What Are Security Holograms and How to make sure they’re authentic

What Are Security Holograms and How to make sure they’re authentic

What are security holograms and how to make sure they’re authentic

Security hologram stickers are found in all kinds of locations and across all kinds of products. From tax seals on scheduled items such as bottles of wine and spirits to anti-fraud labels on frequently counterfeited items such as DVDs and physical media, these hologram stickers are a common sight and have been for quite some time. Let's look at the history of these security features and learn more about how they work in today's digital age.
The History of Security Holograms

The History of Security Holograms

Holograms have provided great fun to people of all ages for over half a century, after the invention of the laser in the 1960s enabled the creation of these interesting images. In fact, the technology behind this form of imaging has been in development for almost double this timeframe, originating with research into X-ray crystallography conducted in the 1920s. But it was not until more recently that holograms began to emerge in formats that are more recognisable to the modern eye.
The concept of a hologram is relatively simple — it is simply a representation of a seemingly three-dimensional image on a two-dimensional surface, achieved using a dot matrix system, electron beam lithography, or, more recently, computer imaging The hologram itself is a set of nanostructures represented on a flat surface. These nanostructures then refract light in a specific way to project an optical illusion based on the pattern.

How Are Security Holograms Made?

There are several different companies who manufacture security holograms — many of whom use proprietary technologies and keep these technologies secret with trademarks and other protections. However, the general principle is largely the same. A matrix of dots is used to build up the set of micro nanostructures, utilising textures and colour densities that refract light in specific patterns.

Computer imaging techniques and technology make these dot matrixes easy to create far more so than they once were — which has led some tolose faith in their suitability as security devices. However, additional features can be added to bolster this security and foster peace of mind among users.

Security Features of Modern Security Holograms

Security holograms are popular for many different reasons. They are easy to deploy, easy to recognise, and relatively difficult to counterfeit. There are various security features that make these additions very useful to businesses seeking to stop fraudsters in their tracks
Security Features of Modern Security Holograms
Overt security features
Overt security features
The most obvious security feature of a hologram code is the optical illusion itself. A customer can look at the hologram with the naked eye and see a pattern hidden within. This pattern gives them an indication that the item they are dealing with is legitimate.
Covert security features
Covert security features
As holograms have become relatively easy to make — compared to the older methods of production — it has also become relatively easy to forge the holographic image itself. However, covert features that can only be read by specific pieces of equipment — such as the engage™ app — allow businesses to reinforce the level of security.
Serialisation
Serialisation
Serial numbers can be added to the hologram design, making them easier to verify for the relevant authorities and intellectual property owners.
Digitally-readable content
Digitally-readable content
Holographic QR codes and other scannable features can be inserted into the hologram security sticker to provide customer engagement data to manufacturers and producers. This also serves as an additional level of security. RFID/NFC — radio frequency identification and near field communication — are other options that can be built into the label.

Common Use Cases for Security Holograms

Holographic technology can be used in several use cases. We're going to focus on the security-oriented use cases here.
Common Use Cases for Security Holograms
Anti-tamper labels
Anti-tamper labels
Holographic security labels can double up as anti-tamper solutions. When these labels are properly attached across product seals — for example, on expensive products such as bottles of wine or spirits — they cannot easily be removed and replaced intact. This serves as an indicator that the product has been opened or otherwise tampered with before the point of sale.
Product verification
Product verification
Product verification is a very common use case for holograms. Even without specialist equipment, users can quickly spot a hologram. While this represents only an overt level of protection and not an infallible one, it does help to increase customer trust and peace of mind. A simple scanner — for instance, a smartphone with the engage™ app installed — can draw even more information instantly.
Tax verification
Tax verification
Many items have specific tax requirements, particularly during import and export. This can be verified with a holographic sticker as well as other built-in security elements, enabling quick and easy assessment and approvals by tax authorities.
Banknote construction
Banknote construction
Many countries use holograms on their banknotes — Mexico and Sweden have embraced this technology, to name just two examples, while the USA's reluctance to do so has been a cause for concern among some security experts. Also, all denominations of the EURO banknotes are protected with security holograms. You have probably already seen this technology protecting the security and fidelity of currencies in different locations across the globe, and it is a commonly used aspect of many international anti-fraud and anticounterfeiting operations.

Cheap vs. expensive Holograms – What is the difference?

As alluded to above, the difference between cheap holograms and expensive holograms lies in how sophisticated the underlying technology is. For example, you can use tamper-resistant stickers to add two layers of security to packaging. If the package is unsealed or the hologram sticker is damaged in any way, the product is more likely to be fraudulent – as long as customers follow up and do their part, which we’ll discuss shortly.

No matter which techniques you apply, creating holographic images involves complex processes, and security solutions vary. For instance, hot stamping foil is a dry print method where pre-dried foils and ink impart images on surfaces but only at high temperatures. Thus, this method requires specialized machinery for imprinting and verification.

The difficulty of verifying a hologram

The difficulty of verifying a hologram
Brand protection – hologram or not – relies on developing safeguards that a counterfeiter can’t readily replicate. An expert in holography might be able to spot likeliness on sight, but the vast majority of consumers won’t be able to distinguish between an expensive hologram and an unauthorized duplicate. At a glance, you can’t determine which holograms are fake and which are genuine because criminals will go to extraordinary lengths to create passable look-alikes using less expensive methods.

True color hologram stickers are technically more difficult to counterfeit, but it’s entirely possible to replicate them with the right equipment, patience, and determination to fool consumers into believing they’re authentic. Anyone with a working knowledge of creating holographic images can produce cheap replicas of expensive holograms.
Making matters worse, hackers can go as far as breaking the law to steal the copyright information and sell it to fraudsters, who then use the information to duplicate the hologram. Thus, overt measures like holograms are insufficient for security labels and packaging.

A hologram is overt

Holograms work best when covert protections are necessary, yet many solutions on the market rely on an overt, visible shield instead of invisible images. Imprinting holographic images on physical products still rely on a human to interpret whether or not the verification image itself is fake. Ideally, you’d want software to do the verification, not a person.

Furthermore, once a passable look-alike hologram starts circulating, the real hologram becomes essentially useless from a verification standpoint. In addition, the brand owners may still have to pay for the anti-counterfeit measure despite its clear lack of performance. The criminals, on the other hand, only need to pay $0.18 or less per holographic packaging label, which means they can profit from fake holograms at a significant scale with minimal upfront investment.

There’s also the option of semi-covert measures, such as smart embossing technology alongside secured QR codes, which work best as an alternative to overt labeling when visible features are required. This would avoid the downside when you combine these holograms with QR codes; i.e. provide a false sense of security.

The truth is that you can fake holograms easier when there is no system in place to check for authenticity automatically. That’s basically how the ideal approach would work, but the best anti-counterfeit defenses are totally covert, and some are entirely invisible to the naked eye, making them harder if not impossible to duplicate.