LICENSING EXPO 2017: NEW BRANDS, TOP TRENDS, & THE BIGGEST DEALS
STATE OF THE INDUSTRY: EXPERTS WEIGH IN ON HOT TOPICS
Departments 14 Jackie’s Point 16 Licensing News 20 Stat Shot 30 LIMA Update 32 LIMA UK 33 Euromonitor 54 Property Profile: Ben 10 60 Spotlight On: Hotel Transylvania 66 Property Profile: Peppa Pig BBC’s Doctor Who VOLUME 34, NUMBER 2
Features 24 Inside Retail As a wave of retail stores close, how is the licensing community dealing with effects of retail’s “structural correction?” 26 More Than the Sum of Their Parts Karen Raugust discusses how licensors, designers, and retailers can create excitement through collaborations. 34 A Focus on Europe Key European territories require varying licensing strategies for kids’ properties.
72 A Look Inside: Sesame Workshop 78 Property Profile: Hey Duggee 80 Hot Shots: Genius Brands 84 Property Profile: WWE 88 Hot Shots: Activision 90 A Look Inside: Bioworld 94 Spotlight On: Biion
38 Movie Mania The Toy Association discusses how licensed characters can deepen classic play patterns and keep kids engaged.
96 Property Profile: Beyblade Burst
40 Finding Your Unicorn Customer Identifying your brand’s ideal customer can help inform your brand identity.
113 Of Counsel
42 State of the Industry 2017: Moving Forward by Looking Back Weston Anson and Jemma Samala of CONSOR analyze the effects of nostalgia on the licensing business. 46 State of the Industry Q&A Licensors, consumer products manufacturers, and additional industry experts weigh in on the hottest topics currently surrounding the licensing industry. 56 Licensing Expo 2017 As the licensing industry descends on Las Vegas once again, The Licensing Book has your coverage of the latest deals and newest property introductions.
110 WIT Stories
THE LICENSING BOOK, Summer 2017 — “THE LICENSING BOOK” (ISSN-0741-0107) is published quarterly by Adventure Publishing Group, Inc.®, 307 Seventh Ave., Room 1601, New York, New York, 10001. Periodicals postage paid at New York, NY 10001 and additional mailing offices. © 2017 Adventure Publishing Group, Inc®. All rights reserved. No part of this publication may be reproduced or transmitted in any form, or by any means, electronic or mechanical, including photocopying, recording any information storage and retrieval system, without permission in writing from the publisher. Printed in U.S.A. Subscription rates: $48 per year. THE LICENSING BOOK, THE LICENSING BOOK INTERNATIONAL, WORLDWIDE LICENSING and the “WLE” design, are trademarks and service marks of Adventure Publishing Group, Inc.® registered in the United States Patent & Trademark Office Postmaster: Send address changes to THE LICENSING BOOK, c/o Adventure Publishing Group, 307 Seventh Ave., Room 1601, New York, New York, 10001.
JACKIE'S POINT “WHAT HAPPENS IN VEGAS, STAYS IN Vegas,” but not for long when it comes to Licensing Expo. Licensors unveil new properties, provide behind-the-scenes looks at upcoming entertainment content, and give sneak peeks at licensed products that are just heading into production. It might happen at Licensing Expo first, but before we know it, what we saw at the show is out in the universe, and—hopefully—at retail. One of the hottest topics of conversation at this year’s show is sure to be retail consolidation and the structural correction we’re seeing as retail doors continue to close and more sales take place online. LIMA’s Inside Licensing news service gives us the scoop on how the licensing industry is coping with these changes and stepping up to the challenges of the new realities at retail. Read about it on page 24. Millennials are in the driver’s seat when it comes to this new retail reality. As the biggest generation on the planet, they’re steering the trends, and they have a lot of purchasing power. The “trend” toward online shopping isn’t really a trend at all; it’s where millennials—and other generations as well—are spending their hard-earned money. Amazon obviously rules when it comes to e-commerce, but it will be interesting to see how other retailers continue to grow their online business to become key e-tailers over time. With last year’s acquisition of Jet.com, Walmart is a lead contender. The battle of e-commerce has led to some pretty cool ideas, making consumers’ lives more convenient and efficient. Not so long ago, a package delivery on a Sunday would have been unheard of, but Amazon made that a reality—and at no extra charge— in 2014 thanks to its partnership with the U.S. Postal Service. Not many retailers can make that claim. In New York City (and in other cities), we can order from Amazon Prime Now from our smartphones and get just about anything—from apparel and housewares to electronics, wine and spirits, greeting cards, and groceries—delivered in a two-hour window. And let us not forget about the drones. China’s JD.com already offers drone delivery service to rural areas. Amazon expects to
14 • The Licensing Book
launch its drone delivery service in 2020. Similarly, licensors and licensees are feeling the pressure to take new entertainment properties from screens to consumer products more quickly than ever before. While there is still a lot to be said for rolling out a licensed property at a controlled pace to drive demand and avoid burnout, taking too long to deliver in today’s environment could result in a big miss. We spoke with licensors and manufacturers about the ways in which they are working with retailers to ensure high-quality product is delivered to retail in a timely fashion. We also chatted about retail consolidation, tapping into millennial dollars, use of social media channels, working with digital influencers to promote brands, and more. Check out our conversations, beginning on page 46. Nostalgia continues to be an area of growth in licensed consumer products, and cross-generational properties are taking retail by storm. Star Wars, Harry Potter, and classic Disney and Marvel properties are experiencing hit after hit thanks to parents’ and grandparents’ desire to share these nostalgic properties with their kids and grandkids. Read more on page 42. Also in this issue, we take a look at the growing area of licensing collaborations, and how these partnerships are helping brands expand their reach, both at retail and with consumers. Karen Raugust breaks it down for us on page 26. Throughout this issue, we take you through the top trends and hottest new properties, and bring you expert tips on a variety of topics—from marketing to legal advice— from licensing professionals throughout the industry. We hope you enjoy this issue of The Licensing Book! See you in Vegas! ••••
Jackie Breyer is editor-in-chief and co-publisher of The Licensing Book, and editorial director at Adventure Publishing. She has been reporting on the toy and licensing industries for 15 years. Contact her at jbreyer@adventurepub.com.
Adventure Publishing Group Inc.® Vol. 34, No. 2, Summer 2017
Laurie Schacht President laurieschacht@aol.com Jonathan Samet Co-Publisher jsamet@adventurepub.com Jackie Breyer Co-Publisher/Editorial Director jbreyer@adventurepub.com Marissa DiBartolo Senior Editor mdibartolo@adventurepub.com Ali Mierzejewski Senior Editor amierzejewski@adventurepub.com Maddie Michalik Associate Editor mmichalik@adventurepub.com Stephanie Grassullo Assistant Editor sgrassullo@adventurepub.com Kristen Nelson Editorial Assistant knelson@adventurepub.com Joe Ibraham Art Director jibraham@adventurepub.com Bill Reese Production Director breese@adventurepub.com Lori Rubin Comptroller lrubin@adventurepub.com
Adventure Publishing Group, Inc.® 307 Seventh Ave., Suite 1601 New York, NY 10001 Telephone: (212) 575-4510; Fax: (212) 575-4521
Summer 2017
LICENSING NEWS The Brand Liaison Crafts New Licensing Program for LaurDIY
The Brand Liaison will develop a full range of licensed products for YouTube personality Lauren Riihimaki, known as LaurDIY. The LaurDIY collection will include products inspired and designed by Lauren, such as DIY crafting projects, fashion, accessories, stationery, tech accessories, back-to-school supplies, room décor, and more. A lifestyle vlogger, LaurDIY specializes in DIY crafting. She is also currently the face of Mudd Jeans and has worked with many brands, including Disney, Proctor & Gamble, Starbucks, and Duck Tape. The LaurDIY licensing program focuses on three key areas: trends for less, a creative custom life, and fun. All LaurDIY licensing is supported through product-specific, consumer-facing marketing campaigns that include all facets of interactive social media and in-store appearances.
Musical.ly, Brand Central, Tween Team Partner for Back-toSchool Line
Musical.ly, Brand Central LLC, and Tween Team Inc. partnered to develop a range of back-to-school products. The line will consist of notebooks, folders, binders, pencils, pencil cases, stickers, tattoos, DIY bracelets, locker accessories, and additional back-to-school gear. Products will ship this spring and will launch in stores this summer. Musical.ly is a teen entertainment social network community with more than 220 million global users. It is a platform that allows users to engage with and create content through celebrity duets, comedy, talent, lip sync, sports, style, and videos.
Genius Brands Appoints Broadcast Partner for Rainbow Rangers Preschool Series
Genius Brands International Inc. licensed exclusive broadcast rights for the first season of Rainbow Rangers to Nickelodeon in the U.S. and the Caribbean. Currently in development, the mission-based action-adventure series is expected to air on Nickelodeon’s preschool channel Nick Jr. The deal follows the recent announcement of Fisher-Price as global master toy partner for the brand. The new animated series has received interest from broadcast and licensing partners since its debut at MIPJunior in Cannes last year. Fisher-Price will lead the licensing and merchandising program with a broad range of preschool products in the toy category. Genius Brands is developing its global merchandising, licensing, and retail program across all key categories to coincide with the series launch. Rainbow Rangers shows a behind-the-curtain peek at the real lives of superheroes—Earth’s First Responders. The series blends fantasy and action-adventure with relatable stories about friendship and saving the environment. The Rainbow Rangers is made up of seven girls who each represent a different color of the rainbow and possess their own unique personality and powers. They band together to save the day whenever there’s trouble for the people, animals, or natural wonders of the Earth. The CGI-animated series features a team of creators experienced in animated motion pictures, including Rob Minkoff (Disney’s The Lion King), Shane Morris (Disney Frozen), Tim Mansfield, and New York Times best-selling author and Emmy-nominated writer Elise Allen (Dinosaur Train, Lion Guard, Barbie specials), who serves as head writer and co-creator. Genius Brands’ chairman and CEO Andy Heyward serves as executive producer, with Disney alum Ruben Aquino creating key designs.
16 • The Licensing Book
Summer 2017
LICENSING NEWS Shout! Factory, UYoung Enter Distribution Deal for Home Entertainment
Shout! Factory and UYoung have partnered to bring preschool series P. King Duckling to the home-entertainment marketplace in North America. This multi-year alliance provides Shout! Factory with exclusive home-entertainment distribution rights (DVD and EST) in the U.S. and Canada for all 26 halfhour episodes of the first season of P. King Duckling. Shout! Factory will plan a rollout of the series beginning in September through Shout’s kids and family imprint, Shout! Factory Kids. Broadcasted in the U.S. on Disney Junior, the new preschool series inspires kids to think creatively and overcome challenges. The deal was negotiated by Vanessa Flanders for Shout! Factory and Elie Dekel for UYoung.
