According to the World Intellectual Property Organization (WIPO), a trademark is a crucial asset for a business because it serves as an identity that distinguishes one company’s products or services from another. Registering one provides legal protection for your business and increases consumer trust. This article will discuss what a trademark is, why it’s important, and how to officially register one.
What is a Trademark?
According to the International Trademark Association (INTA), a trademark is a sign that functions as a business identity and distinguishes your products or services from those of other parties.
The Chartered Institute of Trade Mark Attorneys (CITMA) explains that trademarks are not limited to names or logos. Elements such as shapes, patterns, colors, sounds, jingles, and even holograms can also be registered. The requirements are that they must be unique and not cause confusion with registered marks.
Unlike patents, which have a limited validity period, trademarks give their owners exclusive rights to use certain symbols, words, or marks indefinitely, allowing them to remain associated with the business or company—as long as they are used and re-registered in accordance with the provisions.
Trademark Symbols
In addition to a slogan, logo, or visual mark, trademarks are usually accompanied by a special symbol. This symbol serves to inform the public of a trademark’s protection status, whether it has been officially registered or is currently under claim. Here’s an explanation:
- ™ (Trademark) – This symbol is used after a logo or phrase to indicate that the owner claims the mark, even though it has not been officially filed or certified by the trademark office.
- ® (Registered Trademark) – Only trademarks officially registered with the trademark office may use this symbol. The ® mark indicates that the trademark has full legal protection.
- ℠ (Service Mark) – Used to mark trademarks related to services, not products. However, many companies prefer to use ™ because it is more common and simpler.
Why Do Trademarks Need to be Registered?
A trademark is not just a business identity, but also a valuable asset that can protect and enhance a company’s value. That’s why trademark registration is crucial. Here are seven key reasons why trademark registration is important.
1. Proving Legal Ownership
Trademark registration ensures that you are the rightful owner of the trademark. It also serves as a reminder to anyone that the trademark is legally protected, preventing potential infringements such as counterfeiting and plagiarism. Furthermore, a registered trademark demonstrates a business’s commitment to protecting its identity.
2. Save Long-Term Costs
The trademark registration process is relatively affordable compared to the costs of potential future legal disputes. If infringement occurs, resolution can be quicker and more efficient because there is clear legal evidence.
3. Increase Business Value
A registered trademark is considered a corporate asset that can increase business valuation. This value increases as the brand’s reputation and consumer loyalty grow. This makes a brand one of the most valuable intangible assets.
4. Increase Investor and Partner Confidence
Investors and business partners are more interested in collaborating with companies that have trademark protection. This is because trademark registration demonstrates that the company is serious about protecting its identity. This increases credibility and expands collaboration opportunities.
5. Strengthen Marketing Strategy
The use of trademark symbols on a brand creates a professional impression and increases consumer trust. This symbol demonstrates that the product is authentic, official, and worthy of protection. Consequently, consumers tend to have greater trust and loyalty to products with registered trademarks.
6. Opening Up Licensing and Franchise Opportunities
Merek yang sudah sah secara hukum dapat dijadikan aset komersial melalui lisensi atau franchise. Hal ini memberi peluang untuk menciptakan sumber pendapatan baru di luar penjualan utama. Bagi bisnis yang berkembang, hal ini bisa menjadi jalan untuk memperluas pasar tanpa harus mengeluarkan biaya operasional besar.
7. Support Global Expansion
Registering a trademark domestically can serve as the basis for applying for trademark protection abroad. This way, your brand remains secure when entering international markets. This protection ensures your business identity is not misused when expanding into other countries.
How to Register a Trademark?
Now that you understand the importance of registering a trademark, you can immediately complete the paperwork and follow the official procedures. The Directorate General of Intellectual Property currently offers an online route for trademark registration. Below are the requirements and procedures.
Terms and Required Documents
To register a new trademark in Indonesia, here are the documents you must prepare:
- Brand label or label (example logo/brand writing).
- Applicant’s signature.
- Recommendation letter for fostered SMEs or certificate of fostered SMEs from the relevant agency (only for micro and small business applicants).
- Stamped UMK Statement Letter (for applicants from micro/small businesses).
Registration Procedures and Methods
The following are the steps to register a brand through the DGIP system:
- Create an account on the official website https://merek.dgip.go.id/.
- Login and select “Online Application”.
- Fill in the applicant’s data; if using a power of attorney (intellectual property consultant), fill in the power of attorney section.
- If you have priority rights, fill in the priority section.
- Enter brand data, including name, logo, and description.
- Add brand class according to goods or services > select “Add Class”.
- Upload the complete required document attachments.
- Create a billing code, pay the registration fee, then save and continue.
- Once payment is complete, double-check that the uploaded data and documents are correct and complete. If so, click “Finish” and “OK.”
- Download the application receipt from your application list as proof that the application has been received.
Registration Process Time and Fees
According to several sources, such as Hukumonline and Legalist Indonesia, the formalities review typically takes around 15 days from the date of application submission. After that, there’s the trademark announcement stage, which takes two months.
Furthermore, for substantive examinations, the duration can be around 30 days if everything goes smoothly, but it can be longer (up to several months) if there are problems, objections, or missing documents.
Overall, from application to certificate issuance, this process can take several months to more than a year depending on the complexity, completeness of documents, and whether there are objections or other problems.
Meanwhile, the fees listed are IDR 1,800,000/class for the general public and IDR 500,000/class for UMK.
Registering a trademark is a crucial step in protecting your business identity and boosting consumer trust. The process requires time and attention to detail, so it’s crucial to have everything prepared from the start to ensure a smooth process.
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