Alibaba Group Holding Ltd (NYSE:BABA) has launched a technology aimed at detecting fakes. This comes amid pressure on the firm over the presence of fake goods on its websites. The Chinese company introduced new difficult to copy symbols resembling QR codes, which will form part of product labels to enforce authenticity.
The technology is already employed by L’Oreal and Ferrero Rocher. Alibaba currently faces numerous charges of merchants selling counterfeit goods on its platform. The Chinese government too has taken note of such instances of fraud.
Alibaba roped in the Israeli startup Visualed for what it dubs dotless visual codes. As opposed to QR codes, Alibaba’s code can include images in the centre. Upon receiving products, customers can use Alibaba’s Taobao app to scan the codes on them. Each code applies to a single product and can be scanned only once ensure only one time use.
The code also contains information, bargains and recommendation tailored to customer’s preferences. Visualeads’s technology is behind Blue Star a new tool that churns out individual scannable codes for individual products. An image is displayed if the product is original. Another image is displayed if the product is fake. Firms can select from a host of templates to customize these landing images. Alibaba Group Holding Ltd (NYSE:BABA) is offering the technology free at present globally.
The move is not only a technology innovation to curb the sale of counterfeit goods. It demonstrates that Alibaba is abreast of the latest technology which it offers real-time to its vast customer base. Its lawyers can also use the technological innovation to buttress Alibaba’s claim that it’s serious about tackling the counterfeiting problems prevalent on its websites.
If this technology proves reliable and effective it will go a long way in getting rid the global menace of counterfeiting and protecting the genuine goods from the fake industry.