MGAE Shares Global Licensing Program for L.O.L. Surprise!, Num Noms Collectible Lines
MGA Entertainment (MGAE)’s licensing program for the L.O.L. Surprise! doll line will feature a comprehensive traditional and digital marketing strategy including advertising, public relations, influencer campaigns, national promotional partnerships, and retail promotions. Expected to reach retail next year, the global licensing campaign will consist of four phases: the first phase will target apparel, sleepwear, and accessories; the second phase will focus on health and beauty, gift and novelty, stationery and party goods, and crafts and activities; the third phase will cover publishing, backto-school, game and electronics, and home décor; and the fourth phase will include food and beverage, seasonal, and sporting goods. MGAE also secured 40 new licensees, for a total of 80 worldwide partners, for Num Noms, scented collectibles that kids can mix, match, and stack in more than 5,000 variations. MGAE secured licensing partners worldwide across all major categories including softlines, hardlines, and publishing. New global licensing partners for Num Noms include PhatMojo (the U.S., Puerto Rico); Intimo (the U.S.); Jellifish Kids, Inc. (Canada); Mad Engine (Canada); Danawares (Canada); BrandHouse Footwear (Canada); HEYS (Canada); ALPA UK (the UK); Smith and Brooks (the UK); C&M Licensing (the UK); BCI (Australia, New Zealand); Benson’s Trading Co. (Australia); Caprice Australia Pty (Australia and select territories in Europe); and HER Accessories (select territories across Europe). MGAE secured additional partners in categories including toys, crafts, party goods, back-to-school, stationery, sporting goods, and confections.
eOne, Round Room Presents Partner for PJ Masks Live Stage Show
Entertainment One (eOne) and Round Room Presents have partnered to bring the first PJ Masks live stage show to the U.S. and Canada. Based on eOne’s animated series that airs daily on Disney Junior, Time to Be a Hero! features music, aerobatics, and more. Beginning this fall, a range of consumer packaged goods and food product introductions will also arrive at retail in the U.S., including Choco-Treasure for chocolate surprise eggs; Frankford for chocolate and non-chocolate confections and seasonal gift sets; GBG Beauty for bath and personal care; Primary Colors for cookies, candy, and packaged gummies; Pure Growth for organic breakfast bars and biscuits; and Tin Box for tin containers. The brand also debuted its first music release, Here We Come, which features 10 familiar songs, including the show’s theme song and other tracks from the brand’s official music videos. The mini-album is now available for iOS and Android platforms.
18 • The Licensing Book
Summer 2017
STAT SHOT
KIDS TOP 10 MOST MENTIONED LICENSES BY CATEGORY (UNITED STATES - PERCENT MENTIONS - JANUARY 2017)
FASHION
TV SHOWS 1 SPONGEBOB SQUAREPANTS
1 NIKE
2
SESAME STREET
2
ADIDAS
3
JESSIE
3
ZARA
4
PAW PATROL
4
CARTERS
5
MICKEY MOUSE
5
JUSTICE
6
PEPPA PIG
6
DISNEY
7
ICARLY
7
GAP
8
DORA THE EXPLORER
8
GUCCI
9
MICKEY MOUSE CLUBHOUSE
9
OLD NAVY
10 UNDER ARMOUR
/
MOVIES
CELEBRITIES
1 FROZEN
1JUSTIN BIEBER 2
SELENA GOMEZ
2
FINDING NEMO
3
TAYLOR SWIFT
3
MINIONS
4
MILEY CYRUS
4
TOY STORY
5
ARIANA GRANDE
5
HARRY POTTER
6
KATY PERRY
6
CARS THE MOVIE
7
BRAD PITT
7
AVENGERS
8
RIHANNA
8
STAR WARS
9
BEYONCE
9
DISNEY PRINCESS
10 WILL SMITH
Photo credit: Zoey Grossman
10 MOANA
shot exclusively for Billboard
Source: These charts are excerpted from more extensive reports created by research organization Kidz Global exclusively for the International Licensing Industry Merchandisers’ Association (LIMA). As a member benefit, LIMA members have free access to twice-yearly reports on kids’ and young adults’ brand awareness in a wide range of categories in more than 40 countries around the world. For more information, go to the LIMA website (www.licensing.org) or contact Marty Brochstein, senior vice president, industry relations and information (mbrochstein@licensing.org, 646-744-3747).
tic ticket ke t
: Positive/No signifigant change vs October 2016 with 10 percent level error
10 DISNEY
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INSIDE RETAIL
LICENSING COMMUNITY DEALING WITH EFFECTS OF RETAIL’S
“STRUCTURAL CORRECTION”
AMID A WAVE OF RETAIL STORE CLOSINGS, bankruptcies, and liquidations, licensors and licensees are scrambling to make up lost revenue through new distribution channels, increased e-commerce, and a broader assortment of exclusive deals. The changes in strategy are driven by a retail landscape littered with casualties. Licensing stalwart JCPenney announced plans to close 138 stores, and Macy’s is shutting another 68. Wet Seal, Sports Authority, Sports Chalet, Hastings Entertainment, and City Sports have all liquidated. And RadioShack, Gander Mountain, and Vestis Retail Group (owner of Bob’s Stores and Eastern Mountain Sports) have filed for bankruptcy since the start of the year, the latter just seven months after emerging from bankruptcy protection. The rising toll is forcing licensees and licensors to delve into once-overlooked corners of the retail market. Brand owners and suppliers who once might have turned up their noses at doing business in dollar stores and other “value retailers,” such as Ross Stores, T.J. Maxx, and Burlington Coat Factory, are developing programs for these channels. Meanwhile, e-commerce retailers (including subscription box services such as Loot Crate) are being given exclusives on par with their brick-and-mortar rivals in some cases. “We are going through a structural correction that will eventually right-size [the retail business], and there are just too many stores to service a market where people are increasingly buying online,” says Beanstalk’s
24 • The Licensing Book
Allison Ames. “But retailers will always need the right balance of brands and private label because brands are what drive people to the store in the first place.” REPLACING LOST REVENUE Apparel supplier Changes is trying to make up the loss of revenue from JCPenney, Sears, Kmart, and other national retailers by expanding its business with specialty chains such as Hot Topic and Spencer Gifts, where it has exclusives, says Changes’ Will Thompson. Changes is also moving to expand its e-commerce business through Amazon and other e-tailers that currently account for 10 to 15 percent of its annual sales, says Thompson. “Do they equal the loss of sales through a JCPenney, Kmart, or Sears?” says Thomson. “Probably not. Only time will tell how the retail landscape will shake out and we are just trying to adapt” to a changing market. The changing market includes increased demand from retailers for exclusives. The hunger for image-building and margin-preserving exclusives has always been on retailers’ menu, but the pressure is ratcheting up. Just in recent weeks, Target told investors it plans to launch more than a dozen private-label and exclusive brands this year in a bid to spur store traffic. Similarly, Dick’s is sharpening its focus on a cadre of “strategic vendors… [who] will invest significantly in our business both online and in-store, and we will invest significantly in their business,” said CEO Ed Stack when the company released its earnings earlier this month.
Summer 2017
“These strategic vendors will also provide us exclusive and differentiated products in the marketplace. We will overtly move market share to these partners in an effort to drive growth in our respective businesses.” At the same time, Dick’s is trimming 20 percent of its vendors. Among the company’s more successful lines is the Calia apparel line, via a direct-to-retail (DTR) licensing deal with singer Carrie Underwood, which is projected to generate $1 billion in sales this year. AMONG THE OTHER DEVELOPMENTS: Perry Ellis International struck an exclusive agreement with Target to supply Jack Nicklaus apparel— men’s and women’s shorts and sports shirts—that will be available in 1,650 stores starting in mid-summer. The collection will be part of a display in the performancewear section of the men’s department, a Target spokeswoman says. The new 10-piece line represents an expansion of a 150-store test with Target that began in the third quarter of 2016 in “golf-centric” markets, such as Florida, says the Target spokeswoman. Candymaker Perfetti Van Melle, as part of an effort to tighten its partnerships with a retailer, forged a DTR with Italian fashion retail group Calzedonia and its Tezenis chain. The result is a 20-piece apparel collection— underwear, bras, T-shirts, and bodysuits—that launched at Tezenis’ stores in France and Spain in March and will expand to all of its 550 stores, says Christine Cool of Perfetti Van Melle. The agreement with Tezenis, which includes both apparel and events supporting Chupa Chups, underscores the need for deeper ties with retailers to ensure a brand gets a high profile. For example, Chupa Chups apparel will be displayed at the front of the Tezenis stores the first 10 days it is available before being dispersed to other departments. The chain is promoting Chupa Chups apparel on social media and 19 flagship locations are hosting parties tied to the brand. To attract consumers to brick-and-mortar stores, “retailers increasingly need a theme around which they can build a marketing plan that can be serviced from many angles,” says Cool. “We need to be ready to provide that especially now where every retailer wants to stand out” not only in the products they carry, but also the events they have. Brand owners and licensees have long tried to come up with customized programs for specific accounts, tightening their relationships with those retailers. That practice seems to have increased exponentially. “The bigger focus in this altered landscape is trying to come up with program solutions for specific retailers that address their specific needs and also speaks to their customers,” says Berkshire’s Donna Bruschi. For example, Berkshire is weighing combining licensed accessories— such as headwear, gloves, and socks—in a combo pack.
Summer 2017
EMPHASIZING HOT MARKET OPPORTUNITIES Sports apparel supplier ‘47 is trying to maximize its ability to leverage the hot market business and lessen its reliance on day-in-day-out planogram business in standard retail, says ‘47’s Dave Zaleznick. In hiring contract manufacturers and stocking them with blank T-shirts, ‘47 could increase “hot market” product to 50 percent of its annual revenue from 40 percent, while bringing down the amount tied to planograms, which currently accounts for 60 percent of its sales. ‘47 expects to start the program next year. As licensors and licensees change business strategies to cope with the struggling brick-and-mortar market, they are paying even closer attention to retailers’ finances. For example, Sears’ recent disclosure in its annual report that there is “substantial doubt” about it remaining a “going concern” has resulted in several companies halting shipments to the retailer. “We’re dealing with it, and clearly we’re all going to be dealing with it a lot more,” says an executive at an entertainment licensor. “It’s a scary world out there. At some point, a licensor has to be aware that they’re not getting paid, and be smart about whom they ship to, and how much.” It’s a point of concern to licensors as they figure out how to deal with licensees’ requests for relief from guarantees. Licensors and licensees are developing programs to shorten product design and delivery cycles so department stores and mass chains can compete with the fast-fashion retailers that have been eating into their business. For a department store vendor, it may take nine months from concept to store shelves, Perry Ellis’ George Feldenkreis told analysts. But the company can cut several weeks out of that schedule by, for example, eliminating samples in favor of software-based online presentations that show how apparel will appear on a person, says Feldenkreis, whose company serves as a licensor or licensee of brands such as Nike swimwear, Original Penguin, Jack Nicklaus, Callaway apparel, and others. “Retailers are realizing that working so far in advance no longer works and design will be done much closer to delivery dates,” says Feldenkreis. “Very good competitors such as Zara, H&M, and others have succeeded in this strategy. American retailers must adapt such methodology or it will be impossible for them to keep pace with worthy competitors.” •••• This story was published for LIMA members on licensing.org— the website of the international Licensing Industry Merchandisers’ Association (LIMA)—on March 28 as part of LIMA’s Inside Licensing news service. For more information on Inside Licensing, contact Marty Brochstein, senior vice president, industry relations and information, at mbrochstein@licensing.org.
