Only One in Five Brands Actively Watch for Infringement Against their Trademarks, finds research from CompuMark.
Research and protection company CompuMarj, today released findings around the impact that trademark infringement has on brands, with eight-in-10 (80 per cent) of C-level executives saying it is on the rise. Despite this awareness, the research also uncovered that that only one in five respondents (20 per cent) have a process in place to actively watch more than 75 per cent of their marks, while half admitted to only watching between 26-75 per cent.
Conducted by leading market research company Opinium, the survey analyzed the challenges that C-Level executives face, their outlook on trademark infringement and the trademark management process overall.
The research also showed that trademarking is on the rise, as two-thirds (66 percent) of organizations stated they had plans to launch new marks over the next 12 months. In addition, 80 per cent of respondents said they would be more likely to launch new brands if trademark clearance were simpler.
“The number of trademarks being filed is increasing exponentially and will, no doubt, continue to do so. This fact, coupled with the sheer number of trademarks that are already in the market place means that it is getting more and more difficult for brands to clear and register unique marks, while properly protecting those they have registered. This highlights the need for greater protection and, as a result, makes it imperative for organizations across the globe to develop and enforce a comprehensive strategy that helps them secure their biggest assets — their brands,” said Anil Gupta, CMO of CompuMark.
In addition to financial implications of trademark infringement, such as loss of revenue (26 per cent), respondents in the survey identified damage to brand reputation (21 per cent), customer confusion (21 per cent) and reduced customer loyalty and trust (19 per cent) as the some of the main consequences.
Other key findings from the research include:
- Ninety-four per cent said that they were confident that their company had taken the proper steps to clear a mark across all markets
- Forty-four per cent of participants state that better technology would help clear trademarks more quickly and accurately
- More than half of the respondents (53 per cent) indicated that their organizations have taken legal action against third parties who had infringed upon their brand, with 34 per cent needing to change the name of the brand because of infringement