E-Business
How Brands Can Stop Product Fraudsters in Today’s Counterfeit Economy
By Emmanuel Asika
Brands all over the world have a big problem on their hands – dealing with the ugly menace of counterfeit products that are continually flooding the marketplace which are undermining original equipment manufacturers’ (OEM) products.
Emmanuel Asika
The activities of these criminals, worsening by the day, undeniably affect the revenue of brands. But more worrisome for these brands, is the issue of lost consumer trust.
In instances, they have been misled into believing that they were buying the original product, only for the product to break down or develop a fault sooner than expected.
In Nigeria, for instance, counterfeiting remains a concern for brands, especially for those in the pharmaceutical industry, with 13% – 15% of drugs in the country said to be fake, according to the National Agency for Food and Drug Administration and Control (NAFDAC).
As of January 2022, the prevalence rate of fake drugs was reportedly higher than the global average of 10% and contributes to a sizable number of deaths annually. In one report, NAFDAC’s director of investigation and enforcement directorate, Kingsley Ejiofor, stated that the agency had seized 2 trillion-naira ($4.8 billion) worth of counterfeit drugs in the past three years.
Aside from pharmaceutical products, other prominent counterfeit items found in Nigeria are: food items, footwear, clothing, leather goods, automotive parts, optical media (CDs and DVDs), cosmetics, alcohol, and jewellery.
The Covid-19 pandemic has also shifted the landscape somewhat, with a greater number of people resorting to online shopping. Unfortunately, as brands embraced e-commerce, so did criminals.
Today, e-commerce platforms offer criminals the anonymity they need to sell products which they present as genuine goods. Where face-to-face retail offers consumers the opportunity to identify fake products at the point of sale, making those selling the products, liable for the products they sell.
With online sales, it becomes easy for illegitimate products to be passed off as original goods to global markets. As a result, brands like HP, renowned for producing print cartridges for customers around the world, must act fast to stop the spread of fake goods universally, both online and offline.
The biggest profit margins for these crooks lie in the commercial market, but they have also been targeting the consumer market. Understanding that consumers like a discount, something that is even more true with the rising cost of living, drives customers to look for cheaper deals. In the end, most of these consumers are tricked into buying counterfeits they thought were genuine.
E-commerce requires new tactics
At HP, our strategy for investigating fake products usually entails looking at the entire commercial and retail supply chain, beginning from physical locations to online platforms. This allows us to be able to trace from stores to a distributor, and upwards to the producer.
This strategy tactic has proven beneficial as we saw that between November 2020 and October 2021, HP seized 3.5 million fake print products, including completed goods and component parts, circulating in several regions including in EMEA, Asia Pacific and the Americas.
The growth of e-commerce means that we will need a wider set of tools, tactics and allies. A great percentage of fake-print products are traded in online marketplaces, and HP has been liaising with these platforms and other third-party groups to help spot counterfeit goods, confiscate them, and find their source.
For instance, HP usually carries out virtual Customer Delivery Inspections (CDIs) and Channel Partner Protection Audits (CPPAs). In FY21 alone, we conducted 1,191 CPPAs, representing an 11% increase on FY20.
These virtual checks and reviews have helped the HP Anti-Counterfeit and Fraud (ACF) team in finding and delisting over 224,000 illegitimate HP online offers globally; and we are doubling down, increasing the number of online delisting’s by 19% every year.
Additionally, HP continues to use dynamic security, which ensures chips within our products are kept updated with information that helps customers verify our product’s authenticity.
Why it is important
The anti-counterfeit war requires collaboration with several parties and joint efforts prove to be very effective. Recently, there has been stronger calls for collaboration amongst relevant stakeholders across all supply chains, to join the fight against counterfeit products in Nigeria.
Indeed, it is in everyone’s best interest to stop the use of counterfeit print products. For instance, HP printers work at their optimal levels when genuine print products are used rather than fake ones.