The Licensing Book • 25
MORE THAN THE SUM OF THEIR PARTS
Licensors, Designers, and Retailers Create Excitement Through Collaborations by KAREN RAUGUST, founder, Raugust Communications
Betty Boop x Fila Long-Length Tees
26 • The Licensing Book
FIVE OR MORE YEARS AGO, A COLLABORATION between a corporate brand and a designer, or a character property and a fashion retailer, was a relatively rare event. At that time, simply announcing such an initiative was enough to differentiate a property owner and its partner or partners from the competition and generate wide publicity. Since then, the landscape has become significantly more crowded. From Coca-Cola partnering with Opening Ceremony, to Disney and Mickey Mouse pairing with Coach, to H&M featuring a fast-fashion collection with Balmain, lifestyle collaborations have become an increasingly common strategy for licensors, designers, retailers, and other partners across the world. Sometimes it almost seems as if collaboration deals have become as common as traditional, long-term branded licensing agreements. Lifestyle collaborations, as we’re defining them here, involve creating something new through a mash-up of two or more disparate brands, properties, or design labels. While any product category can be involved, most of the activity is in fashion- and lifestyle-related areas, particularly apparel and accessories, but also footwear, home goods, personal electronics, fragrances, and cosmetics. For the most part, these sorts of ventures are limited in some way, whether in quantity
or time available (limited editions), number of SKUs (capsule collections), or distribution channels. AN EXPANDING LANDSCAPE Intellectual property owners, designers, retailers, and manufacturers, among other parties, can all be involved in lifestyle collaborations. Designers and fashion labels, from Karl Lagerfeld and Prabal Gurung to Jason Wu and Jean-Paul Gaultier, are the most frequent participants, according to new research from Raugust Communications (chart 1). In fact, 67 percent of collaborations involving licensed properties from 2015 to the present have involved one or more players from the fashion industry. Retailers are among the primary partners in 31.4 percent of initiatives. Typically, fashion specialty stores such as H&M or Colette are the ones that can bring design expertise into the equation. In terms of IP owners, the most frequent participants are character, entertainment, and toy licensors, with a presence in 36.2 percent of collaborations over the past two years. Licensors of properties from Smiley and Barbie to Hello Kitty and Looney Tunes have made collaborations a key part of their ongoing strategies year after year. Meanwhile, celebrities and corporate brands are each present in about 13.5 percent of collaborations. The former include models such as Gigi Hadid, socialites such as Olivia Palermo, bloggers such as Meg DeAngeles, and athletes such as Carmelo Anthony, to name a few, while the latter range from Playboy and Fender to Mountain Dew and Mustang. Other IP owners involved in collaborations, albeit to a lesser degree so far, include musicians (with a presence in 7.7 percent of initiatives), artists (6.8 percent), and sports and collegiate licensors (4.7 percent). The last two groups in particular have been more active in collaborations in the last year or so than in the past. One character licensor that has become a frequent player in the collaboration space is King Features. When it paired with Fila and its Japanese licensee Daiwabo Advance Co. for a collaboration featuring Betty Boop, it allowed the character to be presented in a new way to fans. It also introduced Betty into the sports apparel arena. The spring 2016 Betty Boop x Fila collection included cropped, regular, and long T-shirts and hoodies sold in Fila stores and online, as well as in specialty and independent
Summer 2017
shops in Japan. The assortment featured a newly created Betty Boop logo inspired by the Fila insignia. THE POSITIVES OF PARTNERSHIP The Betty Boop x Fila initiative illustrates a key benefit of collaborations: the ability to offer fans something new and desirable, bring them into the store, encourage repeat purchases, and keep the property top of mind. Other advantages include attracting incremental consumers (through new distribution channels or price points, for example), testing the market for potential new branding opportunities, and, at least in some cases, generating revenue. One of the biggest advantages of a lifestyle collaboration is the ability to create a hook for marketing and to generate buzz through social media, events, and publicity. Brand licensor Perfetti Van Melle saw awareness for its Chupa Chups brand expand when it was a special guest at Milan Design Week 2017. The brand has done many fashion and art collaborations in keeping with its heritage; Salvador Dali created its logo in 1969. The Milan events focused on a partnership between Chupa Chups and pop artist and fashion designer Philip Colbert, art director of The Rodnik Band. The collaborative artwork was featured on a high-end aluminum furniture collection from the Italian luxury brand atreforme. Events during Milan Design Week included display windows, a launch cocktail party, and an exhibit of artwork, fashion, and sculpture created under the Chupa Chups by The Rodnik Band umbrella. The venture generated significant press mentions. THINKING STRATEGICALLY While 48.6 percent of lifestyle collaborations taking place over the past two years have been one-off partnerships (chart 2), an increasing number of licensors view collaborations as an essential part of an ongoing strategy rather than a one-and-done tactic. Collaborations serve as a relatively low-risk means to test the market—due to their typically limited nature— and success can lead to more collaborative ventures down the road. In fact, almost a tenth of collaborations (9.9 percent) started as one-offs but ended up with the partners creating follow-up initiatives in subsequent seasons. Even more frequently (in 13.5 percent of instances), collaborators have entered into their partnerships with the idea that they would release a series of collections over time. Some retailers and apparel marketers have offered collaboration after collaboration involving different IP owners, as NikeLab has done in its high-end fashion collections with the likes of Roger Federer and Louis Vuitton. This is the idea behind the guest designer programs that H&M, Uniqlo, Kohl’s, Target, and other retailers have featured. Target alone has done more than 150 fashion and lifestyle collaborations over the years as of
Summer 2017
2016. These types of programs account for 12.8 percent of all collaborations since 2015, according to Raugust Communications. Collaborations can also add a merchandise dimension to a broader marketing or endorsement partnership or inject some excitement into an ongoing branded licensing program. Approximately 15 percent of collaborations over the past two years would cumulatively fall into these two categories. BEST PRACTICES To ensure a strong collaborative partnership, it is important to keep a few tips in mind, according to practitioners. First, choose partners with complementary objectives and capabilities. Second, create a detailed agreement that accounts for any limits in quantities, timeframe, and distribution, and that anticipates any copyright ownership issues that could come up as collaborative designs are created. Finally, negotiate a payment and deal structure that ensures that all parties’ contributions—and any financial upside—are satisfactory and equitable. With the abundance of collaborations introduced each season, it is also critical to think about how to innovate. The simple fact of pairing unlike brands is no longer enough to generate the viral buzz and press coverage. It can be a challenge to create something truly fresh and new by combining two or more partners’ assets, but collaborations in the fashion and lifestyle space can be rewarding for all involved if they are done in a way that both surprises and makes sense to the consumer. ••••
Karen Raugust is the founder of Raugust Communications, a publisher of trend insights, how-to information, and research tailored to the licensing community. Her twice-weekly online publication, RaugustReports, offers observations on emerging licensing trends. Visit Raugust Communications at raugustcommunications.com/licensing.
Chupa Chups by Rodnik
The Licensing Book • 27
LIMA UPDATE
GLOBEHOPPING:
EXPANDING THE LICENSING INDUSTRY’S HORIZONS by MARTY BROCHSTEIN, senior vice president of industry relations and information, Licensing Industry Merchandisers’ Association (LIMA) MORE THAN EVER, THE LICENSING BUSINESS HAS become a truly global enterprise—though most definitely one with nuance and unique aspects to all local marketplaces. The numbers tell the story of the continuing expansion of the business. For years, the U.S. was considered to generate two-thirds or more of worldwide sales of licensed goods and services. But in 2015, that number stood at 54.8 percent, according to the results of LIMA’s Annual Global Licensing Survey (results for last year will be released at the beginning of Licensing Expo 2017). And that’s not because sales in the U.S. have slumped, but rather due to expansion in virtually all other parts of the world. One of LIMA’s primary continuing objectives over the past decade—which will continue going forward—is to help foster that business expansion in non-U.S. markets, educating local manufacturers and retailers about how to use the licensing models to build their businesses, and to help companies in one part of the world to identify and take advantage of opportunities outside of their home territories. In well-developed licensing territories, we continue to run programs and sponsor events designed to point out new opportunities as well as give newcomers a chance to develop their basic skills. A look at our activities just within the past two months shows a variety of approaches we’ve taken in countries in which licensing is already well-established business, as well as fostering growth in territories in which there’s a lot more upside. Here’s a sampling of what was going on at six events on four continents (some after this column was written): MARCH 27–28 — The second annual ExpoLicensias Latin America in Bogota, Columbia, brought together more than 250 people from around the continent for a brand showcase and conference. MARCH 30–31 — Approximately 100 people came to Milan, Italy, for the second LIMA Mind Mix—two days of high-level discussion and networking among senior licensing executives. Most of the program consisted of small group roundtables led by knowledgeable discussion leaders both from within and outside the licensing business on such topics as “Business Trends in Animation,” “Responding Quickly to Consumer Demand and Trends,” “The Psychology of Consumers and Brands,” and “Navigating New Media Platforms,” among many others. Host PricewaterhouseCoopers kicked things off with a presentation on the world business climate.
30 • The Licensing Book
APRIL 26–28 — LIMA sponsored the new Licensing Expo Japan at the Tokyo Big Sight Exhibition Center, with an extensive seminar program and business forum supplementing a trade show combining both local brands and characters with those emanating from elsewhere in the world. APRIL 27 — At the annual Day of Licensing in Cologne, Germany, agents and brand owners presented their properties to an audience of 350 to 400 licensees, consultants, retailers, and service-providers in a day-long event capped off by a networking cocktail reception. MAY 2 — LIMA Canada organized an educational/ networking event for the Canadian licensing community built around the theme of “Canadian Shopping Habits and The Future of Canadian Retail,” staged at the Corus Entertainment headquarters on the shores of Lake Ontario. MAY 4 — LIMA UK hosted its annual UK Licensing Essentials Course at the historic Long Room at Lord’s Cricket Ground, Marylebone, in London. Topics covered during this full day of education and networking included “Managing Licensing Programmes at Retail,” along with a close look at several key licensing sectors, including entertainment, brands, and art and design licensing. It featured seminars on best practices, new opportunities in the industry, current trends, and more, creating a relevant slate of topics for licensing professionals at every level of their career. These events and others to come, such as Licensing Expo China in Shanghai from July 18 to 20, offer licensing professionals worldwide chances to expand their knowledge and horizons, and to chart their own expansion strategies. ••••
Marty Brochstein joined Licensing Industry Merchandisers’ Association (LIMA) in 2008. Brochstein was a business journalist for more than 20 years, covering consumer products and retail industries. He spent five years as a senior editor of Television Digest and was the founding editor of Consumer Multimedia Report. He was also editor of Consumer Electronics Monthly and Electronics Merchandising, and spent time with Discount Store News, Chain Store Age, and Home Furnishings Daily.
