NeuroTags Tech

NeuroTags Vs Competitors

Competitive Analysis - NeuroTags

We have been getting many inquiries about how we are better than our competitors. We thought we would put together a brief competitive analysis and the reasons why and how we solve the core business problems.

The Problem

In early 2017 we came across the huge damages done by counterfeiting especially in Pharmaceutical, and we came to know that close to 1 million people die every year globally due to counterfeit medicines.

We thought maybe there is some technology out there which we can promote to help prevent so many deaths, and we started to research, to our surprise there was hardly anything which was foolproof.

What works?

Almost all the companies think using holograms or some kind of unique pattern or unique graphics or Unique Id (serialization) they can prevent counterfeits, but the reality is it is very simple to clone these unique labels and pass a counterfeit check.

The sticker or hologram based security assumes people will automatically know how to distinguish between a genuine or non-genuine check. It backfires really bad because if a counterfeiter just creates a better-looking hologram, he will be considered as more genuine by a consumer and your real brand may be considered as fake by the same user.

In case of mobile-based authentication, everyone again is giving all the emphasis on the uniqueness of the sticker or code or UID, and the truth is they too can be very easily cloned and can pass the fake check.

Our approach

Based on our analysis the right way to solve this problem was to monitor the scan patterns, as counterfeiter has no control over the consumers. And the scan patterns analysis on the product item kind of become unique when looked at in a holistic way.

It is very similar to the way bank monitors the credit card usage pattern, so even if someone steals your credit card their new purchase patterns raise the RED flags.

Our smart tags are backed by AI

So we designed a system which monitors more than two dozen scan patterns using a combination of heuristic and machine learning modules and looks for patterns which can raise RED flags. E.g., one simple pattern is if the scans are simultaneously happening on the same code from 2 different geographic locations.

Now, this can very well help bring down the counterfeits, but we wanted even more certainty. So we designed the second algorithmically coupled code which can only be accessed after purchase, and it is a one-time scan code, meaning if this code is scanned we know for sure that the item, it belonged to, is purchased, and we lock the first code too.

A pair of tightly coupled tags, one pair for each product
A pair of tightly coupled tags, one pair for each product

The first code we call as open code or pre-purchase code that is a code which helps a consumer to know the authenticity of the item before purchase.

The second code we call as protected code or post-purchase code, as this can only be accessed by the user once they purchase the item, as this code is inside a sealed package or may be covered by a peel-off or scratch-off layer.

Control the customer drop off rate – no app download required

This way, the problem of counterfeit could very easily be solved. However, the question arises will the consumers really scan the codes?

We found that if we ask users to download a mobile app first, then the majority of users will drop off. So we designed our system to be completely app-less. We let our codes be printed as QR or NFC, which can be scanned by any smartphone(with a camera and inbuilt NFC capability) without the need of downloading an app.

Loyalty Engine and eWarranty Engine

Now, the other challenge was how to make people scan the codes; this is where we work with the brand to show appropriate message and symbols to the consumer such as “Scan for Authentic” also work with brands for proper consumer education via various channels. On the second code, we introduced the Loyalty and eWarranty engagement, with a message such as “Scan for Rewards” or “Scan to register Warranty” along with scratch off or peel off layers on the code. This incentivizes consumers to scratch and scan the post-purchase code, without their knowing we also seal the counterfeit chances to almost zero, by their this scan.

Authentic customer data is the new weapon for brands to stay in the competition

The brands have double gains with our two tags system – elimination of counterfeits and retail consumers onboarding into the digital world of the brand.
Since the consumer provides the contact information to avail rewards or warranty, brands have chances to engage the consumer later via digital marketing. The whole process is similar to the signup process in the online world.

Benefits Summary

So the investment on NeuroTags basically pays off many times by increasing the consumers’ signups and then re-engagement. Also, removing the counterfeits from the market increases overall sales.

We also have introduced the automated re-engagement rules which brand can customize to auto-engage users based on their consumption pattern, e.g., a wine lover would love to be reminded of whenever her wine stock requires refilling, and a small gift from brand just before that can seal the deal that she will buy the same brand wines next time.

We have also introduced the eCommerce buttons, which also helps users to re-buy by scanning the product item.

We also provide on-demand AR capabilities without app download, to further engage the users and help viral the product.

 

Competitive Summary Competitors in market NeuroTags
Works without a need to Download App Usually No Yes
Pre-purchase Authentication Yes Yes
Post-purchase Verification No Yes
Clone detection and red flagging (continuous AI Cloud monitoring) – without this counterfeiting doesn’t stop No Yes
User onboarding (signup) and management system No Yes
Integrated Loyalty Engine, eWarranty and Gaming Engine No Yes
Integrated Digital Marketing Automation Usually No Yes
Native AR capabilities (No App needed) No Yes
Overall Consumer  Engagement

(projected level of use)

Needs app or have other frictions (Low) Very High

(over 5X industry average)

Integrated supply chain visibility (track and trace) Usually No Yes
Integrated Analytics Dashboards for Leadership Usually No Yes
On Cloud, Scalability Usually No, usually Limited Yes, Unlimited

 

Following table shows how NeuroTags empowers brands in the physical world (retail sales)

Capability Online Sales via marketplace (Amazon, etc) Direct Online Sales (Brand) Classic Retail Sales Retail Sales with NeuroTags
Brand controlled consumer data Weak Strong Weak Strong
Strong anti-counterfeit platform Weak Strong Weak Strong
Brand controlled post sale suggestive upselling Average Strong Weak Strong
Brand controlled “Life of customer” – marketing programs Average Strong Weak Strong
Subscription sales Strong Strong Weak Strong
Promote brand loyalty programs Average Strong Weak Strong
Detailed analytics Average Strong Average Strong
A/B testing Average Strong Average Strong
Customer feedback loop Average Strong Weak Strong

 

 

Please contact us to know more about NeuroTags offerings.

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