitimate goods at the most critical point in the supply chain.

3 AuthenticateIT in Retail The system allows brands to educate their market on security measures to take before proceeding with a purchase instore or online. Consumers are informed to lookout for barcodes and scan them using the Authenticatit app to confirm the authenticity of a genuine product. For online purchases, consumers are educated to lookout for QR codes instead of barcodes. The negative result will also trigger an alert to brand owners that pinpoints the precise location of an anomaly which they can choose to diagnose at their discretion. 1. Consumer Scans Product Consumers use their smartphone to scan a serialised barcode, which is printed on products, packaging, labels, swing tags or stickers. As each barcode can only be assigned to a single product, and a single physical location which cannot be replicated, would-be counterfeiters seeking to copy or reuse a serialised barcode, will soon realise the system cannot be fooled. 4. Brands Take Action Brands are able to retrieve stored data from the AuthenticateIT system to locate anomaly hotspots from anywhere in the world. This triggers brands to take further action to bar, disable or neutralise these illicit activities, unauthorised imports and counterfeit operations as they arise. Extending Brand Loyalty & Engagement 2. Authentication Received If a consumer performs a successful authentication they will receive details of the product which are matched by the consumer against the actual situation, environment before he/she safely decides to proceed with the purchase. If a product does not match its description or intended destination, the customer receives an instant notification that the product cannot be authenticated and is deterred from proceeding with the transaction. 3. Brands Are Alerted AuthenticateIT can also be smartly integrated into point of sale systems for a seamless, consumer Proof of Ownership process. Tied to a brand or retailer s loyalty programs, this flexibility enables companies to extend their customer engagement in new and innovative ways. For instance, consumers can accrue a history of purchases of their favourite brands through AuthenticateIT and look up their histories at any time as a badge of their brand loyalty. Brands and retailers can also enhance their customer s experiences and promote brand preference by introducing reward mechanisms to tie in to the authentication and registration aftersales process. Talk to us today to find out how AuthenticateIT can be adapted to suit your requirements.

4 AuthenticateIT Online AuthenticateIT is a powerful tool in combating counterfeit products sold online, giving consumers confidence in the legitimacy of online purchases. 1. Scan BUY For each online transaction, the consumer looks for and scans the QR code provided to authenticated retailers and receives instant verification of the authentic good s availability. AuthenticateIT & the Second Hand Market Once a product has been purchased, and the product has been registered to that user, brands can consider granting owners options to enable the product to be resold at a future date. Companies can release QR codes that can be purchased by consumers who have validated, registered products so that consumers can sell their products legitimately and complete with AuthenticateIT validation. Companies can charge for this service and by doing so, gain access to new data, and a potentially lucrative revenue stream within the second hand market. Find out how more about how AuthenticateIT can help enhance your business. BUY 2. Authenticate Once the order has been authenticated, the consumer can proceed with the transaction, confident that the store is authenticated to fill the order. 3. Validation When the consumer receives the article, a second authentication check can be performed to confirm the authenticity of the article received.

5 AuthenticateIT Integration The AuthenticateIT system can be used as a complete track and trace system. It can be integrated or deployed to work in parallel with a company s stock control and point of sale technologies with minimal disruption to your day to day operations. Current Brand Database AuthenticateIT Main Database Computers Mobile Clients Online Stores Retail Distributors - Database 1 (DB1) is the manufacturer s stock control system - Database 2 (DB2) is the AuthenticateIT software system managed and owned by AuthenticateIT Additonal Tools of the system The Authenticateit system allows brands to monitor, track and trace goods through the supply chain with live reporting tools that help brands identify counterfeiters and trace their location/address. This enables the Authenticateit system to work towards diminishing traces of counterfeiting and parallel import goods. It acts as a trust bond between the brand and customer, encouraging the purchase of genuine, quality goods. Talk to us today to find out how AuthenticateIT can be integrated into your business. * For organisations who are not using serial numbers, AuthenticateIT can take care of this part of the process.

6 AuthenticateIT & the Grey Market of Parallel Importing Price is an important determinant in consumer s perception of quality - particularly for luxury products. Grey market or parallel importing can therefore be a significant problem for brands looking to manage a consistent image of high value and exclusivity globally. Although the practice can hurt legitimate retailers, and pricing models which have been carefully planned to cater for specific destination markets, parallel importing continues, seemingly unregulated in some countries. AuthenticateIT offers a uniquely simple but highly effective way for companies to proactively combat parallel imports, in addition to counterfeiting, simply by removing the motive for this activity to occur. 1. Consumers Scan Consumers scan returns a negative result 2.Companies Alerted Companies recieve alerts and are able to identify hot spots of unauthorised activity 3. Companies Take Action Companies can take imediate action to bar, disable or neutralize unauthorised imports 1. Consumers Scan As grey market operators attempt to keep brand owners in the dark about their activities, products sourced through parallel importing inevitably turn up in places they should not. When a consumers attempts to purchase one of these products and scans the product with their AuthenticateIT smartphone app, they will receive detail of the product s description and location through the app. If it is an unauthorised import, the product s description will not match, and the consumer will be notified that the product cannot be authenticated. The customer is therefore, deterred from purchasing the unauthorised good. 2. Companies Alerted As more consumers attempt to authenticate parallel imported products through a particular retail or channel, the system will show these multiple attempts at authentication, and brand owners are easily able to identify hot spots of unauthorised activity. 3. Companies Take Action Once brand owners are aware, they can move to stop distribution through the channels where the parallel imports have been exposed and thereby prevent future sales from occurring through this channel. Furthermore, retailers will soon realise that stocking or selling parallel imported goods of any AuthenticateIT protected brand is a risky practice. As such they will most likely stop the practice before brand owners take action to disbar them from selling legitimate goods altogether. The future for your brand protection is to AuthenticateIT. Ask us for a demonstration of AuthenticateIT and its ability to deter counterfeits and other unauthorised transactions.