How is industrial design related to counterfeiting?
Image by ELZABURU
ELZABURU

Industrial design and counterfeiting: why protecting a product's appearance is a strategic decision

Can a product's appearance influence a purchase decision? Yes. Industrial design not only makes a product more attractive, but it can also convey quality, innovation, reliability, and differentiation from similar products.

The recent report of the European Union Intellectual Property Office (EUIPO) This idea is confirmed by relevant data. 72% of European consumers consider product design important when deciding what to buy, and almost three out of four are willing to pay more for a better-designed product. In Spain, that figure also reaches 73%.

But the report goes a step further. If industrial design influences consumer choice, it also becomes an asset particularly vulnerable to copying, imitation, and counterfeiting. Therefore, protecting a product's appearance is not just an aesthetic issue. It's a strategic decision within a company's intellectual property management.

What does industrial design protect?

Industrial design protects the configuration or external appearance of a product. That is, its lines, contours, shape, colors, textures, materials, ornamentation, or the combination of these elements.

It does not protect an abstract idea or a technical solution in itself. Other legal frameworks exist for that purpose, such as... patents or utility modelsIndustrial design protects the specific way in which a product is visually presented in the market.

This can be applied to very different products: furniture, containers, bags, jewelry, clothing, electronic devices, industrial parts, lighting, toys, packaging or everyday consumer goods.

In markets where many products offer similar functionalities, appearance can be decisive. Recognizable packaging, a unique shape, or a consistent visual identity can help consumers identify, remember, and prefer one product over others.

This point is especially relevant in the digital environment. Purchasing decisions are increasingly made on marketplaces, social media, and e-commerce platforms, where the product's image carries significant weight before the consumer can physically touch, try, or compare it.

Industrial design and counterfeits: a direct relationship

Counterfeiting doesn't always involve copying a brand or reproducing a logo. In many cases, what is imitated is the product's appearance.

A counterfeit product can replicate the shape of a handbag, the setting of a piece of jewelry, the design of a shoe, the silhouette of a lamp, or the overall appearance of packaging. Sometimes it will also incorporate a third-party trademark. Other times it will attempt to visually resemble the original product without exactly copying its distinctive feature.

That is where the protection of industrial designs acquires an obvious practical utility.

A trademark protects the sign that identifies a business's origin: a name, a logo, a graphic combination, or, in certain cases, a distinctive shape. Industrial design, on the other hand, protects the product's external appearance. Both can be complementary, and in sectors vulnerable to copying, it is advisable to analyze them together.

For example, in fashion, jewelry, watches, furniture, accessories, electronics, or packaging, consumers often recognize a product by its appearance before other factors. If that appearance is copied, the damage can extend far beyond a lost sale. It can affect the company's reputation, create confusion in the market, and undermine the investment made in creativity, development, and communication.

Why the best-designed products are more vulnerable

At first glance, the more recognizable an industrial design is, the more value it can generate. But it can also be more attractive to those seeking to capitalize on that value without incurring the costs of creation, manufacturing, quality, or positioning.

The EUIPO report notes that the sectors where the design These sectors play a key role and are especially vulnerable to counterfeiting. In the European Union, estimated annual losses reach €12.000 billion in the textile and clothing sector and €2.700 billion in handbags and jewelry. In Spain alone, counterfeiting causes losses of more than €1.200 billion in these sectors.

E-commerce has intensified this risk. A copy of an industrial design can appear on a marketplace, circulate on social media, be promoted through targeted ads, or reach the consumer from international channels in a very short time.

This presents an additional challenge for businesses. By the time an infringement is detected, the counterfeit product may already be distributed across various platforms or territories. In such a scenario, having a registered design can facilitate action, as it allows for clearer proof of which design was protected, from when, and in what geographical area.

It's not just a problem for big companies.

Counterfeiting is often associated with large companies, but SMEs are also especially vulnerable to the copying of industrial designs.

Many small and medium-sized enterprises (SMEs) base their differentiation on a few products or a unique appearance that constitutes an essential part of their competitive advantage. When a third party copies these designs and markets them at a lower price, the consequences can be significant, as SMEs often have fewer resources to monitor and take action against infringements.

The EUIPO report highlights precisely this gap. Although companies that register industrial property rights tend to show better economic indicators, only around 1% of EU SMEs hold registered design rights.

The figure clearly shows room for improvement. Many companies invest in creating attractive products, but they don't always incorporate industrial design protection into their planning. And, in many cases, the problem arises when the product has already become successful and copies begin to appear.

How to integrate industrial design into the company's strategy

Industrial design protection should begin with a simple question: what visual elements make this product recognizable or different?

From there, it's advisable to identify which products, packaging, collections, components, or embellishments have real or potential commercial value. Not all designs need to be registered, but those that represent investment, differentiation, or market expectations deserve specific evaluation.

It's also advisable to keep documentation of the creative process: sketches, versions, renderings, briefs, design decisions, creation dates, and contracts with external designers. This documentation can be useful in case of a dispute, especially if you need to defend the validity of the design or prove ownership.

Finally, protection must be accompanied by mass surveillanceDetecting counterfeit products, imitations, or copies of industrial designs in marketplaces, trade fairs, social networks, or distribution channels allows for earlier action and reduces the impact.

Branding, industrial design and unfair competition: complementary paths

In some conflicts, the copying of a product can be analyzed from different legal perspectives.

Using a sign identical or similar to a registered trademark may constitute trademark infringement. Reproducing the appearance protected by a registered design may constitute industrial design infringement. And, in certain cases, unfair competition may also be considered, especially when the imitation causes confusion, unfairly exploits another's reputation, or distorts market behavior.

Therefore, protection against counterfeit goods rarely relies on a single approach. A combined strategy is usually the most effective.

Protecting industrial design is protecting investment in differentiation

The EUIPO report confirms that industrial design influences consumer choice and is part of the competitiveness of European companies. But that same value also makes it a target for the forgery and the copy.

For companies, registering an industrial design should not be seen as a defensive measure reserved for when a conflict arises. It is a strategic decision that allows them to protect the investment made in creativity, development, positioning, and reputation.

 

Manolo Mínguez, Senior Associate – Director of Elzaburu's Valencia Office

Share post →

Maybe you might be interested ...