Marketplaces found selling counterfeits
Infringing products removed
Brand protection effectiveness
Before they actually got their UK trademarks approved, Lounge started seeing people tagging their brand in some fake products in social media. They decided to look at it in more detail, and discovered that most of the websites were Chinese, including AliExpress and Alibaba. As their popularity grew, counterfeits of Lounge products appeared on other e-commerce sites, such as eBay.
In the beginning, Lounge felt lost and stuck, since they did not have the resources to hire a legal team. They contacted Red Points and were impressed by its digital solution, which automates counterfeit detection and removal, displaying clear and detailed results to Lounge through a web-based dashboard.
In less than a month, Red Points had removed more than 2,200 fake Lounge products — a success rate of 96% at the time. Counterfeits were most prevalent on eBay and AliExpress. As Daniel says, it is a massive issue not only for financial implications, but also the negative impact on the brand’s reputation.
The English underwear company was created with one intention: to bring the comfort back to underwear, while making you feel great with yourself. This is why they eliminated countless fabrics, stitches, and designs. It is inspired by real women and real moments.
“After a year now, we can’t imagine Lounge without the Red Points’ solution”
Daniel MarsdenCEO of LoungeRequest Demo
The English underwear company was created to bring comfort back to underwear while making you feel great with yourself. Their product is unique, as they eliminated countless fabrics, stitches and designs. Nevertheless, counterfeiters weren’t afraid of creating copycats and adding Lounge’s brand to their low-quality copies. “I felt quite annoyed and worried when I realised that after all the hard work our product was being copied mainly for Chinese marketplaces. We were 100% sure we had to fight against it – but how could we do it since we couldn’t afford paying expensive legal fees?”
Lounge’s first reaction to the problem was to try to fix it by themselves. Nevertheless, it was a very time-consuming process, especially on eBay. As Daniel puts it, the real problem, though, was with Alibaba and AliExpress, as there were loads of infringements and it was pretty much impossible to get every single infringer to take counterfeits down individually.
“Then we got in contact with Red Points and we were all amazed with their technology. Originally, Red Points managed to get and takedown infringements just by using our images, which is incredible. It was a massive success: 85% were removed even before we got our UK trademarks. At the moment, Red Points has a 97% effectiveness rate in counterfeit removal. This is why we can’t imagine Lounge’s future
without Red Points’ technology”. Red Points proved to be a much more efficient and cost effective solution against online brand abuse.
Apart from avoiding the potential damage counterfeits could inflict on Lounge due to their quality, Daniel and Melanie managed to leverage their business with licensees and other partners by showing that their brand was comprehensively protected. In learning that Lounge used state-of-the-art technology to enforce their brand online, partners had the guarantee that their brand was strong and was not going to lose value.