Top 12 Compelling Reasons to Trademark your Brand in India

Trademark is a valuable intangible asset for any business or corporate entity. Trademark helps in building a brand identity distinctive from others in the market and protecting the uniqueness of your brand.

Trademark registration helps in protecting the unique position of a brand, gives legally recognized rights, heightens the protection it receives, protects the trademark from unauthorized infringement, allows the owner to sue for damages or injunction in case of infringement, thereby making it essential for all companies and entrepreneurs to pursue.

India is a global emerging market where a vast number of identical brands keep entering every day. Trademark rights are territorial and valid for the country where you have registered your brand. If you wish to market your products and services in India, it is important to get trademark registration to receive protection. India acknowledges the scheme of multi-class applications where goods and services are categorized into 42 classes. A foreign individual or corporate entity can apply for more than one product/service in India and file trademark applications provided its country is a member of the Madrid Protocol.

MADRID PROTOCOL

To avoid multiplicity of applications, the Madrid System was introduced as a “single-window solution” to all problems. The Madrid Protocol is regulated by WIPO, a Geneva-based organization. This system allows individuals and companies to register their trademarks in multiple countries (that are members of the Madrid Union) by filing a single application. India became a member of the Madrid Protocol on 8th July 2013. This implies any individual/entity from a member country can apply for trademark registration in India.

Advantages of Trademark Registration under Madrid Protocol

• It is a simple, convenient, and hassle-free process
• Worldwide Recognition of your brand, products, services
• Cost-effective

“A Trademark is a company’s persona and identity in the marketplace.”
-Kalyan C. Kankanala, Fun IP, Fundamentals of Intellectual Property

The importance of securing a trademark registration cannot be emphasized further. There are innumerable reasons to get your trademark registered. Some of them are listed below:

1. Exponential growth in the Indian economy

India is one of the fastest-growing economies with approximately 1.38 billion people with a 0.95% growth rate every year. The Indian market has great potential for foreign businesses to grow and thrive. Therefore, it is important to protect your brand access from customers and build value and goodwill.

2. Acts as a deterrent

After registration, the trademark owner can publicly advertise the brand that will alert others to your registration and pre-empts the defence of innocent infringement. A registered trademark starts appearing in the trademark search reports thereby dissuading others from filing registration of a similar or identical mark. The National Trademark Office in New Delhi refuses registration of any mark that it deems confusingly similar to an already registered mark.

3. Creates an asset for business

Trademark registration increases the brand value and provides you the exclusive right to use the mark for business purposes. As a result, millions of customers trust and value these brands. The logo of Apple Inc. and trademarks of McDonald’s, Nike, KFC, etc reflect the power of branding and recognition. The business evaluations have evolved to be beyond the physical assets possessed by these companies.

4. Build your unique brand identity

Nowadays, businesses spend a considerable chunk of money on marketing and outreach to popularize their brand. A trademark registration gives you the proprietary right to use the mark under the class it is registered. It takes time and resources to build a brand and scale any business. Therefore, it is worthwhile to have a registration to protect your brand under Indian laws.

5. Brand protection

Trademark registration establishes exclusive ownership over the brand, logo, name, shape, or symbol. Exclusive ownership means you have the sole right and authority to sell, license, use, and modify the trademark in whichever way you want, and protects the brand from any unauthorized use by a third party.

6. Easy communication tools

Trademarks speak for themselves. They are an easy and effective means of communicating with the consumers. A registered trademark can be easily identified and customers associate easily with their products and services.

7. Online users can easily find you

Search engines like Google and other social media platforms like Instagram, Facebook, etc. are capable of finding the trademark products within a few clicks. Registered trademark offers ease to online users by helping them distinguish between a large number of products and services and find the most relevant one for themselves.

8. Growth in foreign investment

Trademark registration influences foreign investment and has variable degrees of importance in different sectors in terms of encouraging FDI.

9. Perpetual ownership

Subject to a renewal procedure due every 10 years, you can own your trademark for as long as you wish!

10. Use of foreign brands by Indians

Several forces are responsible for the shift in the consumption and behavioral pattern of Indians and Indian businesses creating an attractive market for international brands. The increasing penetration of D2C channels, rising incomes, a shift in preferences, willingness to adapt to new trends, etc. have created an opportunity for foreigners.

11. Cybersquatting

Cybersquatting is the registration of trademarks in bad faith by third parties registering domain names for certain well-known marks in order to sell them to the original rights owners. There is a widespread practice of cybersquatting, and it is advisable for the rights owners to register their domain names in India as trademarks.

12 Protection against infringement

A registered trademark is a legally protected asset under the Trademark Act, 1999. Thus, if you have a registered trademark in India, you can challenge the usage of a similar or confusing brand name, sue for damages or injunction, and stop the infringers from using your mark.