More than eight in 10 brands experienced trade mark infringement in the past year, a major study has revealed
The research, commissioned by intellectual property (IP) security firm CompuMark, analysed companies from across the UK, Germany, France, Italy and the USA.
According to the report, 85 per cent of firms reported trade mark infringement in the past 12 months, up from 81 per cent in 2018 and 75 per cent in 2017. The figures represent a 15 per cent increase in trade mark infringement in just two years.
The consequences of trade mark infringement can be significant. Around 45 per cent of affected firms say infringement led to “customer confusion”, while 38 per cent reported a loss of revenue and 37 per cent reported damage to brand reputation. Some firms were also forced to rebrand as a result of irreversible damage.
Litigation was also a common response to infringement, with three-quarters of firms spending between $50,000 and $249,999 (approximately £38,500 – £192,000) on legal proceedings.
According to CompuMark, the most common forms of trade mark infringement were business name and web domain infringement (44 per cent), following by social media (38 per cent), online marketplaces (38 per cent) and advertising campaigns (34 per cent).
Commenting on the report, lead author Jeff Roy said: “Trade mark infringement can have a devastating impact on brands and, as a result, clearing, registering and watching marks has never been more important.
“It’s likely we will continue to see an increase in the number and types of trade marks registered, including image marks, as the process and technology for searching continues to improve.”
For help and advice enforcing your trade mark rights, please get in touch with our expert intellectual property team.