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LIMA UK
THE STATE OF THE UK LICENSING BUSINESS by KELVYN GARDNER, managing director, Licensing Industry Merchandisers’ Association (LIMA) UK IF YOU TRAVEL INTERNATIONALLY, ESPECIALLY IN the company of Americans or Brits, you will notice that there are two inescapable topics of conversation right now: The Donald and Brexit. If politics was always an interest of business folks, these two 800-pound gorillas grabbed the full attention of even the least policy-inclined individuals and so they should. As we look forward to Licensing Expo in May and our regular visit to Las Vegas, it’s hard to see how each or either can have anything but a profound effect on our respective business climates. In the UK, we already have some clear examples. Many licensees, already squeezed by retail’s seemingly unquenchable thirst for extra margin, have found themselves smashed by the collapse of the pound sterling’s exchange rate against many currencies, notably the U.S. dollar and the euro. I feel the pain personally, as I have an investment in a new business sourcing product from China that is being affected by this 20 percent fall, a direct consequence of the decision to leave the European Union (EU), which—ironically for us licensing folk—took place during last year’s Expo. There are many licensees that have been hit hard by this. Meanwhile, European-sourced ingredients for food products have also risen substantially in price. Air travel costs are up as oil is priced in dollars, too. The longer-term consequences for the business are all up in the air, from the EU freedom of movement of goods and labor rules to the potential for an independent Scotland and a new border between the North and South of Ireland. Given all this, it is encouraging that the UK licensing community is carrying on regardless. We are facing some changes in the retail scene, most notably the merger of catalog-store group Argos with Sainsbury’s supermarkets. The latter is best known for food, though had increasingly involved itself in non-food offerings in recent years, probably leading to this acquisition. The early announcements made by the enlarged
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group have included not unexpected news that the supermarkets will start to open mini-Argos outlets within their walls. Argos, a key player in UK licensing, is itself an interesting retailer that has been trying hard to compete with Amazon. In some areas, notably London, it even offers delivery two hours after completion of the order, something even the mail-order kings have not yet attempted. With Amazon also moving into grocery, this looks to be an interesting fight. At the discount end of the market, which has shown a gradual interest in licensed products, Poundland bought the 99p Stores, causing some consumers to immediately lament the inflationary effect of everything getting priced up by one penny. Lidl, which has mastered the trick of turning a reputation for discounting to one for quality, was actively involved in a dedicated licensing program with 20th Century Fox for Ice Age last year. Change or not, some of the stronger licenses are carrying us through. Peppa Pig still “oinks” above her weight, and Paw Patrol growls ever louder. Nickelodeon is on a glorious run, Teletubbies is back under new owners DHX, the BBC brings us Doctor Who again this spring after a 16-month absence, showrunner Stephen Moffat reeling a bit from mixed reviews of this winter’s latest Sherlock episodes, and, of course, Minions gets another airing in the summer. We live in interesting times, though I can’t help but wish, to some extent, that I were reading about them in a history book rather than being obliged to live through them in person. See you in Las Vegas. ••••
Kelvyn Gardner has been in the international licensing business for almost 30 years. Since 2006, he has served as the managing director of the UK division of LIMA. Gardner contributes to the judging of the UK Licensing Awards and is a trustee of the industry’s charitable company, The Light Fund.
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EUROMONITOR
THE BEAUTY IN LICENSING Beauty and Personal Care Offer New Licensing Opportunities by UTKU TANSEL, strategy analyst, licensing, Euromonitor International LICENSING IS BECOMING AN IMPORTANT FACTOR across many categories. While fashion houses’ sales in the industry continue to grow, character franchises are driving licensing in baby- and child-specific products, as well as children’s oral care. As many celebrity properties struggle in fragrances globally, there could be new opportunities in emerging markets. Untapped categories, such as bath and shower, hair care, and men’s grooming could potentially present good prospects for the licensing industry to expand. Globally, baby- and child-specific products, fragrances, color cosmetics, and oral care are the most important beauty and personal care categories in terms of licensing. In total color cosmetics, foundation is the most receptive category to licensing. In Euromonitor International’s Colour Cosmetics Path to Purchase Beauty Survey 2015, 14.3 percent of respondents ranked “Celebrity endorsement, advertising, or licensing” in the top five influencers, the highest figure in color cosmetics, when making a purchasing decision for a foundation. BABY- AND CHILD-SPECIFIC PRODUCTS: CHARACTER PROPERTIES TARGETING CHILDREN DRIVE LICENSING Asia Pacific is home to more than half of the world’s 0 to 14 year olds, while lower birth rates and postponing motherhood bring both challenges and opportunities globally. As brands with natural/organic credentials gain popularity, there could be further prospects for increased collaborations between licensors and niche players. In total category spend per child, which includes overall sales of both licensed and non-licensed products, Portugal, the UK, Switzerland, and South Korea are the top markets. FRAGRANCES: FASHION AND CELEBRITY ARE THE MOST PREDOMINANT LICENSING TYPES Fashion licensing permits access to luxury within fragrances. Developing markets offer better prospects for celebrity fragrances. They possess larger youth populations, and consumers have a stronger power distance, meaning that they are more likely to view celebrities in high regard. COLOR COSMETICS: FASHION LICENSING INCREASING PENETRATION This category remains a far less explored option, with
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only a handful of fashion brands in the top 20 global color cosmetics rankings. Foundation, lipstick, and nail polish are the top three most receptive categories to licensing, according to Euromonitor International’s Beauty Survey 2015. ORAL CARE: CHARACTER LICENSING TARGETS CHILDREN’S PRODUCTS In the Middle East and Africa, the population of kids ages 0 to 14 is projected to increase by almost 148 million over 2015 to 2030, the fastest growth globally. Children’s oral care is a segment from which the licensing industry could benefit, if more players actively pay greater attention to it. Licensees and licensors could utilize the category to be an educator and a catalyst for dental health improvement among children in nascent markets. OPPORTUNITIES BEYOND ESTABLISHED CATEGORIES In bath and shower, there is an opportunity to target tweens, young boys, and girls with licensed merchandise. Popular video game characters could be used to attract tweens who would also potentially grow with these characters. Similar to bath and shower, targeting boys and girls with popular video game characters in shampoos could also pay off. A number of categories, including men’s shaving, men’s bath and shower, and men’s hair care, present good opportunities, as these are not saturated with licensed properties. By targeting this consumer group at an earlier age, the licensing industry could potentially expand its penetration in this category. By doing this, both licensees and licensors could potentially maintain the interest, somewhat gambling on the expectation that young boys will take these properties with them as they grow into adulthood. •••• Utku Tansel leads licensing at Euromonitor International. Over the past 12 years, he has been responsible for managing diverse research projects covering 32 countries worldwide and for the strategic development of several industry verticals. After heading the syndicated Toys and Games research system for more than five years, in August 2015 he was appointed to his current role developing specialist in-depth licensing knowledge and global expertise, covering a wide range of related industries.
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A FOCUS ON EUROPE Key European territories require varying licensing strategies for kids’ properties.
by AXEL DAMMLER, managing director, iconkids & youth AT FIRST SIGHT, THE LICENSING BUSINESS IN Europe is straightforward and easy: Minions are the No. 1 Hype License among 4 to 12 year olds in the UK, France, and Germany. But the second rank in the national lists shows what makes Europe so tricky, because this is where the simplicity comes to a sudden end. German children put Ice Age second, which is a license that doesn’t even crack the UK’s top 10 anymore. French kids placed Raving Rabbids in the No. 2 spot—a license most British and German kids probably have never even heard of. In the UK, second place goes to the all-time classic Scooby-Doo, but that failed to engage German kids ever since it was aired for the first time in the 1980s. On one hand, there are obvious similarities between the countries (Minions, Spider-Man, and LEGO Ninjago all appear in the top 10 of all three markets, while Disney Frozen, Star Wars, or the Simpsons land in at least two.) But on the other hand, there are striking differences that make the pitfalls of a globalized license business tangible.
Respect Local Heroes First, the license business isn’t just about global blockbusters. “Local heroes” need to be considered and respected. The Raving Rabbids made it into the French top 10, and the Mannschaft, i.e. the successful German national soccer team, scores the third rank in Germany. It is a lesson many companies refuse to learn: License success is also rooted in relevance, and local licenses are often one step ahead and can build a relationship with the customer that globalized franchises can’t even dream of. This is why we always include a national section in each wave of our quarterly study Kids License Monitor. The license selection is dominated by the global players, of course, but 25 percent of the covered licenses are reserved for Hexe Lilly, KiKANiNCHEN, T’choupi, and the like. The younger the target group, the more evident the national impact becomes, because parents share with their kids what they love from their own childhood. In the UK, Thomas & Friends is a good example. Most of these local themes
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come from the book market before entering the TV screen or cinemas, thus they can build on high involvement in their stories and characters among children, and they are considered by parents to be more valuable.
License Life Cycle Secondly, the national markets simply ignore the requirements of global business plans. Some markets are much quicker in adapting new trends and fads, while others warm up slowly and need more time before embracing a new franchise. For example, Trolls achieved higher ownership of merchandise in December 2016 in the UK with 21 percent compared to only 14 percent in Germany and 11 percent in France. We saw the same phenomenon for The Secret Life of Pets, where we measured more merchandise ownership in the UK (23 percent) than in Germany (16 percent) and France (7 percent). On the other hand, Disney•Pixar’s Cars has only 21 percent product ownership in the UK, compared to 41 percent in Germany and 39 percent in France. The latter two markets stay with licenses much longer after they’ve been established, and they also remain more devoted to the classics, such as the Smurfs. Most franchises need to exist for up to two years before being rooted in markets like Germany, but many don’t get that much time. Quite the contrary, we saw examples like Disney’s Kim Possible, where the plug was pulled just as the franchise began to see success in Germany. The explanation for this lies in different consumption habits: Germans expect longevity. For example, a toy is expected to be used for a couple of years, so Germans buy into “system toys” like LEGO or Barbie. UK parents, however, are happy when a toy excites their child for a few weeks, and then are prepared to buy something new. Therefore, LEGO Star Wars was a killer combination from a German perspective—a long-living system toy combined with a classic theme. In other markets, LEGO faces much more competition from other, short-lived action franchises.
Local Age Recomendations and Media Exposure It is one of the basic rules in licensing that most franchises need substantial media exposure to become successful (the design-driven Hello Kitty would be one of the few exceptions to this rule). A TV series won’t be a winner without the right slot on a fitting TV channel, and
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TOP 10 HYPE LICENSES U.K.
FRANCE
GERMANY
1
minions
1
minions
1
minions
2
scooby-doo
2
ice age
2
raving rabbids
3
finding dory
3
german natl. soccer team
3
spider-man
4
spider - man
4
penguins of madagascar
4
ice age
5 batman v. superman 5
DISNEY frozen
5
DISNEY frozen
6
captain america
6
DREAMWORKS dragons
6
star wars
7
pokémon
7
angry birds
7
batman v. superman
8
LEGO ninjago
8
spider-man
8
LEGO ninjago
9
minecraft
9
star wars
9
the simpsons
10
the simpsons
10
LEGO ninjago
10
vaiana (MOANA)
Source: iconkids & youth—Kids License Monitor (waves III/2016, IV/2016, and I/2017)
even the best movie can fail if the weather keeps families from going to the cinemas. This is common sense, but we are surprised again and again how little thought is spent on local regulations such as age recommendations—which is the third variable to be considered. We met this issue for the first time with Pirates of the Caribbean, and the problem remains highly relevant for all action franchises, be it the countless superheroes from Marvel or DC, Star Wars, or Jurassic World. It is no surprise that awareness, appeal scores, and ownership are much higher in the UK than in Germany. The simple explanation behind this consistent difference is that all these movies are rated 12+ years in Germany, because German society is still strongly opposed to all forms of violence and action-only, specifically regarding children. From the UK or the U.S. perspective, these concerns of parents may seem over-protective, but many German parents take the age recommendations for movies or games very seriously. In consequence, their children don’t get access to the content of Iron Man, Spider-Man, or wrestling. If they don’t know the stories or the characters, they can’t be interested in merchandise, either.
Leverage Localization Only a few licenses manage what the Minions have achieved: success in almost all markets at the same time.