There are however bigger concerns – where fraudulent businesses are not concerned about the working conditions and welfare of their workers. Patronising genuine goods is an important way of supporting fair working conditions for workers around the world.
Buying original products also shows one’s commitment to protecting the environment. HP has created over 3.9 billion original HP ink and toner cartridges mainly from recycled plastic. Currently, more than 80% of Original HP ink cartridges and 100% of Original HP toner cartridges are made with recycled content.
With the HP Planet Partners, HP’s return and recycling programme, the company has recycled more than 875 million cartridges since the programme began nearly 30 years ago, with expansion to 68 countries around the globe. Patronising genuine products encourages these kinds of efforts and increases the number of sustainable cartridges in circulation.
For us at HP, we are encouraged and remain committed to halt the manufacturing of counterfeit products at source. We are also on a drive to educate consumers, the main victim in all this, about the need to report any fake products they come across.
It is a collective responsibility that involves all, from manufacturers all the way to the consumers themselves – to discourage the cycle of counterfeit goods and manipulative criminal activities. We encourage all HP customers to always look out for the holographic security label on their product box, scan the QR code to check if it’s a genuine or not– and report if it’s a counterfeit.
Emmanuel Asika is Country Head, HP Nigeria
National Identity Management Commission (NIMC) has said thet more than 136 million Nigerians and legal residents have been enrolled in the National Identity Database (NIDB).
In a statement on Tuesday, Kayode Adegoke, head of corporate communications, NIMC, said Abisoye Coker-Odusote, chief executive officer (CEO) of the commission, announced the milestone during a courtesy visit to the ministry of budget and economic planning.
In April 2025, NIMC said over 117.36 million Nigerians had been enrolled as of February 28, 2025.
The visit was part of the commission’s ongoing stakeholder engagements with ministries, departments and agencies (MDAs) on the implementation of the NIMC Act 2026.
Presenting the new Act, Coker-Odusote said the legislation repeals and replaces the 2007 NIMC Act, modernising Nigeria’s digital identity ecosystem by positioning the national identification number (NIN) as the country’s foundational identity under the “one person, one identity” policy.
She said the law also establishes NIMC as the root certificate authority for the national digital infrastructure and introduces stronger data protection and cybersecurity measures, as well as digital credentials.
“The Federal Government remains committed to enrolling and issuing NINs to all Nigerians and legal residents within the shortest possible time,” Coker-Odusote said.
She added that NIMC is ready to collaborate with the ministry of budget and economic planning to leverage the NIN for economic planning and national development initiatives.
Speaking during the visit, Abubakar Atiku Bagudu, the minister of budget and economic planning, reaffirmed the federal government’s commitment to the implementation of the NIMC Act 2026.
Bagudu described the legislation as “a transformative milestone” that would strengthen Nigeria’s digital identity ecosystem and accelerate national planning and development.
He commended the NIMC director-general and the commission’s leadership for their efforts in securing the passage of the legislation, noting that it provides “a solid legal foundation for a trusted, secure, and inclusive national identity management system”.
The minister, however, said the true measure of the Act’s success would lie in its implementation and the benefits it delivers to Nigerians.
“The true measure of the Act’s success will lie in its effective implementation and the tangible benefits delivered to citizens,” he said.
Bagudu also called for stronger collaboration across the federal, state and local governments to build public confidence in the national identity system and eliminate the duplication of identity databases across government institutions.
He said the NIN should serve as Nigeria’s single, universally accepted identity standard, supporting efficient service delivery and good governance.
On June 26, President Bola Tinubu signed the NIMC Act 2026 into law, repealing the commission’s 2007 establishing Act.
At the time, Olubunmi Tunji-Ojo, minister of interior, said the legislation would strengthen Nigeria’s legal framework for digital identity management, cybersecurity and secure digital authentication, while reinforcing the NIN as the country’s foundational identity credential under the “one person, one identity” principle.
