Marketing Software Products: The Importance of Trademarks and Industrial Designs - Case Studies

1. Marketing Software Products: The Importance of Trademarks and Industrial Designs - Case Studies

2. Beyond Getting Noticed: The Role of Trademark and Industrial Designs in Developing a Branding Strategy Guriqbal Singh Jaiya Director Small and Medium-sized Enterprises Division World Intellectual Property Organization

3. This Presentation 1. What is Branding? 2. The Branding and Trademark Symbiotic Relationship 3. The $ Value of a Brand, …. of a Trademark 4. What is a Trademark? 5. DO’s and Don’ts to Preserve Distinctiveness and Value of a Trademark 6. Most Common Mistakes by Exporters 7. What is an Industrial Design? 8. The Value of a Creative Design 9. Practical Aspects of Industrial Designs 10. Industrial Design Issues Affecting Various Types of Business Decisions

4. What is Branding?

5. Does a Name Really Matter? In 1969 while speaking at a small scientific conference, Sir Roger Penrose, a Cambridge physicist announced his discovery of what he called a “gravitationally totally collapsed object.” The world yawned.  Months later, he changed his description to a “Black Hole” and the news of his discovery raced around the world. Today, the term Black Hole is a part of the world's working vocabulary.  We cannot understand, or maybe we do not care about a collapsed object. But a Black Hole is something very different. It is provocative, intriguing, exciting and conceptual. Most important, it is believable. (quoted from Lexicon Branding, Inc.)

6. What is a Brand? In marketing terms it is: The intangible, but real, value of words, graphics or symbols that are associated with the products or services offered by a business.

7. A brand represents the holistic sum of all information about a product or group of products. It is a symbolic construct which typically consists of — a name; — identifying mark; — logo; — visual images or symbols; or — mental concepts.

8. Simply, a brand is to ... — distinguish a product or service. It is useful for the marketer to think of this as a set of aligned expectationsin the mind of its stakeholders... from its consumers, to its distribution channels, to the people and companies who supply the products and services.

9. What is the Purpose of Branding for your Business? 1. Gives your business a significant edge over the competition; 2. Makes the customer view your business as the only solution to their need or problem; 3. A strong brand will engender feelings of trust, reliability, loyalty and recognition in the customer’s mind; 4. Through its brand image, a business will attract and retain customer loyalty for its goods and services and increase the valueof its business.

10. What to do for a Successful Branding Strategy ... 1. Develop a brand that is part and parcel of your business plan; 2. Target what customers care about: articulate precise values and qualities that are relevant and of direct interest; 3. Emphasize features that are both important to consumer and quite differentiated from competitors; 4. Sell the brand outside and inside: Motivate employees to identify with brand; 5. Keep brand flexible; 6. Communicate the brand image at all levels of operation; 7. Use Intellectual Property Rights (IPRs), tools for branding, such as trademarks and industrial designs.

11. Source: Association of Professional Design Firms, APDF,http://www.apdf.org/Public/Index.asp?Page_ID=74

12. The Branding and Trademark Symbiotic Relationship

13. What is the Relationship between a Brand and a Trademark? … The term ‘brand name’ is often used interchangeably with “brand”, BUT … … it is more correctly used to specifically denote written or spoken linguistic elements of a brand. …. In this context a “brand name” constitutes a type of trademark, if the brand name exclusively identifies the brand owner as the commercial source of products or services. …. A brand owner may seek to protect proprietary rights in relation to a brand name through trademark registration.

14. A Brand — A Trademark — Trademark: Legal concept — Brand: Marketing concept 1. Registration of a trademark will add value to your business as it protects its other inherent assets; 2. Brand profile and positioning may vary over time, but trademark protection will remain the same.

15. So … What is the Value of Branding ... ….. and the Importance of Trademark Protection ….?

16. The Importance of Brand Equity and Trademark Protection — Brand Equity measures the total value of the brand to the brand owner, and reflects the extent of brand franchise. … Brand Equity is built on the foundation of a protected Trademark, and this in turn becomes one of your business’ most valuable assets.

17. …. Therefore, as an asset, a ‘Brand’ and/or a Trademark, can... • ….. be disposed of separately from the other company’s assets (it becomes a ‘free-standing’ asset); and • ….. giverights that can be legally protected.

18. Note …. — In a highly competitive market, a company’s brand will either ... ….. disappear much faster than their products’ trademarks protection period, or will be … ….adapted to protect a different product over time.

19. … the Importance of a Trademark is that it becomes ... — A marketing tool; — Source of revenue through licensing; — Crucial component of franchising agreements; — May be useful for obtaining finance.

