In the recent Channel IQ webinar, "Enforcing Your Policy - Knowing When to Say When," Channel IQ experts David Howell and Dustin Busmann tackled the challenging problem of enforcing your policy. This deck covers: • Current mechanisms available for policy enforcement on major marketplaces like eBay, Amazon, Alibaba, and TaoBao • Best practices for aggregating and submitting evidence • How to execute and follow up on a basic Cease and Desist • Much More Who Should view this deck? • This is ideal for anyone in a Legal, Sales, or Brand role. The full webinar is available by visiting www.channeliq.com.

1. Channel IQ | Know What You Don’t Know Series:
Enforcing Your Policy - Knowing
When to Say “When”
David Howell
Dustin Busmann
Channel IQ
350 W Ontario St, 6th & 7th Floors
Chicago, IL 60654
312.846.1199
www.channeliq.com

2. Introductions
Today’s Guest Speakers
David Howell
Dustin Busmann

3. What is your problem?
Less aggressive than the question might read, but still a valid point.
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4. Do the DUE (diligence)
Find out as much as possible ahead of time.
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5. Do the DUE (diligence)
Give yourself some credit
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6. The TAO of TaoBao
Learning how TaoBao and Alibaba work
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7. >700MM
>$175B
registered users
>760MM
Products on TaoBao (C2C)
March 2013
>$5.78B
Sales recorded 11.11.13
Alibaba Group Sites
product sales 2012
>70K
Consumer Brands on TMall
(B2C) March 2013
Alibaba boasts the
biggest online sales day
in recorded history
171.3MM
Transactions Processed by AliPay
on 11.11.13 (Global Record)
~$5.29B
US Online Sales 2013
Thanksgiving-Cyber Monday
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Sources: Forbes, Wall Street Journal, Venture Beat, The Economist, eCommerce Bytes, Alibaba Group Report, comScore

8. Alibaba Enforcement Steps
AliProtect | legal.alibaba.com
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9. Alibaba Enforcement Steps
AliProtect | legal.alibaba.com
1.
Register for a free account with AliProtect and submit your infringement claim
2.
Once Alibaba receives and evaluates the complaint/notice they will expeditiously
take down the listing referred to in your claim
3.
They will then notify the seller in writing of the removal of the claimed infringing
product listing and provide them with your contact information so that they may
contact you directly with an opportunity to respond
4.
If the seller objects to the removal of the alleged infringing product listing, the
seller may submit a counter-notice to dispute the claim. Upon receipt of such
counter-notice, Alibaba may resume the seller’s listing unless they receive notice
from you that an action has been filed against the seller in a court of competent
jurisdiction for infringement of your intellectual property rights
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10. eBay VeRO | Not a Zero
FACT
pages.ebay.com/help/tp/vero-rights-owner.html
eBay has a solid track record
for removing infringing listings.
Close to 100% in fact.
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11. Who are these sellers?
Marketplaces statistics - eBay
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Source: Michael Jones: “eBay: Connected eCommerce”, Sep 2013

12. Amazon Sellers
Support group is here.
• https://www.amazon.com/gp/help/reports/infringement
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13. 1.3MM
third party sellers 2009
>2MM
third party sellers 2013
Now,
look at it
like this:
36%
40%
3PS % of total sales Q3 2011
3PS % of total sales Q3 2013
$13.81B
net sales Q3 2012
$17.90B
net sales Q3 2013
$7.16B * 7% = >$500MM
sales by 3PS Q3 2013
% counterfeit goods
sales lost to counterfeit goods
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Sources: Reuters, Consumer Goods Technology, RetailWire, Amazon.com Q3 2013 Annual Report

14. Amazon
Amazon Anti-Counterfeiting Policy
If you sell counterfeit goods, we may immediately
suspend or terminate your selling privileges and
destroy inventory in our fulfillment centers without
reimbursement. In addition, if we determine that a
seller account has been used to engage in fraud or
other illegal activity, remittances and payments may
be withheld or forfeited. The sale of counterfeit
goods can also lead to legal action by rights holders
and civil and criminal penalties.
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15. Global Compliance Rates
Among Marketplaces
Asia/Pacific
Europe
Americas
0%
20%
40%
60%
80%
100%
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16. Cease and persist
How to take the next step
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17. Marketplaces fallout
Dropping the bomb is just the first step
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18. Enforcing Your Online Policy
The big list of do’s
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•
•
•
•
•
•
•
•
•
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Register Trademarks for your brands
Identify the infringer(s)
Qualify the data and find the depth of the problem
Form an educated, enforcement strategy
Implement solutions immediately
Secure appropriate domain registrations
Purchase both Gtlds and Cctlds as needed
Identify and Recover Typographical domain names
Actively Monitor for Online Sellers
Make it known you will not honor warranties for items purchased from an unauthorized seller.
Remove all products and authorization from online retailers with ineffective escalation policies
Create whitelist on your website of authorized retailers
Never, never, never stop
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19. Enforcing Your Online Policy
Where to begin online
•
•
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Global Marketplaces
Typo Domain Names
Cybersquatting
Online auctions
Social Media
Paid Search Ads
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20. Enforcing Your Online Policy
Step-by-step
1.
2.
3.
4.
5.
6.
7.
Compile list of infringements and qualify results
Uncover identities of infringers
Collect necessary evidence
Send Cease and Desist and Demand letters
Submit evidence and filings to appropriate agencies
Escalate where applicable
If you can’t do it – find someone who can - sometimes you only get one shot at it
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21. Enforcing Your Online Policy
If you decide to, choose the right solution provider
• Select a qualified Brand Protection solution
• International and U.S. IP experience
• Enforcement that can work independently or in conjunction with your
inside and/or outside counsel
• Monitoring and Enforcement under one roof
• Offers enterprise level investigations
• Flexibility to adapt a solution to your specific needs
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22. Enforcing Your Online Policy
Who’s Duty is it to Police the Internet?
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23. Thank You
For More Information Please Contact:
David Howell: dhowell@channeliq.com
Dustin Busmann: dbusmann@channeliq.com
Channel IQ
350 West Ontario Street, 6th & 7th Floors
Chicago, IL 60654
www.channeliq.com