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Case Study

Koalabi

Koalabi Ugg Boots is an Australian brand that manufactures and supplies high quality, sheepskin ugg boots since 1989. The company has been successfully wholesaling and retailing to many customers locally and internationally.

The unknown scenario

Within the first month of using Authenticateit, Koalabi Ugg Boots has been able to discover 12 outlets selling counterfeiting footwear to consumers. This was a scenario that they were unaware of before using the system.

When the 12 identified retailers were approached, Koalabi Ugg Boots realised the retailers were unaware that the products being sold were not genuine. Selling counterfeiting goods did not only affect Koalabi Ugg Boots business but had an impact on the 12 retailers who were selling low quality products to their customers.

A new opportunity

Authenticateit has provided Kolaabi Ugg Boots with a new opportunity to identify counterfeiting goods, educate retailers that are unaware of the situation and grow the company’s existing supply chain by including retailers that were previously engaged with a counterfeit.

In the first six months, Koalabi Ugg Boots has expanded their retail network and increased customer confidence in purchasing Koalabi branded footwear. As a result, the company has already seen their sales escalate by 3%.

GREY IMPORTS

Koalabi Ugg boots distributes their products locally and globally. This has encouraged the sale of grey import goods, with some of their eastern European distributors taking advantage of the lower wholesale prices and exporting Koalabi Ugg Boots products from Europe to local retailers in Australia and New Zealand. Since the products from grey imports are available at a lower price, local retailers selling genuine products are facing challenges with sales and therefore, Koalabi Ugg Boots have had to reduce the average price of a product distributed to the Australian/New Zealand market in order to continue the sales of genuine goods.

The Authenticateit system provides brands with the ability to place a restriction on overseas imports, confining distributors to supply products to a specified region. If in case an international distributor attempts to supply products to a retailer in another country, which doesn’t fall within the defined region, the brand owner will be alerted. However, for cases when an international distributor delivers products to an unauthorised region, bypassing the Authenticateit system – it will be hard to get the products sold as both retailers and consumers will be able to confirm the authenticity of the product prior to purchase.

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