HP has introduced security labels on all of its printer cartridges, in another step to fight the growing cartridge counterfeiting problem.
The security label has a thermo-chromatic thread which changes to read 'HP invent` when it is rubbed with a finger. This is now available in SA.
The company has also set up an anti-counterfeiting programme to prevent, trace and track counterfeiting activity and take appropriate action against counterfeiting and fraudulent marketing in the printing supplies business.
HP is also working with other original equipment manufacturers in the ICCE (Imaging Consumables Coalition of Europe, Middle East and Africa) to fight counterfeiting and product fraud in the imaging and printing supplies business. ICCE members are HP, Canon, Epson, Konica Minolta, Lexmark, Oki, Panasonic, Samsung, Sharp and Xerox.
"Locally there are no anti-counterfeiting joint initiatives at present, but it is on the cards for the near future," says Shane Tyrrell, supplies business manager at HP SA`s Imaging and Printing Group.
"HP takes the matter very seriously and encourages as much channel support and involvement as possible when it comes to reporting cases of actual or suspected counterfeit products.
"I think local customers are as cost-conscious as any HP market globally but also as aware of the value of using original products," says Tyrrell.
He warns that counterfeiters have already come up with a fake security label. "If you look closely, you can see it is not a security label, but the counterfeiters have them already."
Tyrrell notes that fighting counterfeiters is an ongoing battle for printer manufacturers. To date, over 800 000 fake printer cartridges have been seized in police raids and civil seizures in various Europe, Middle East and Africa countries.
He says it is difficult to pin down the size of the local cartridge counterfeit market. "At present, there are no figures available on the size of the local counterfeit market. But my estimation is that the number of physical units in circulation relative to the size of the market is small. Having said that, the noise and ripple-effect felt in the market by these products is large."
Recent reports claim that printer ink is more expensive than rocket fuel, Chanel No 5 perfume or Dom Perignon champagne.
Tyrrell says consumers favour fake products for their low cost, although they cease functioning prematurely, yield a high number of unusable printouts and can damage the printer.
He says some counterfeit cartridges malfunction out-the-box, something HP refers to as DOA (dead on arrival). HP claims original black inkjet print cartridges are nine times more reliable, and HP colour inkjet cartridges are 50 times more reliable than fakes.
According to HP, refilled or remanufactured products that are marketed as such are not counterfeit, which means customers have a choice between refilled, remanufactured, reconditioned cartridges and original products.
HP Imaging and Printing Supplies` revenue was $23.9 billion over the past four quarters, compared to the company`s total $73 billion revenue in 2003.

