dar es salaam, tanzania 22-26 th august, 2011 “collective marketing: adding value through...
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Dar es Salaam, Tanzania 22-26 TH AUGUST, 2011 Collective Marketing: Adding Value through Geographical Indications, Certification Marks and Collective Marks Mboya Rose Slide 2 PRESENTATION OUTLINE Brief introduction to trademarks Certification marks and collective marks Geographical indications and their economic significance The Case of Developing Countries Enforcement of GIs Slide 3 objectives The participants should be able to differentiate between trademarks, collective marks, certification marks and Geographical indications Importance of the above on economic development Differentiate between GIs, Indication of source and appellation of origin International Treaties for the protection of above Identify local certification and collective marks Identify some of the products that can be protected as GIs in your country Slide 4 What is a Trademark? is a distinctive sign, used by a merchant to identify its goods or services and to distinguish them from those produced or provided by others. 1. Introduction to Trade Marks Slide 5 To the producers: Enables companies to differentiate their products Is a marketing tool and the basis for building brand image and reputation Encourage companies to invest in maintaining product quality a valuable business asset May be licensed to provide a direct source of revenue through royalties is a critical element in franchising agreements Can be use as collateral for obtaining financing II. The Role of Trademarks in Economic Development Functions of Trademarks Slide 6 To the Consumers: Ensure that consumers can identify the origin of products Aid consumers in distinguishing between products from different manufacturers Acts as an indication of quality Acts as an assurance of genuineness Source of information The Number and Quality of Billboards a long the road is a reflection of the level of commercial activity in the country Slide 7 Words Yes is a registered mark of Kencell Communications Limited. JOGOO is a registered mark of Unga Limited Device The device is a registered mark of Nation Media Group. The wind mill device is a registered mark of Unga Limited Slide 8 Combinat ions Of letters with devices Courtesy: Eastman Kodak Company KCB is a registered mark of Kenya Commercial Bank Three- dimens ional marks: The contour device of a bottle is a registered mark of Coca Cola Company Slide 9 Slogan the pride of Africa is a mark of Kenya Airways. MY COUNTRY MY BEER MY COUNTRY MY BEER is a mark of East Africa Breweries Limited. Numerals 0722 is a registered mark of Safaricom limited 504 504 is a mark of Automobiles Peugeot of France Slide 10 iii)Term of protection In Tanzania, first registration seven (7) years. Registration can be indefinitely renewed for further ten (10) years after expiry of original registration or of the last renewal of registration. In Zanzibar, first registration fourteen (14) years. renewed indefinitely for further fourteen (14) years after expiry of original registration or of the last renewal of registration.. Slide 11 2.Collective Marks and Certification Marks A)Collective marks are marks used to distinguish products or services provided by a group of enterprises, generally members of an association. Collective marks are often used to show membership in such an association, union or organization (e.g. UAW for United Auto Workers). Slide 12 Collective Marks Collective mark -owned by an association or cooperative The association establishes set criteria e.g. quality standards Permit individual enterprises who are members of the Association and who comply to use Members use the collective mark to market their products domestically and occasionally internationally, Allows the member SMEs to benefit from a reputation acquired. The use of a collective mark may foster an alliance or facilitate cooperation with other SMEs so as to take full advantage of common resources. Slide 13 ii)Difference between collective marks and individual marks Collective marks is allowed to be used in relation to products of different enterprises which are members of an association, and all of which produce or provide the same or very similar products, whereas an individual trademark is used for a product or service provided by just one enterprise Slide 14 iii)Why are collective marks relevant for collective marketing a)It is not always easy for individual enterprises to gain consumer recognition and loyalty. b)Gaining access to retail stores, local markets and distribution networks and making their products known among consumers require a significant investment that may exceed an individual enterprises capacity c)A collective mark denotes the common origin of the products and services from those individual producers or enterprises who use it. d)Important for bulk orders that an individual cannot supply Slide 15 iv)Relevance of collective marks to collective marketing d)Collective marks are often used to show membership in union, organization. e)Because the owners of a collective marks is responsible for ensuring compliance with certain standards by its members, the function of the collective mark is also to inform the public about certain features of the product which collective mark signifies f)Collective marks are often used to promote products that are characteristic of a given region. Use of a collective mark helps to market such products domestically and occasionally internationally, but also provides a framework for co-operation between local producers Slide 16 v)Who can apply An association of producers which will authorize its members to use the collective mark in relation to certain products or services Collective marks are protected through registration The costs, duration and scope of protection are similar to those of an ordinary trademarks. Since the cost gets distributed over the entire membership of the association, it becomes much cheaper for an individual member. Collective marks cannot be licensed Slide 17 B)Certification Marks Are given for compliance with defined standards, but are not confined to any membership. They may be used by anyone who can certify that the products involved meet certain established standards. The label used as a certification mark will be evidence that the company's products meet the specific standards required for the use of the certification mark. Tanzania Bureau of Standards (tbs) ISO compliance Slide 18 Certification Marks The Woolmark symbol is the registered trade (certification) mark of the Woolmark Company. The woolmark is a quality assurance symbol denoting that the products on which it is applied, are made from 100% new wool and comply with strict performance specifications set down by the Woolmark Company. It is registered in over 140 countries and licensed to manufacturers who are able to meet quality standards in 67 countries Slide 19 iii)Use of certification mark together with individual mark Certification mark and individual mark can be used concurrently The label used as a certification mark will be evidence that the product meets the prescribed quality and standards Slide 20 3. Geographical Indications cont Sign used on goods that have a specific geographical origin and/or possess qualities or a reputation that are due to that place or origin. Interrelation between product and origin Examples Champagne for sparkling wine (France) Bordeaux for wines (France) Tequila for alcohol (Mexico) Slide 21 GIs cont.. The term is intended to be used in its widest possible meaning. It embraces all existing means of protection of such names and symbols (Eiffel towers), regardless of whether they indicate that the qualities of a given product are due to its geographical origin (appellation of origin) or they merely indicate the place of origin of a product (indication of source) Slide 22 ii)Appellation of Origin An appellation of origin is a special kind of geographical indication. It generally consists of a geographical name or a traditional designation used on products which have a specific quality or characteristics that are essentially due to the geographical environment in which they are produced. Slide 23 iii)Indication of Source Any expression or sign used to indicate that a product or service originates in a country, a region or specific place. Indication of source on a given product is merely subject to the conditions that this product originates from the place designated by the indication of source. e.g Made in Kenya In its general use, it has become rather a designation for those indications of source which are not considered to be appellation of origin. Slide 24 Appellation of Origin cont.. The use of appellation of origin requires a quality link between the product and its area of production. This qualitative link consists of certain characteristics of the product which are exclusively or essentially attributable to its geographical origin such as climate, soil or traditional methods of production The concept of a geographical indication encompasses appellations of origin. Slide 25 Examples of GIs cont.. Example 1: Tequila (Mexico) Tequila, a Mexican drink, has acquired a distinct identity. Means of Protection as GI Through a presidential decree in 1977, and is only produced Five Mexican states that have exclusive right to produce the beverage. In 1978, tequila registered under the Lisbon Agreement and established its international status. The Mutual Recognition Agreement signed between Mexico and the European Union for the reciprocal recognition of GIs in 1998. Slide 26 Tequila Protection Its producers to market it worldwide No other product made with alternative ingredients could be marketed as Tequila. Over 190 million liters of tequila sold annually because producers were able to guarantee the quality of the product and they could avoid the name being misused. Example 2. Swiss for watches Quality commonly associated with Switzerland range from the precision and rel