Secrets of Success in Brand Licensing , livre ebook

Title Page

SECRETS OF SUCCESS IN BRAND LICENSING






by
Andrew Levy and Judy Bartkowiak




Publisher Information

Published in the UK by MX Publishing
335 Princess Park Manor, Royal Drive, London, N11 3GX
www.mxpublishing.co.uk

Digital Edition converted and distributed in 2011 by
Andrews UK Limited
www.andrewsuk.com

© Copyright 2011 Andrew Levy and Judy Bartkowiak

The right of Andrew Levy and Judy Bartkowiak to be identified as the authors of this work has been asserted by them in accordance with the Copyright, Designs and Patents Act 1998.

All rights reserved. No reproduction, copy or transmission of this publication may be made without express prior written permission. No paragraph of this publication may be reproduced, copied or transmitted except with express prior written permission or in accordance with the provisions of the Copyright Act 1956 (as amended). Any person who commits any unauthorised act in relation to this publication may be liable to criminal prosecution and civil claims for damage.

Although every effort has been made to ensure the accuracy of the information contained in this book, as of the date of publication, nothing herein should be construed as giving advice. The opinions expressed herein are those of the author and not of MX Publishing.

Cover design by www.staunch.com




Foreword

This extremely well written book fills a longstanding gap in the literature of Marketing, which is surprising considering the brand licensing industry is worth around $150 billion.
Although the title and topic may sound somewhat esoteric and a little dry, after a lifetime as a practitioner and teacher of Marketing, I found it difficult to put down once I started reading it – rare indeed for the majority of marketing books, including my own.
My own first job as a Marketing and Sales Director was in a franchise business – Canada Dry – and I wish I had known then what I know now, having read this book.
In the commercial world, successful brands create shareholder value by creating competitive advantage. A great brand continues to shine bright no matter how dark and depressing the economic environment and brings pleasure to people. Licensing successful brands enables this financial success and consumer pleasure to be spread widely around the world. But such licensing takes many forms and can be highly complex. This book steers us through what could be a potential minefield. It is full of excellent practical advice but importantly is also a cracking good read.

Professor Malcolm McDonald MA (Oxon) MSc PhD D.Litt
Emeritus Professor
Cranfield School of Management
Chairman Brand Finance plc




Preface

Brand Licensing is all around us; it transforms ubiquitous products into living breathing brands with personalities and an emotional connection to us and who we want to be. What we buy and where we buy it, give us choices to align ourselves with the brands and characters we love. As brand owners we can tap into this choice by offering consumers the combinations of product and brand that they want to buy. In doing this, we add value to the products such that they command a premium price at retail and we add value to our brands by enabling consumers to experience them in other product categories.
Part 1 of the book is an introduction to marketing, the marketing mix, segmentation, brand extension and brand licensing. Part 2 introduces you to the key players in the Industry; the licensor, licensee, licensing agent and retail.
Part 3 is a series of fascinating case studies resulting from telephone interviews with the people behind the most successful licensing programmes of 2011. Some of these are still growing; others have already proved themselves in the market place. Our contributors have generously shared the secrets of their success, their underlying beliefs about the licensing business and what makes a successful brand.
We cover the marketing tools in Part 4 and then the legal and financial ones in Part 5. These chapters have also been taken from experts in their field so that you have the very latest knowledge based on years of experience.

Andrew Levy and Judy Bartkowiak




About the Authors


Andrew Levy





Andrew has a BA (Hons) Business Studies degree from Thames Valley University (Ealing) which was sponsored by Glaxo Pharmaceuticals. He gained blue chip FMCG experience spending 3 years in brand and product management at CPC Best Foods (Unilever) followed by 2 years at the world’s leading independent licensing agency Copyright Promotions Licensing Group. Subsequently he set up his own business and became the licensing agent for brands including The Big Breakfast, Betty Spaghetty, Animal Ark, Beverly Hills Polo Club and became a licensee of Warner Bros. and King Features.
He then set up and ran the UK office of LIMA (International Licensing Industry Merchandisers’ Association) for 8 years (1998-2006). He currently owns and manages Licensingpages® the world’s leading commercial resource for the licensing industry www.licensingpages.com which he established in 1998 with revenue coming from membership, advertising and recruitment. In 2009 he also set up IPTrademarket® the world’s first independent global trading platform for trademarks, www.iptrademarket.com
Andrew is a keen skier, squash player and golfer and lives in London with his wife and 2 daughters, who have lots of licensed products!

