In trademark law, what does distinctiveness indicate?

Distinctiveness in trademark law is a fundamental concept that indicates a trademark's ability to identify the source of goods or services. When a trademark is distinctive, it serves as a reliable indication to consumers about where a product originates. This identification is crucial for preventing confusion among consumers regarding the source of specific goods or services. A distinctive trademark distinguishes the goods of one entity from those of another and ensures that consumers can make informed purchasing decisions based on the origin of the products.

Distinctiveness can vary in strength, ranging from inherently distinctive marks (like fanciful or arbitrary trademarks) to descriptive marks that may require secondary meaning to achieve trademark protection. The focus of distinctiveness is not on the global recognition of the trademark or familiarity with it but rather its effectiveness in signaling source to consumers. Some trademarks may be well-known globally but lack distinctiveness in certain contexts if they do not clearly indicate the source. Understanding this principle is critical for evaluating trademark eligibility and enforcement under trademark law.