20. The $ Value of a Brand; ….. of a Trademark

21. The Value of Brands in 2004

22. France (June1, 2005) Switzerland (December 16, 2004)

23. Spain 16 February 2004

24. Australia (November 18, 2004) Singapore (December 15, 2004) Brazil (June 2, 2004)

25. Chile (August 5, 2002) Mexico (June 11, 2003)

26. {The ‘Social’ Value of a Brand} by www.brandchannel.com

27. Using the Trademark as a Business Asset — Licensing: owner retains ownership and agrees to the use of the TM by other company in exchange for royalties > licensing agreement (business expansion/diversification); — Franchising: licensing of a TM central to franchising agreement. The franchiser allows franchisee to use his way of doing business (TM, know-how, customer service, etc.); — Selling/assigning TM to another company (merger & acquisitions/raising of cash).

28. What is a Trademark?

29. What is a Trademark? A sign capable of distinguishing the goods or services produced or provided by one enterprise from those of other enterprises.

30. … a Trademark is ... — Any distinctive sign, or any combination of signs;  Words, including personal names, letters, numerals, figurative elements (logos), combination of colors, sounds, smells, etc.  Visually perceptible; 2D or 3D (shape)

31. Less or Non-Traditional Forms of TMs  Single colors  Three-dimensional signs (shapes of products or packaging)  Audible signs (sounds)  Olfactory signs (smells)

32. Types of Trademarks • Trade marks: to distinguish goods; • Service marks: to distinguish services; • Collective marks: to distinguish goods or services by members of an association; • Certification marks; • Well-known marks: benefit from stronger protection; • Trade-name vs Trademark.

33. What are the Functions of a Trademark? — Allows companies to differentiate their products. — Ensures consumers can distinguish between products and ultimately develop brand loyalty and Trust.

34. Any Distinctive Words, Letters, Numerals, Pictures, Shapes, Colors, Logo-types, Labels or Combinations http://www.progress.com/trademarks/index.ssp

35. Any Distinctive Words, Letters,..

36. Examples of Trademarks • CyberGrid, MetaRules, High Tower, the High Tower logo, and TowerView are trademarks or registered trademarks of High Tower Software, Inc. in the United States and other countries. • HI-TECH C®, Pacific C™, Lucifer™, PPD™, HPD™ and HI-TIDE™ are trademarks or registered trademarks of HI-TECH Software.

37. Protection through TM Registration — Exclusive rights prevent others from marketing products under same or confusingly similar mark; — Secures investment in marketing effort; — Promotescustomer loyalty/ reputation / image of company; — Provides coverage in relevant markets where business operates; — Registered marks may be licensedor basis franchising agreements.

38. Enforcing Trademarks — Responsibility on trademark owner to identify infringement and decide on measures; — “Cease and desist letter” to alleged infringer; — Search and seize order; — Cooperation with customs authorities to prevent counterfeit trademark goods; — Arbitration and mediation (preserve business relations).

39. Remember ... … In many countries, to enforce trademark rights, ….. the owner of the trademark has to provide evidence or proof of use of the mark in relation to the goods or services specified in the trademark register, aside from proof of infringement.

40. Do’s and Don’ts to preserve distinctiveness and value of a trademark

41. Protecting trademarks begins in-house... • Trademark is instrumental to developing brand identity and customer loyalty • Important to preserve and enhance distinctiveness and value of mark Protect it from being misused by others Make proper use of your trademark

42. 1. Use Actively ... … by offering the products, the services; … Affix the mark to the goods or their packaging … in promotional, instructional and reference materials; on website, labels, packaging, business papers, invoices, etc.

43. 2. Avoid Trademark from becoming Generic — Remember, the function of trademark is …. to distinguish the goods/services NOT to describe the goods/services. — If the trademark becomes common use ... • risks becoming generic; and • a loss of protection will follow.

44. Examples of Generic Trademarks • Kleenex = facial tissue • Coke = soft drink • Xerox = photocopier • FedEx = overnight courier service • Thermos = hot water bottle • Yo-yo =

45. A) Set TM apart from surrounding text__ Distinguish mark from surrounding text • Use capital letters, bold, color, italics, underline, quotation marks. • This is to avoid the chance of the mark being seen as generic term. • Creates distinct commercial impression in minds of consumers regarding the mark.

46. Correct use: Raymond Textile is India's leading producer of worsted suiting fabric with over 60% market share.‘Raymond Textile’ is India's leading producer of worsted suiting fabric with over 60% market share. Incorrect use: Raymond Textile is India's leading producer of worsted suiting fabric with over 60% market share.

47. B) Specify font, size, proportion and placement___ — Consistently reproduce font / size / proportion (especially if integral part of registered mark).  This helps to maintain a uniform and consistent look.  It avoids confusing consumers.

48. Correct use: Incorrect use: VIMAL ADT A ftosa

49. C) Specify colors________________  Color can be effective tool for creating brand identification (many people use color as selection).  If color is feature  must always appear in correct colors  must appear in color whenever possible  If you license others to use your trademark  provide color specifications  monitor correct use