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Most franchises fall victim to at least one of the three described intervening issues—they suffer from local competition, their launch strategy is not adapted to the national license life cycle, or they have trouble reaching their target group properly. Europe may seem homogeneous from a global perspective, but it isn’t. We often had to report in our studies that franchises were suffering severely from not following the local rules, but we could also support licensors and licensees substantially by leveraging the benefits of localization—always within the franchise’s DNA. The advantages of global franchise strategies are clear, but at the end of the day, the need for a local adaptation is answered by one simple question: How successful is a license expected to become in each market? ••••
Axel Dammler is managing director of iconkids & youth, Germany’s leading kids and youth research agency. He has worked extensively as researcher and consultant for both licensors and licensees in categories ranging from fragrances to toys and food. The quarterly study Kids License Monitor provides detailed data for key European markets UK, France, and Germany and is available for LIMA members at a substantial discount.
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TOY LICENSING
MOVIE MANIA: Paving the Way for Engaging Play through Licensed Toys
by LAURIE CHARTORYNSKY, communications specialist/content developer, The Toy Association WITH A SPATE OF FAMILY-FRIENDLY MOVIES hitting the big screen, 2017 is projected to be a huge year for the licensed toy business, which drives about 30 percent of annual toy sales in the U.S. This year, children and movie fans can expect to see a variety of products that hit on the emotional aspect of a licensed character, while also deepening classic play patterns such as role play, active play, arts and crafts, and more. “From Beauty and the Beast to Star Wars: The Last Jedi, this year’s family-friendly blockbusters will get kids excited about engaging with their favorite characters and storylines,” says Adrienne Appell, trend expert at the Toy Association. “We’re excited to see that toymakers are being more thoughtful about creating licensed products that incorporate interactive technology, educational concepts, and creativity to further appeal to kids.” This year’s movie lineup is especially strong due to the number of sequels and additions to already successful franchises, boding well for licensed toy sales, says Marty Brochstein, senior vice president at the International Licensing Industry Merchandisers’ Association (LIMA). “Franchises and sequels [mean] there’s already been proof of performance. There’s at least the beginning of a ready-made audience,” says Brochstein, noting that Star Wars’ initial movie release in 1977 likely spurred the modern licensing toy business. The Star Wars franchise celebrates its 40th anniversary this year, and, with Star Wars: The Last Jedi in theaters in December, a variety of new franchise-related and commemorative action figures, collectibles, plush, play sets, and educational toys
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are expected on toy store shelves. Brochstein adds that “surprise hits” can seemingly come out of nowhere. Following Marvel’s first Guardians of the Galaxy movie, toy consumers were looking for licensed products based on the movie and couldn’t find them. Now, fans will have their pick from a range of licensed toys and collectibles based on the film. “This is one where the licensing is hitting—it’s presumed there is an audience for the sequel because of the first [movie’s success],” says Brochstein. “Movie Mania” was one of the six hottest trends announced by Toy Association experts at the 114th North American International Toy Fair in February. The show unveiled thousands of toys—from plush and ride-ons to games and action figures—based on popular movie characters. Check out a few examples of the licensed toys and games that will be sweeping the toy aisle through this holiday season: INTERACTIVE TECH In the tech category, WowWee’s Minion MiP Turbo Dave, from the Despicable Me franchise, responds to hand gestures and can even navigate kids’ bedrooms. Kids simply download the Turbo Dave app to control the Minion remotely, plan paths for him to self-navigate, or even have him interact with other characters or props from the movies. Also included is a coding platform for high-tech programming fun. Designed for kids ages 4 and up, Jakks Pacific’s Rock ’N Roll Groot from Marvel’s Guardians of the Galaxy Vol. 2, is a remote-controlled toy that dances, spins, talks,
Hasbro’s Disney Princess: Dance Code Belle
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and lights up as kids play with it via manual or “listen” mode. In manual mode, kids control Groot’s action with the remote, modeled after the movie’s famous “Awesome Mix” cassette tape. In “listen” mode, Groot will dance on his own to almost any song when placed near a speaker. FULL STEAM AHEAD Licensed toys that are education-based, such as those that draw from STEAM (science, technology, engineering, arts, and math) concepts to enrich learning through play, are also on the rise. Uncle Milton’s Death Star Electronics Lab allows kids ages 8 and up to construct electronic circuits inside the series’ iconic Death Star. The circuit lab includes more than 20 experiments and uses more than 70 components where kids can activate a super laser, initiate the tractor beam, trigger the battle alarm, or power Darth Vader’s breathing machine. Beauty and the Beast’s Belle comes to life through Hasbro’s Disney Princess: Dance Code Belle Doll, designed to teach kids ages 5 and up how to code using the dance coding app. Kids can learn simple coding techniques, such as block coding and connect-the-dots, to create and choreograph unique dance sequences for their Belle doll. CREATIVE AND CLASSIC PLAY IS KEY Girl power will be front and center in June, with the release of Wonder Woman, another extension of the Justice League franchise. Kids who want to be like Wonder Woman can use Factory Entertainment’s Wonder Woman SWAT Sword and Shield, which are modeled after the props used in the movie and allow for safe role-play action for kids ages 8 and up. The 30-inch-long sword features a dragon-themed gold hilt and Amazonian runic-based script on its blade. The 18-inch-diameter shield is detailed in shimmering gold and dark fabric on the front, and features two straps on the back. Each soft weapon features a series of sounds that play when swung through the air and on impact, clashing and clanging as they collide. With 1,456 pieces, Batman-enthusiasts will love building LEGO’s The Ultimate Batmobile from The LEGO Batman Movie, which divides into four separate vehicles: the Batmobile, Batwing, Bat-Tank, and Batcycle. Designed for builders ages 10 and up, the model features fold-out boosters and four stud shooters, while the Batwing has fold-out wings and two springloaded shooters. The Batcycle has foldable wheels and the heavily armored Bat-Tank boasts two hidden six-stud rapid shooters. The set also includes the rotating Bat-Signal with a LEGO light brick, Polka-Dot Man’s flying disc, and eight mini-figures—including Batman, Batgirl, Robin, and Alfred Pennyworth (in a Batsuit)— with assorted weapons and accessories to inspire
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endless role-play action. Bandai’s Power Rangers Movie Rangers & Goldar 5-Pack 5-inch, a Target exclusive, includes the full Power Rangers team—complete with power accessories—and a Goldar figure as 5-inch metallic action figures that kids and collectors alike will love to play with and display. “Licensing plays a major role at Target, and this year will be no different,” says Nik Nayar, Target’s vice president of toy merchandising. “We’ve already seen a strong showing from products tied to early 2017 releases, such as LEGO Batman and Power Rangers, and expect that momentum to continue into holiday with dominant license properties, such as Star Wars and Disney.” PRESCHOOLERS: IN ON THE ACTION Experts say that toys for preschoolers and plush are experiencing strength due to this year’s movie licenses. Designed for kids ages 3 and up, Pillow Pets Lightning McQueen, Tow Mater, and Jackson Storm from the Cars 3 movie foster creative play by day and serve as comfy pillows for sweet racing dreams all night long. And with the release of Paddington 2, featuring the beloved children’s book character Paddington Bear, Yottoy Productions is launching a plush Paddington for Baby collection designed to encourage infant development. The line includes a classic jack-in-the-box that has a Paddington puppet made of velour and a crank handle that turns to the familiar nursery rhyme, “London Bridge Is Falling Down.” It also has a chime ball, a baby blankie, and a stroller toy. Jakks Pacific launched a line of Smurfs toys to go along with the release of Smurfs: The Lost Village aimed at kids ages 4 and up. The line includes Smurfs and Animal Friends Assortment, offered in blind packaging; Smurf Mushroom House Playsets, where kids can relive the adventures of Smurfette and Brainy using miniature characters and fun accessories; Smurf Vehicle Packs, which include unique vehicles for Smurflily, Hefty, and Clumsy so kids can play out their favorite Smurf stories; and a range of plush toys, including cuddly and huggable 12-inch Smurfette and Clumsy Talking Feature Plush that say select phrases. For more information about the hottest toy trends of 2017, visit toyassociation.org/trends. ••••
XPV Rock ‘N Roll Groot, Jakks Pacific
Laurie Chartorynsky has been a member of the Toy Association’s communications team since September 2016. She is responsible for the Toy News Tuesday weekly e-newsletter and covers the latest toy industry trends for trade publications. Laurie has a Master’s degree in journalism from Northwestern University.
The Licensing Book • 39
MARKETING MEMO
FINDING YOUR UNICORN CUSTOMER Why Segmentation Is Killing Your Brand by DEB GABOR, CEO, Sol Marketing A STORE IS A PLACE YOU GO TO BUY STUFF, usually out of convenience or habit. In contrast, brands inspire irrational loyalty, and yes—even love. How does a company build itself into a brand that people can fall deeply, madly in love with? The old model says segmentation is the key to business success. This involves strategically dividing your potential customers into groups based on who they are and why and how they’re buying. Segmentation is a fine marketing tactic, but it won’t help build a brand people can wholeheartedly rally behind. In fact, segmentation can dilute the brand identity, working against the brand. In order to build the type of brand that customers can fall in love with, you must first create a detailed picture of your ideal “unicorn” customer. Let me start with an example of one brand that I personally worked with. This company is one of the world’s largest retailers of hookahs and hookah supplies. When I asked them who they thought their ideal customer was, they described an older Middle-Eastern man. In fact,
their ideal customer—the person most likely to bring in the most amount of revenue for this company over time—was a young man between the ages of 18-28, who wants to bring people together around the hookah. He is a discerning, curious, fun-loving hookah enthusiast who knows that the most memorable and fun hookah experiences start with the right equipment, accessories, and shisha tobacco. He wants to be the life of the hookah party. You can see why he’s the ideal customer. This example clearly demonstrates how to define this ideal customer. First, start by asking yourself these three questions: 1. Who will be worth the most over the long haul? 2. Who is the most profitable and delightful to serve? 3. Who will not only keep buying from you over and over again, but will also recommend you to others?
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Then, create an in-depth profile of this customer— the person who is most highly predictive of your brand’s success. Imagine the ideal customer in excruciating detail: What kind of car does he or she drive? What clothing does he or she wear? What’s his or her perfume? Every minute detail must be worked out in your mind so this person becomes as real as possible. To help you fill in the details, consider doing the opposite of segmentation. Think about what unites your customers, and create a singular brand that is for a singular customer archetype.
What are the benefits of identifying the ideal “unicorn” customer?
èè Build a stronger brand identity. If a brand can clearly define who its biggest brand champion is, more doors will open than previously imaginable. The creative process will become easier, and everything the brand does will be more thoroughly informed by this one anchoring concept. The brand purpose becomes unified and less fragmented, making it stronger and more appealing to customers. èè Create a brand that your team can rally behind and be truly passionate about. When you build a brand with a strong identity and purpose, you can then recruit people to be part of the team who also feel strongly about the brand purpose. It’s much easier to inspire the team to put in extra work when they feel like the brand is something worth working for. In fact, it starts to feel less like work and more like plain old fun. èè Make the brand more human. Thinking about the ideal customer as an actual person will help you think about the brand in more emotional terms. The result is a brand that people can relate to on an emotional level. èè Inspire irrational customer loyalty. A strong brand identity makes for a strong company that instills customers with confidence. This means that people come back even if they’re dissatisfied simply because they love the brand and they know the brand will redeem itself. èè Help to better inform segmentation. Without a clear brand identity, segment marketing is like driving around without a clear destination in mind. You might find some interesting things along the way, but you’ll waste time and gas, and you will probably find yourself getting a bit lost. Build a brand first, and then use segmentation to help spread your awesome brand identity far and wide.