Judy Bartkowiak




Judy runs Kids Brands Europe www.kids-brands.com a Market Research Consultancy whose clients have included: Zapf Creations, Woolworths, Aardman Animations, LEGO, VTech, Little Tikes, Mattel, Entertainment Rights, Marks and Spencer, ITV and Woolworth’s. She has spoken at Kidscreen (US), AQR (Lisbon), Brand Licensing Show Seminar (London) , LIMA Seminar, Advertising Festival (Paris) Kiddie Marketing (Madrid) and The Media Trust. Judy has an MA in International Marketing and Post Graduate Diploma in Market Research. She trained at Taylor Nelson and then with Bill Schlackman, the founder of Qualitative Research in the UK.
Judy has now semi-retired from Market Research and is a writer and NLP Trainer/ Coach. She writes children’s fiction as JudyBee www.judybee.biz and NLP books for the family www.nlpkids.com ‘Teach Yourself: Be a happier parent with NLP’ is published by Hodder Education and is available on Amazon and MX Publishing www.mxpublishing.co.uk
Neuro Linguistic Programming is the study of the structure of excellence. In Secrets of Success in Brand Licensing you will discover the structure of excellence of successful Brand Licensing campaigns so you can apply that structure to your own properties.




Acknowledgements

Thank you to all the Licensing Industry experts we spoke to who have each given generously of their time and expertise. They have shared their secrets of successful Brand Licensing with us so that we can pass them on to you.

Al Gosling – Extreme Group
Andrew Carley - Entertainment One (Peppa Pig)
Andrew Lane - Fluid World (Hello Kitty)
Cathy Snow - RSPCA
Ciarán Coyle - Beanstalk (Paris Hilton)
Darran Garnham – Mind Candy
Darrell Jones- Bandai (Licensee)
David Haigh - Brand Finance (Brand Valuation)
Ian Downes - Start Licensing (The Beano)
James Walker - Hasbro (Monopoly)
Jane Garner - Kilogrammedia (PR)
John Burns - Gateley
John Vasta – Licensing Industry Consultant (Segmentation)
Julia Posen - Walker Books
Kelvyn Gardner – LIMA UK
Lisa Lovell – Brand Enforcement
Matt Gilmore – The Arsenal
Matt Webb – Creating Kids Magic
Nicolas Loufrani – Smiley World (Smiley)
Nicole Blake – Classic Media (Where’s Wally)
Olivia Smales – IMG (The Armed Forces and Pelé)
Rachel Cowdrey - Advanstar
Richard Pink – Pink Key
Rick Glankler- HIT (Thomas and Friends)
Robert Hughes – Zeon (Licensee)
Samantha Loveday – Licensing.biz
Sarah Swindell – Watermelon Europe (Retail)
Stuart Burns – HW Fisher and Company
Tom Roe – CPLG (Sport)
Trevor Jones – Danilo Promotions (Licensee)
Wendy Munt – Be Inspired Consulting (Retail)
William Fenton – Sponsorship Consulting



Introduction To Marketing

The Chartered Institute of Marketing (CIM) defines marketing as ‘The management process responsible for identifying, anticipating and satisfying consumer requirements profitably.”
Some people incorrectly refer to the sales or advertising functions as ‘marketing’ but marketing is in fact the complete process of getting the right product to the right consumer at the right price in the right place and at the right time. If you don’t get it all right then your competitors will. Remember - consumers have a choice!
The central idea of marketing is to match a company’s capabilities with consumer needs in order to achieve the goals of the firm. Consumer needs can be satisfied in many different ways and consumers will choose the products that they perceive offer them the greatest bundle of benefits at whatever price they are prepared to pay.
Companies are grouped into ‘sectors’ which define the type of company it is. For example, your company might be in the ‘retail sector’ or the ‘technology sector’.
We tend to refer to ‘markets’ when we group together consumers by their geographic location or demographic e.g. the Nordic market or the student market.
Then within each market we group consumers with