Plateau State Public Complaints Commission (PCC), an agency of the state established to investigate complaints of abuse of office, administrative injustice and other forms of official misconduct is allegedly collecting personal information from members of the public through its website with no privacy policy.
According to investigation by Foundation for Investigative Journalism (FIJ), PCC is falling short of a key transparency requirement under Nigeria’s data protection laws.
FIJ found on Tuesday that PCC collects personal information from members of the public through its website despite providing no privacy policy explaining how that information is collected, processed, stored or protected.
The commission serves as the state’s ombudsman, receiving complaints free of charge against public institutions and private organisations on issues including wrongful dismissal, victimisation and administrative negligence.
Yet, while its online complaint portal requests personal information such as names, phone numbers, email addresses, subject lines and complaint details, visitors are given no privacy notice explaining what becomes of that information after it is submitted.
The omission means visitors are not told why their information is being collected, how long it will be retained, the legal basis for processing it or the rights available to them as data subjects.
WHAT IS THE POSITION OF THE LAW?
The guidelines issued by the National Information Technology Development Agency (NITDA) are explicit: every government website is required to have a privacy policy.
Section 10.4 (i, ii) of the NITDA guidelines mandates all government websites to exercise diligence when collecting personal details or information about visitors on their websites.
The requirement is intended to ensure transparency and accountability in the handling of personal information, allowing visitors to understand why their data is collected, how it will be used and the safeguards in place to protect it.
Similarly, the Nigeria Data Protection Act (NDPA) 2023 requires data controllers to provide privacy notices to individuals before, or at the point of, collecting their personal information.
Such notices are expected to disclose, among other things, the purpose for collecting the data, the legal basis for processing it, the period for which it will be retained and the rights available to data subjects.
Section 27 of the NDPA states:
(1) Before a data controller collects personal data directly from a data subject, the data controller shall inform the data subject of the – (a) identity, residence or place of business of, and means of communication with the data controller and its representatives, where necessary;
(b) specific lawful basis of processing under section 25(1) or 30(1) of this Act, and the purposes of the processing for which the personal data are intended;
(c) recipients or categories of recipients of the personal data, if any;
(d) existence of the rights of the data subject under Part VI;
(e) retention period for the personal data;
(f) right to lodge a complaint with the Commission in accordance with section 46 (1) of this Act; and
(g) existence of automated decision-making, including profiling, the significance and envisaged consequences of such processing for the data subject, and the right to object to and challenge such processing.
Without a privacy policy, visitors have no way of knowing the commission’s data-handling practices or the safeguards, if any, in place to protect the personal information they submit through the website.
At press time, the Plateau State Public Complaints Commission’s website had no privacy policy.
Federal government has directed key digital regulators to suspend the implementation of new rules affecting internet platforms and online intermediaries while it develops a unified national regulatory framework.
Dr Bosun Tijani, minister of Communications, Innovation and Digital Economy
The directive was issued on Tuesday by Dr Bosun Tijani, minister of Communications, Innovation and Digital Economy, after chairing a strategic meeting with the leadership of the Nigerian Communications Commission (NCC), the National Information Technology Development Agency (NITDA), and the Nigeria Data Protection Commission (NDPC).
The minister in a statement, said that the rapid growth of the digital economy has created areas where the responsibilities of the three regulators increasingly overlap, particularly in artificial intelligence, online safety, and data protection.
He said that a coordinated approach is needed to provide regulatory clarity, protect investor confidence, and support innovation.
Dr Tijani noted that as part of the directive, the agencies will temporarily halt the implementation of recently introduced guidelines in these overlapping areas.
However, the Minister said that they will continue to carry out their statutory responsibilities within their respective legal mandates.
Dr Tijani said that a Joint Technical Coordination Committee will now be established to work with industry players, academics, and civil society on a single, coherent regulatory framework.
The minister added that the move is designed to improve coordination across government, create a more predictable business environment, and strengthen Nigeria’s position as a leading destination for digital investment in Africa.
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