Is Segmentation Dead? Segment marketing has its place, and identifying the ideal customer archetype shouldn’t replace segmenta-
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tion practices. But if your boss has asked you to go out and segment the market, you are probably putting the cart before the horse. First you have to identify the ideal customer, and then you can think about segmentation. Remember, you’re building a brand for ONE and segmenting the market to get your actual product or service in front of many.
“If a brand can clearly define who its biggest brand champion is, more doors will open than previously imaginable.” If you want to make yourself more attractive to the man or woman of your dreams, you don’t start off by researching all the people in the world who might find you attractive. You focus in on that one person—your ideal mate—and learn everything you can about them—their favorite flowers, what TV shows they like, what they do on Friday nights. In order to build a brand, you have to approach your customers in a similar way. Learn more about the ideal customer and let those insights inform the brand identity. Segmentation can help in marketing, but it’s not going to help build a brand that customers can fall in love with. Finding your “unicorn” customer, however, will. ••••
Deb Gabor is the author of Branding Is Sex: Get Your Customers Laid and Sell the Hell Out of Anything. She is the founder of Sol Marketing, which has led brand strategy engagements for organizations ranging from international household names such as Dell, Microsoft, and NBC Universal, to digital winners like Allrecipes, Cheezburger, HomeAway, RetailMeNot, and dozens of early-stage tech and digital media titans. For more information, visit www.solmarketing.com and connect with Deb on Twitter @deb_sol.
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STATE OF THE INDUSTRY
MOVING FORWARD BY LOOKING BACK by WESTON ANSON, chairman; and JEMMA SAMALA, director of communications and IP/Legal Ed, CONSOR International Asset Management NOSTALGIA IS DEFINED AS A WISTFUL OR excessively sentimental yearning for or return to some past period. What groups drive licensing sales? millennials: a large consumer group composed of those born between the early 1980s and the early 2000s; Generation X: those born right before the millennials, between 1965 and 1981; and baby boomers: parents and grandparents of millennials and Generation X. What do these three groups have in common? Nostalgia. The yearning for the good ol’ days is not limited to those of Tom Brokaw’s Greatest Generation or the baby boomers. We see a continual trend in licensing for all things nostalgic by those of the millennial generation as well. Millennials, grandchildren of the baby boomers, are the ones driving the trends in licensing, including categories such as fashion, sports, home entertainment, board games, coloring books, and home cooking. For millennials, Gen Xers, and particularly the newest Generation Z kids (those born since the early 2000s), life has become too technological, too virtual reality-like, too online, too once-removed, too SnapChatty. Yet, while millennials comprise only 25 percent of the population, they manage to achieve approximately 35 percent of all retail spending. Why are Star Wars, Harry Potter, Disney Classics, Pirates of the Caribbean, and all things Marvel reliably successful entertainment properties? They are nostalgic. Of the more than 150 feature films with licensing potential planned through 2023, almost half are considered remakes or sequels. Also, glancing at the list, you see planned films that are not categorized as either, but are properties that reflect favorites of the past, such as Six Billion Dollar Man, Peter Rabbit, Pokémon, Minecraft, Hello Kitty, Clifford the Big Red Dog, and 20,000 Leagues Under the Sea. Even current popular action heroes are nostalgic, such as Batman, Spider-Man, Wonder Woman, Captain
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America, Thor, The Avengers, Green Lantern, and the Power Rangers. With the uncertainty of the future, we find comfort in things that remind us of a simpler past. ENTERTAINMENT According to The Licensing Letter’s Royalty Trends Report for 2016, entertainment properties had the highest rise in average royalties, up to 9.84 percent from 9.70 percent in 2015. Much of the uptick is due to movie-specific properties. Take for instance this year’s Disney live-action remake of the classic Beauty and the Beast. Not only did it have a smash opening as the biggest domestic March debut and the seventh best in history, but it also earned more than $750 million in only two weeks’ time. Disney’s 1991 animated version was a beloved film, and kids who grew up watching the classic tale as old as time returned to the box office as adults. In turn, that popularity translates into more consumer goods, for both the adults and their own children. You get a double-whammy when targeting both parents and their kids, giving the licensed products a multi-generational pull. While there were the typical Beauty and the Beast products aimed toward children, such as dolls and sparkly yellow dresses; items geared toward adult consumers included $700 Juicy Couture track jackets, $500 watches, $280 Le Creuset soup pots, and Twinings tea bags. There are plenty more nostalgic movie remakes and spin-offs in our future. Disney plans to have live-action remakes of many animated favorites, including Mulan, The Little Mermaid, Snow White and the Seven Dwarfs, The Lion King, Aladdin, Peter Pan, Dumbo, and Winnie the Pooh. Ongoing sequels, prequels, and spin-offs continue for Star Wars, Harry Potter, Pirates of the Caribbean, and all those Marvel characters, keeping millennials in touch with their favorite youthful fantasies. All of these examples have nostalgic elements to them, inspiring multi-generational licensed lines. TOYS AND GAMES While nostalgic entertainment properties will naturally bring with them a treasure trove of toy and game products, there is also a desire to relive a time of gather-
Summer 2017
ing around the game table with family and friends for some real face time. In our technology-driven world, consumers are looking for ways to connect. As a result, in 2016, U.S. board game sales grew by 28 percent, according to The NPD Group. Euromonitor International reports that globally, board games are a $9.6 billion market. Classic board games stay relevant by keeping up with today’s social technology. Hasbro held a social media campaign for Monopoly, allowing fans to vote on which iconic tokens to keep or remove, resulting in 4.3 million total votes. Hasbro also partners with other hot properties to create different versions of Monopoly, such as Star Wars, Angry Birds, Disney Princess, and Yo-Kai Watch. Staying tactile, the current and continual adult coloring book craze is also an indication of yearning for simpler times. USA Today reported that even famous millennial Kate Middleton, Duchess of Cambridge, is a fan of Scottish illustrator Joanna Basford, who has sold millions of adult coloring books. And the coloring phenomenon gains strength through the use of social media, including Facebook groups, Meetups, and Pinterest boards. Crayola also kept itself relevant by starting a social media campaign as it retired one of its iconic 24-pack colors. Dandelion got the boot and now the “Dan D.” Crayon character is taking a retirement tour throughout the U.S. The replacement color has yet to be announced, but apparently will be in the blue family, keeping up consumer interest. Construction is another strong, tech-free toy category that has been around for decades. While LEGO is the clear leader in the construction space and stays on top through its many co-branded products, Mattel has bulked up its Mega Brands construction building toys, debuting Mega Construx building sets aimed at older kids. Mattel co-branded Mega Construx with its own Barbie, Hot Wheels, and American Girl brands, along with other popular properties, including Despicable Me and Pokémon. Similar to board games and coloring books, building
Summer 2017
toys reflect back to a simpler time. For the boomers, it was all about Tinker Toys. Personally, our beloved Slinky continues to spring into our hearts. FOOD Food licensing may not be the first thing that comes to mind when discussing a trend toward the nostalgic, but tie it in to the concept of home cooking. The meal delivery service industry has grown to a $400 million business in just four years, and, according to The Huffington Post, it is projected to grow tenfold within five years. We believe this growth is part of the nostalgic desire to have and make home-cooked meals. While many of us lead busy lives, we still yearn for a home-cooked meal with family and friends, while sitting in front of the TV set watching Jeopardy. Think of it as upscale TV dinners. Food brands are getting into the meal delivery service industry, and we expect many more will start jumping into the frying pan. For now, Hershey’s was the first to have branded dessert meal kits by partnering with Chef’d, a meal kit company. Chef’d partners with many other food-related brands, including New York Times Cooking, Atkins, James Beard Foundation, Quaker, Weight Watchers, Paleo Magazine, and many more. Chef’d even offers an American Diabetes Association meal plan. The pioneer meal service Blue Apron partners directly with farmers and artisanal food companies, such as Niman Ranch, Gardiner Farms, Severino, and Vermont Creamery. Services such as Chef’d and Blue Apron—as well as Gobble, Plated, and Southern Living—provide all the ingredients and recipes for dishes such as Chicken Pot Pie. Consumers get the home-cooking experience, plus the convenience of not having to go grocery shopping for every gourmet item. Lifestyle guru Martha Stewart also entered the meal delivery foray with her Martha & Marley Spoon service. As the website indicates, “Martha Stewart and Marley Spoon have come together to bring Martha’s celebrated recipes and smart cooking techniques to your kitchen. Delivered and designed with easy weeknight cooking in mind, recipes reflect Martha’s love for seasonal ingredients and delicious flavors.” Hey, we can all be home
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STATE OF THE INDUSTRY chefs like Martha, without having to employ extra kitchen help or gardeners in our weekend farmhouse. Momma’s cooking never tasted so good. PERSONAL CARE AND FRAGRANCES You may not think nostalgia has anything to do with your personal care or fragrances, but look at the brands that continue to remain popular. Old Spice has been around since 1937, and men still like the traditional manly man image the brand portrays. Chanel No. 5 was the first perfume by Coco Chanel in 1921, and this iconic fragrance remains a desired fragrance for women. Even Chanel’s advertising exudes nostalgic glamorous tones, such as in 2013 when it used a campaign featuring Marilyn Monroe. The hot shave is becoming a hot trend. Men are going back to barber shops or specialty straight-razor boutiques such as The Art of Shaving and The Gents Place. Men have re-discovered the need to have pampering time, much like getting mani-pedis for women. Indulging in personal grooming will continue to become a luxury we don’t want to forget. FASHION Borrowing from the past has always been a fashion practice, and current trends continue to be nostalgic. We see everything from folded up leg cuffs to padded shoulders to hippy dippy colorful florals and tie-dye prints. The desire for vintage looks is what’s keeping fashion retail alive. And again, technology helps keep the past alive. With the help of Instagram and Pinterest, past fashion trends stay current with tons of posts and pins. A quick search on Pinterest will show thousands of boards specifically for ‘70s fashion. Not really sure why those bellbottom pants were desirable in the first place, but hey, vintage is luxury. SPORTS People feel a deep connection to their favorite sports teams. We live for the big game, the teamthemed parties, and the sportswear. We follow our
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teams, sometimes even taking vacations to follow them on away games. We visit Hall of Fame museums and legendary sports heroes’ monuments. We plan four years in advance to attend the Olympics or the World Cup. Sports fans will continue to revere the great sports legends and buy products to return to that greatness. Mitchell & Ness specializes in old-time vintage-inspired sports merchandise, which has become popular with social influencers. Every sports team has special throwback uniforms that fans can readily buy at the ballpark or online. And those vintage looks are increasingly aimed toward female fans, who spend 80 percent of sports apparel dollars, according to She-conomy. Whether it’s your home team, your college team, or your high school team, being a fan and cheering on “your” team gives the fan a sense of identity. Individuals want to belong to something, and being a sports fan brings us back to a simpler time. While we see other trends in licensing, such as increasing house brands, virtual reality products, and personalization, the desire to gain the comfort of the past is prevalent in all areas of licensing. Think of it as upcycling brands. It’s eco(nomy)-friendly. Recycle and upcycle your goods. Have a dinner party and make your Martha Stewart-inspired home-cooked meal using your Beauty and the Beast Le Creuset pots. Afterward, take out the Star Wars Monopoly game while binge-watching your Disney animated favorites to compare and contrast with the live-action versions. Ahh, the good ol’ days are here again. When faced with the instability or isolation of current times, we look back for the comfort of our past. Licensees and licensors should continue to find creative ways to satisfy consumers’ yearning for nostalgic products as “comfort goods.” ••••
Weston Anson received his MBA (honors) from Harvard University, later working at Booz-Allen & Hamilton, then as vice president at Playboy Enterprises Inc., and then as senior vice president of Hang Ten International, prior to starting CONSOR more than 25 years ago. Anson is active with international IP groups (ABA, AIPLA, INTA, LESI, LIMA) and is an adjunct professor at the Thomas Jefferson School of Law. He has authored seven books and more than 150 articles on IP. Jemma Samala received her B.S. in Business Administration from the University of Southern California. She also attended the Fashion Institute of Design and Merchandising, subsequently working in Judy’s Merchandising Corp.’s buying office. Prior to joining CONSOR, Samala was editor-in-chief of kidsLA Magazine, and was a legal analyst for Pillsbury Winthrop Shaw Pittman LLP, and O’Melveny & Myers LLP. She continues to write for various community and trade publications.
