OUR SOLUTION FOR NUTRACEUTICAL INDUSTRY

PROTECTING THE AUTHENTICITY OF NUTRACEUTICALS

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KEY PAIN POINTS FACING THE NUTRACEUTICAL INDUSTRY

COUNTERFEIT NUTRACEUTICALS, COMPLIANCE COMPLEXITY, AND LIMITED DIGITAL TRACEABILITY ARE FORCING BRANDS TO RETHINK PROTECTION AND AUTHENTICATION STRATEGIES

The nutraceutical industry continues to grow rapidly, but growth has created significant challenges around product authenticity, compliance, and consumer trust. Brands are under increasing pressure from evolving regulations, counterfeit product activity, inconsistent supply chain control, and a lack of digital traceability across channels. These pain points impact not only safety and brand reputation, but also customer loyalty, retail relationships, and the ability to scale responsibly.

MAIN INDUSTRY ISSUES

  • Counterfeit and diverted product entering online marketplaces, damaging brand credibility, and margins
  • Limited traceability across distributors, repackers/copackers, contract manufacturers, and international supply chains
  • Compliance & label risk (FDA/FTC scrutiny, claim accuracy, lot/date requirements, allergen statements, supplements facts)
  • Returns fraud and product substitution especially on Amazon / eCommerce return channels)
  • No recognizable or historical product identity hard to prove authenticity, validate “real vs fake,” or confirm chain of custody

MAIN ISSUES FOR THE CONSUMER

  • Fear of fake products (especially online) — “Is this real? Is it safe?”
  • Lack of transparency about ingredients, sourcing, and manufacturing quality
  • Inconsistent product quality between batches or sellers
  • Difficulty verifying freshness (expiration date, lot number legitimacy, storage conditions)
  • Confusing claims (“clinically proven,” “doctor formulated,” etc.) without proof
  • No simple way to confirm legitimacy before consuming (even from a retailer)

ONE OF OUR SOLUTIONS FOR THE NUTRACEUTICAL INDUSTRY

Schutz

AUTHENTICATING AND PROTECTING NEUTRACEUTICAL PRODUCTS

ADVANCED SECURITY LABELS

Tamper-evident labels & closures including the following:

  • overt
  • covert
  • forensic
  • serialization

DIGITAL VERIFICATION, TRACEABILITY AND FRAUD PREVENTION

DIGITALIZATION OF NUTRACEUTICAL PRODUCTS

Consumer Verification Scan (QR/Prop Code/NFC/RFID)
– “Verify Authenticity” scan page
– Shows product identity, brand confirmation, and safety info (verify+)
– Builds instant trust

Batch/Lot Verification & Expiration Confirmation
– Confirms lot is valid + matches brand database
– Expiration date displayed from trusted source (not printed-on product only)
– Reduces fear around old/grey-market stock

Track & Trace
– Scan events from production → distributor → retail → consumer
– Identifies leak points/diversion paths

Returns fraud prevention
– Validate returned product is same serialized unit sold
– Deny substituted returns
– Supports Amazon / 3P logistics workflows

USE CASE NUTRACEUTICAL INDUSTRY

SPECIFIC APPLICATION OF A NUTRACEUTICALS MANUFACTURER

A nutraceuticals manufacturer operating in highly regulated international markets, distributes premium nutraceutical products through direct sales, pharmacies, and authorized distributors. Increasing market pressure, parallel imports, and the risk of counterfeit products prompted the company to reassess its product protection strategy.

Prior to the project, product authentication relied primarily on packaging design and batch documentation. While compliant, this approach offered limited transparency for downstream partners and no direct verification option for end customers.

SecurityLabels applied on plastic container.

THE ISSUE

PROBLEM

As the company expanded its international distribution, the company faced a growing set of structural challenges related to product security and traceability.

  • Increasing presence of counterfeit and look-alike products in certain export markets posed a tangible risk to brand credibility and consumer safety. 
  • Parallel imports and grey market activity reduced transparency across the supply chain. Once products left the manufacturing site, the company had limited visibility into where and through which channels individual units were ultimately sold.
  • Lack of product authentication for distributors, authorities, or customers.

THE SOLUTION

VOID-LABEL WITH UID

By implementing SecurityLabels featuring unique, serialized QR codes applied to each individual sales unit, product authentication was enabled.

Key elements of the solution included:

  • Tamper-evident security labels with integrated unique QR codes

  • Real-time verification via smartphone scan (no app required)

  • Automated alerts for duplicate scans or suspicious activity

  • Aggregated scan data for basic supply chain and market analysis

The labels were integrated into the existing labeling process without changes to filling or packaging equipment.

THE RESULT

COUNTERFEIT PRODUCTS STOPPED

Following implementation, the nutraceuticals  manufacturer achieved:

  • Improved protection against counterfeiting and diversion

  • Increased transparency for distributors and quality teams

  • A simple and credible authentication feature for end customers

  • Better visibility into product movement across key markets

The system is now used across the company’s core product portfolio and has become part of the standard quality and brand protection framework.

WE PROVIDE SAMPLE BROCHURES FOR SPECIFIC INDUSTRIES AND APPLICATIONS

GET YOUR FREE SAMPLES FOR NUTRACEUTICAL INDUSTRY

ADDED VALUE FOR NUTRACEUTICAL MANUFACTURERS

  • Regulatory Readiness: UID labels simplify compliance with global regulations and reduce audit risks.

  • Brand Trust: Consumers and retailers can verify authenticity instantly, enhancing credibility.

  • Market Intelligence: Each UID scan provides insights on geography, channels, and demand patterns.

  • Pricing and Channel Control: Detects unauthorized redistribution and protects regional pricing strategies.

  • Efficient Recalls: Enables targeted recalls and faster root-cause analysis in case of quality issues.

  • Supply Chain Accountability: Tracks every handover, increasing transparency and partner discipline.

  • Consumer Engagement: UIDs can link to batch info, usage guidance, and loyalty programs.

  • ESG Support: Verifies ethical sourcing, sustainability claims, and waste reduction.

  • Future Business Flexibility: Supports subscriptions, refill systems, and digital product passports.

FEEDBACK FROM OUR SATISFIED NUTRACEUTICALS CUSTOMER

“The unique QR-code security labels provided a pragmatic way to strengthen product authentication without overcomplicating our operations. The solution fits well with our quality standards and supports our international distribution model.”

LET'S DISCUSS YOUR APPLICATION

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Book a free 30-minute consultation to discuss your specific requirements and explore the best solutions for your product security needs. Our experts are here to guide you and help you take the next step toward stronger brand protection.

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