CHALLENGES

Substandard, spurious, falsely labelled, falsified and counterfeit (SSFFC) medical products—which include medicines, vaccines and diagnostics—pose a major public health risk. Not only can they harm patients, but can undermine confidence in medical products, health-care providers and health systems as well as exacerbate drug resistant strains of infectious diseases (World Health Organization, 2016a). On average, 10% of the drugs worldwide and 25% of the drugs in less developed countries are estimated to be counterfeit (Chika et al., 2011). The most common counterfeit drugs are those for infectious diseases, such as tuberculosis and malaria. Counterfeit antimalarial and antituberculosis drugs are blamed for up to 700,000 deaths annually across the globe.

INTERVENTION

Sproxil, Inc (Sproxil) has developed a technology-based solution for counterfeit medication that combines mobile phone use with simple low-cost product labels. Mobile Product Authentication™ (MPA) empowers individual consumers to validate the authenticity of the medication they are about to purchase. Consumers locate a label on the medication package, which when scratched reveals a unique PIN code. Consumers then verify the code for free via a text/call. If the code is fraudulent, consumers are connected with a help line that collects further information and facilitates follow-up from local authorities responsible for tracking and eliminating counterfeit activities. While the customer interface is simple—eliminating the requirement of expensive equipment or complicated training, and accommodating the needs of most people in low-resource settings—the accompanying back-end data analysis and business model is sophisticated.

The back-end analysis allows for the derivation of data-driven insights on counterfeit activities as well as consumer patterns. The business model uses this data to attract stakeholders who have the power to reduce counterfeiting, such as manufacturers of legitimate pharmaceuticals and governmental regulators. By collaborating with drug manufacturers whose market presence is endangered by counterfeit products, Sproxil helps protect manufacturers’ brands and subsequently their profits. Government authorities can use the data acquired through Sproxil’s solution to identify sources of counterfeit medical products and bring perpetrators to justice. In general, the manufacturers cover the cost of the service; it is free for the consumer.

CASE INSIGHTS

Since its creation in 2009, Sproxil has implemented its solution in multiple countries including Nigeria, Kenya, Ghana, India and Pakistan; and to diverse industries including agrochemicals and fast moving consumer goods. This quickly scalable model has allowed the young company not only to turn profitable in five years, but also to access markets in need of solutions to drug counterfeit challenges. It is this symbiotic mix of business and social purpose that drives the organization towards becoming the enabler for millions of consumers worldwide to access reliable products such as medication for infectious diseases. This case study demonstrates how private, for-profit companies can play a valuable role in generating and implementing solutions to public health challenges.