Summer 2017
CASEY COLLINS Executive Vice President, Consumer Products
WWE
How do you use social media channels to build and promote your brands? Digital and social media allows our fans to stay connected to our brand 24/7. As a business, we have always been focused on fan engagement, and digital and social media have only worked to enhance our ability to interact and engage with fans in real time. The ability to entertain our more than 750 million fans and followers through digital and social media is huge in terms of driving all elements of WWE’s business. It also allows us to receive real-time feedback from our fans, and provides additional platforms for our performers to continue storylines. Retail consolidation continues to place constraints on the consumer products marketplace. How are you handling this? As retail consolidation continues to affect the marketplace, we are striving to work closer with our key partners while offering unique programs that drive additional traffic to the store. WWE has the advantage of utilizing our real life Superstars to drive marketing and awareness around these programs, such as in-store Superstar appearances, live event giveaways, talent meet and greets, and a social media following of more than 750 million worldwide. By utilizing these assets, we are able to increase foot traffic on both a local and national level, creating bigger in-store events that help our retail partners not only drive WWE sales, but also the overall basket. How are you tapping into millennial dollars with your properties and brands? Millennials are very much a part of WWE’s multi-generational fan base. We know they embrace technology and want to be connected to content 24/7 across all platforms. Most of them grew up with the technology that they currently embrace. So for us, connecting with them is simple. We reach these fans, we are wherever they are, whenever they are: providing content on the platform of their choice. We also understand that millennials may have different points of entry to our brand, whether it’s our 500 live events each year, flagship TV programming on USA Network, WWE Network—our direct to consumer streaming service, digital, social media, or video games, where our core audience is ages 18 to 34. We feel connecting millennials to our content is the key; the dollars through licensed products and other revenue streams will follow.
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JOAN GRASSO
Vice President-Licensing, North America
eOne Family
In our fast-paced world, time is of the essence. How do you work with your partners to create and deliver licensed product to retail without skimping on quality? Our focus has always been on producing top-quality products that are a good fit for our brands, and we partner with licensees that are committed to this same goal. While we strive to have our licensed merchandise available to all of our consumers as soon as possible, we don’t rush to deliver product to retail if it means compromising the quality and aesthetic of what we put out in the marketplace. Our consumers expect only exceptional products from us and we always take the time and care needed to deliver on those expectations. Our product development team works very closely with our licensees to get merchandise out as quickly as we can to meet demand, but not at the expense of quality and brand appropriateness. How do you work with digital influencers to advocate for eOne Family’s brands? We work closely with the blogger and influencer community in a number of ways that keep our brands top-of-mind. One way we work with digital influencers is through our blogger ambassador programs. We’ve put in place initiatives for both Peppa Pig and PJ Masks, each made up of a group of 10 hand-picked influential bloggers who serve as “cheerleaders” for the respective brands. In exchange for their posts, both on their blogs and social pages, these VIPs are among the first to receive licensed products for review along with sneak peeks of upcoming new episodes and specials, invitations to the live shows and costume character meet-and-greets, and more. Each blogger is a mom or dad to a preschooler, and they help us to build buzz throughout the blogosphere and beyond via their enthusiastic blog and social posts, which often include photos and videos of their own children interacting with the properties, series, and products. This has really helped us promote our new products and initiatives in a very organic way. How do you use social media channels to build and promote your brands? Through our social media channels, we’ve fostered engaged communities of fans who are passionate about our properties. These platforms serve as a hub for all brand news, making them a one-stop shop for parents and caregivers to learn about the latest happenings with their little one’s favorite brands. For example, to amplify promotional efforts for National Superhero Day (April 28) on the PJ Masks pages, we shared hero tips that strengthened the core brand messaging and drove tune-in to a special block of episodes airing on Disney Junior. We also encouraged fans to visit the PJ Masks website to download our exclusive National Superhero Day Celebration kit, collaborated with social influencers for themed Twitter parties, and promoted must-have products for throwing the ultimate National Superhero Day celebration. Our social media activities are crucial for engaging with our audience and building our brands for the long term.
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STATE OF THE INDUSTRY
PETE YODER Vice President
Cartoon Network Enterprises North America In our fast-paced world, time is of the essence. How do you work with your partners to create and deliver licensed product to retail in a timely fashion without skimping on quality? As the retail marketplace becomes increasingly competitive, it’s imperative to work closely with partners to ensure you are getting the highest quality product on shelf as quickly as possible. By developing turnkey programs with retailers and licensees, we’re making sure that our fans are getting what they want, when they want it. Two examples are our programs with Hot Topic and Amazon. With Hot Topic, we have developed a direct-to-retail relationship to create an exclusive line of apparel and accessories around some of our most popular brands, including Steven Universe, The Powerpuff Girls, We Bare Bears, Rick and Morty, and more. By going direct with Hot Topic, we worked with their designers to make sure that the aesthetic and quality targeted their customer, and that product would hit shelves at key times for maximum sales. Another example is our program with Amazon and their Merch by Amazon group. Working directly with Amazon, we are able to leverage their size and local manufacturers to decrease development and delivery timelines and make sure we are taking advantage of topical situations or trends around our franchises. How do you work with digital influencers to advocate for Cartoon Network’s brands? Fans are always at the core of what we do at Cartoon Network, so we try to make sure that we are speaking with our fans anywhere and at any time. One way we accomplish this is through our relationships with key digital influencers. By leveraging influencers who have a similar audience to our brands, we are able to bring an additional level of credibility and authenticity to our brands. One recent way we did this was through a program with YouTube and our hit franchise The Powerpuff Girls. Working closely with the YouTube team, we hosted an event in their New York YouTube Space where we invited key bloggers and digital influencers to sample the new line of The Powerpuff Girls toys from Spin Master. Influencers could use the YouTube studios to film themselves interacting with the toys, as well as engage in contests and other activities created exclusively around the event. Retail consolidation continues to place constraints on the consumer products marketplace. How are you handling this? Today, we are currently reading and hearing about the consolidation and right-sizing of the retail marketplace. During this time, however, we’ve seen our business continue to grow despite the challenges facing us today. Part of our success has been a result of having strong relationships with our retailers and including them in much of what we do. To start, we allow our retail partners into the studios and the early development of our franchises and listen to their comments and feedback so we can include that in the development of the show. We listen closely to retailers to learn the trends that they are seeing, as well as identify gaps in the marketplace (or in their retailers) and partner to find ways to help fill those gaps. Finally, we partner with retailers to develop customized programs that distinguish them from their competitors, as well as create unique and engaging ways to speak to their customers. This can be done through custom promotions, sweepstakes, developing exclusive content for their digital and social platforms, and leveraging all of our platforms to drive to retail.
Summer 2017
LIZA ABRAMS
Vice President, Global Licensing and Marketing
Sakar
What trends do you see in the way brand and property owners approach licensing program development? It’s interesting to me that we are seeing much more hands-on involvement of licensors—not only at the creative level, but also with business and retail teams. There is a need to be more creative, not only in design, but also in knowing which are the key items, price points, added features, packaging, etc.—that takes many eyes from all different perspectives to perfect. At the same time, I’ve noticed a lot more openness on the part of licensors to allow for creative interpretations—maybe not following a style guide to the “T,” but letting licensees take liberties in applying guidelines, tweaking art rules, and adding some fun—maybe role-play in a non-traditional category—because of the knowledge of what sells in that category. Retail consolidation continues to place constraints on the consumer products marketplace. How are you handling this? When one retail door closes, another one opens. I think this has always been true and will continue to be an obstacle to overcome. There are still a lot of doors out there. They may not be the traditional retailer, but we need to ask ourselves, how can we adapt our product to make sense for channels that might not typically carry our lines? Sakar’s ability to be nimble has afforded us the ability to create unique product for different channels of distribution. We also have to be smarter about the products we create: the breadth of our lines, the value we can offer customers. Manufacturers have to know who their ultimate customer is in each channel, what they are willing to pay for an item, what’s important to them—which might not have the same values as another outlet. Additionally, we’ve looked to new channels that may traditionally have been overlooked, but have come through the recession as major players.
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GABRIELA ARENAS
Vice President, Licensing, North America
Sesame Workshop
How do you work with digital influencers to advocate for your brands? How do you use social media channels to build and promote your brands? As content diversifies into different platforms, including digital and social media, we are collaborating with influencers and connecting with consumers through those channels. A perfect example is our “Love to Learn” campaign from 2016, where Elmo explored a new preschool-friendly topic each month. Viewers were treated to curated playlists on our YouTube Channel and those of our YouTube collaborators, such as Simon’s Cat, David Villa (captain for New York City FC), the Eh Bee Family, Lennon and Maisy, and Rosanna Pansino. The campaign delivered fantastic results, with more than 7 million video views and more than 350 million press impressions. In March, we launched a three-day Big Bird Snapchat filter. We were thrilled with the positive feedback, and shared images and views on social media. Stay tuned for more fun Snapchat filters in the near future! Throughout the year, we celebrate many special occasions through our social media channels: character birthdays, holidays, and popular trends such as the Mannequin Challenge. What are you doing to invigorate Sesame Street and keep it fresh for a new generation? The staying power of Sesame Street lies in being relevant in all that we produce; being true to our mission of helping kids grow smarter, stronger, and kinder; and connecting with consumers. We focus on meaningful storylines that resonate with kids and their families: co-viewing has increased 26 percent over the past two years across all platforms. Every year, we consider which issues are impacting our audience and, as we tackle subjects important to today’s families, we engage with educational experts and researchers to best meet kids’ needs. We also have a dedicated team of content producers who maintain the integrity of the show while maximizing the entertainment value. This combination gives Sesame Street its staying power. We reach kids and their families wherever they are—whether through linear, SVOD, or mobile long- and short-form content. In the U.S., our main platform partners are PBS Kids, HBO, Univision, Netflix, and Sprout, and we’re growing within our partners’ digital channels, as with PBS 24/7 and HBO Go. You’ll also find Sesame Street on Amazon, iTunes, and Hulu. With Sesame Street’s YouTube Channel, we continue seeing a substantial increase in views and, most importantly, engagement is up by 22 percent. We are wherever kids are engaging with content.
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ADAM BEDER
Executive Vice President, Global Licensing & Business Affairs
Spin Master
What trends do you see in the way brand and property owners approach licensing program development? What we’re seeing is an overall shift in the way licensing is approached—rather than looking at licensed products as an extension of the brand or an added revenue stream, companies are focusing on leveraging licensing to create a more holistic experience. We’ve seen time and time again that children love the characters and stories of their favorite properties and they don’t want to stop at playing with one toy or simply watching the programing. Paw Patrol is a fantastic example of this. Ryder and the pups have won the hearts of their fans, and now preschoolers want to create their own adventures and interact with their canine heroes in a more tangible way. Through smart licenses and great products, we have been able to bring the world of these characters to life; everything from costumes to couches to interactive tours make it possible for a child to feel a part of Adventure Bay. As we’ve grown our entertainment division, including our most recent releases such as Rusty Rivets, this will be a continued approach. Licensing opens doors to tell even more stories, and it’s something we consider from the outset of production to create a stronger brand experience. Experiential licensing is more important than ever before. How do your brands offer an experience to your target demographic? Across our brands, we are constantly considering how to create a well-rounded experience for the consumer and experiential is a great tool for this. We’ve had great success with Paw Patrol’s two big experiential activities: the Paw Patrol Roll Patrol Road Tour, a fully interactive tour that featured a life-sized Paw Patrol Headquarters, character visits, and more, as well as Paw Patrol Live! the brand’s first-ever live tour. Each has been an incredible way to engage our fans and help connect them to the characters they love. Beyond these big activations, we also look at what we can do to bring that experience home. When we looked at the success of Hatchimals, we knew we had an opportunity to create a stronger experience for fans. Kids loved the hatching process and discovering the Hatchimal inside and they wanted more. With the collectibles trend growing, our new line of Hatchimals Colleggtibles was a natural next step. Season one launched in May with more than 70 characters—each with a backstory— and invites fans into the Hatchimals world. From there, the opportunities to build the consumer experience are endless. We’ve collaborated with Penguin Random House for storybooks, handbooks, and collector’s guides; activity and sticker books; and more. We have more than 25 additional North American licensees in all major categories.
Summer 2017
STATE OF THE INDUSTRY
SERGEI KUHARSKY
Executive Vice President, Franchise and Digital Enterprises
BBC Worldwide North America What trends do you see in the way brand and property owners approach licensing program development? The key trend entertainment property brands are bringing to licensing program development is integrating them more tightly into a virtuous cycle, where stories reach across multiple viewing platforms (linear, EST, VOD, SVOD, DVD, etc.), social networks amplify and connect fans, and products and events drive deeper fan engagement. The formula for success has now changed so programs can no longer stand on their own. Instead, they must be part of the constant 24/7 challenge of fanning the flames of fandom to keep them burning strong. BBC Worldwide, the main commercial arm and a wholly owned subsidiary of the British Broadcasting Corporation (BBC), is well positioned to capitalize on this trend with its classic and internationally recognized brands, such as Doctor Who and Top Gear, as well as newer brands including Hey Duggee and Blue Planet II. What are you doing to invigorate classic brands and keep them fresh for a new generation? Millennials, now officially America’s largest generation, are the nation’s trendsetters. BBC Worldwide recently partnered with both Google and Snap Inc. to showcase the relevance of our classic natural history brands with this younger generation. BBC Worldwide has partnered with Google Earth in its re-launch of Voyager, creating a Natural Treasures collection of content from some of the BBC’s most incredible natural history series. As part of the partnership, Google Earth users can travel through 30 locations via BBC footage of six types of natural habitats: islands, deserts, grasslands, mountains, cities, and jungles. These curated journeys include insights from the BBC’s wildlife producers, and imagery and clips from such series as Life Story, Africa, and Planet Earth II. This partnership not only gives visitors a taste of world-renowned nature programming and storytelling, but inspires audiences to explore and foster a deeper connection with our planet. In June 2017, BBC Worldwide and Snap Inc. announced a partnership to launch an exclusive series of Planet Earth II shows on Snapchat’s Discover Platform in the U.S. and Canada. The content, produced by BBC Studios’ Natural History Unit, included six exclusive episodes, each telling a new Planet Earth II story featuring scenes that were specifically crafted for Snapchat’s vertical mobile viewing experience and complementary to the theme of the TV episode. In a first for mobile audiences, never-before-seen footage filmed for the landmark series launched on Snapchat a day before the show’s February 18 debut on BBC America in the U.S. and BBC Earth in Canada.
Summer 2017
HOWARD BEIGE Executive Vice President
Rubie’s Costume Co.
How are you tapping into millennial dollars with your properties and brands? Our consumers want to put on a costume to become the character, to play out a role, or to fantasize about being a superhero or a princess. While our audience for costumes, masks, accessories, décor, and dress-up products is as broad as can be imagined, we know that millennials are a prime target for products for themselves, as well as for their young families. When we are able to work with a property that has the potential for a family to dress up for a Halloween event or a dress-up party, we have hit the millennial target. Retail consolidation continues to place constraints on the consumer products marketplace. How are you handling this? There has been a lot of discussion in the press about consolidation of the consumer products marketplace, but Rubie’s has been well-positioned since its inception to handle changes in the market. We have always serviced all channels of distribution to maximize our consumers’ access to our products—from mom and pop stores to seasonal pop-up stores to mass-market retailers to online retailers. Consolidation has given the consumer alternative places to buy our products, and our products are available to consumers 365 days a year whether they go to a local costume shop or to an online retailer. In addition, most importantly, our products are available to retailers 365 days a year. What trends do you see in the way brand and property owners approach licensing program development? Management of licensed properties has improved dramatically in the past 10 to 15 years. Property owners are more involved in every aspect of brand management and are employing people who are specialists in all areas of property and product development. The integration of brand management and our own business management has improved the quality of our products, the timeliness of product introduction, retail relations and communication, and support for property management. Where do you anticipate growth in licensing over the next two to three years? There is an amazing amount of content that is being presented to us for product development; our challenge is to make the best selections to maximize our product lines and to grow in new product categories, as we have done in the past few years with our dress-up and pet costume categories. Rubie’s will continue to service all retail distribution channels worldwide with a broad product selection appropriate for each market.
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STATE OF THE INDUSTRY
MAURA REGAN Executive Vice President
International Licensing Industry Merchandisers’ Association (LIMA) What challenges currently face the licensing industry, and how is LIMA addressing them? The global licensing industry continues to be challenged by shifts in consumer shopping behaviors. From the consolidation of traditional/physical retailers to the economics of luxury brands, we see such changes playing out globally and representative of forces driven by how consumers consume. These changes are deeply impacting our members and the industry at large. That said, as consumer shopping patterns shift to online, this presents a huge opportunity for the licensing industry to demonstrate the power of brands to stand out and connect with consumers. LIMA, as the definitive voice for the brand licensing community, early on identified this as an important trend to get in front of by listening to our members’ concerns. As a result, LIMA has been bringing together all tiers of retailers and brand licensing leaders to facilitate a dialogue on how best to work together and solve these issues. We recently hosted the second annual executive brand licensing leaders forum Mind Mix, held this year in Milan, where this and other issues were at the forefront of the discussions. Additionally, consumers’ appetite for instant gratification and personalization is driving much discussion vis-à-vis reconciling the wants of the consumer with the challenges of traditional product development cycles. Here, LIMA continues to bring together important stakeholders in these issues driven by technology and consumer behaviors to best address and work together in partnership on these issues. The industry at large is more data driven than ever before and LIMA commissions important research studies to aid our members in their strategic planning, such as our Annual Global Licensing Study, webinars, seminars, and case studies from industry experts. What are LIMA’s key objectives for the year ahead? Looking ahead, we are excited for the upcoming year to continue to serve our members by providing best in class services, educational programs, and networking opportunities. These programs serve professionals at every stage of their career. YPN, CLS, and Licensing University aid professionals at the earlier stages of their licensing careers, while forums such as Mind Mix provide an open platform for senior executives to address macro trends impacting their businesses. The business of licensing is an industry, but it is also a community of smart, caring business people. This year we are expanding our philanthropic commitments by establishing a charitable foundation. Finally, our goal is always to remain committed to listening to our members and serving their needs.
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TIM KILPIN
CEO and President
Activision Blizzard Consumer Products Group What trends do you see in the way brand and property owners approach licensing program development? The ever-changing retail landscape is certainly a consideration when developing licensing programs. We are exploring new ways of reaching our target customers. For example, we are supporting more subscription boxes than ever before and are tailoring some of our merchandise to work in that distribution platform. We are also keeping pace with the acceleration of e-commerce by offering fans more ways to purchase the gear they love. We are also seeing the rise of collectibles as a growing segment. Fans are seeking affordable and fun ways to engage in pop culture, and with a variety of designs and characters available, we’re seeing a rise in the collector behavior. Typically, there’s been a natural affinity among gamers to become collectors, driven by passion for the games. We share that passion ourselves and want to support it, so we’re constantly looking for new ways for players to express their interests and personalities through the fun merchandise we create. With that in mind, we’re producing collectible figures at various price points with best-in-class partners across our intellectual property (IP), including Overwatch, Call of Duty, and Bungie’s Destiny. Lastly, Activision Publishing is home to some of the most iconic video game IPs of all time, including Pitfall, River Raid, and Crash Bandicoot. We are capitalizing on the current retro trend by offering tailored merchandising programs that provide fans with new ways to engage with beloved properties. Additionally, the Activision brand itself fuels feelings of nostalgia, and so we are also leveraging the strong brand identity and following to develop a licensing program around the Activision name. What challenges arise when creating licensing programs for multi-platform brands? The ability to create far-reaching cohesive programs across platforms speaks first to the strength of the franchise. At Activision Blizzard, we are building franchises of the future articulated across multiple platforms, enabling us to deliver incredible breadth, depth, and engagement with our properties through gameplay, linear storytelling, e-sports events, and consumer products. And while a multiple platform approach expands the reach of our IP, each program needs to be thoughtfully executed. It’s crucial to be authentic to the brand and aspirational for the intended audience—while not alienating the core fans. For example, a merchandising program developed for a core console game would be different from say a PG-13 feature film or a more casual mobile experience. Success with this balancing act comes from a deep understanding of our brands and the needs of each consumer segment as the IP is articulated across platforms.
Summer 2017
JAMIE STEVENS
Executive Vice President, Worldwide Consumer Products
Sony Pictures Entertainment Where do you anticipate growth in licensing over the next two to three years? In reviewing our strategy against trends in the marketplace, we believe the biggest growth areas in the licensing business will be across toys and games, apparel, and food and beverage. From a technology standpoint, virtual reality (VR) is an area where we see aggressive revenue growth in the years ahead. We’re beginning to envision products that integrate our properties into VR experiences, with the technology resource of our gaming experts at Sony. In terms of the global marketplace, we see a tremendous opportunity to grow our business in emerging markets. For example, China is a hot region right now and we are focused on expanding our resources in that market. Ultimately, we are committed to ensuring our properties have representation worldwide and keying in on general expansion paired with these categories will lead to the biggest growth opportunities for us over the next two to three years. What are you doing to invigorate classic brands and keep them fresh for a new generation? It helps when you have an iconic classic brand that is timeless, resonates with families, and has near universal awareness—this is the case with Ghostbusters. Now we have an all-new generation that is experiencing the brand as the millennials have grown up. Case in point are the writers of Stranger Things. They are millennial showrunners and their childhood fondness for Ghostbusters is now written into the series and will be imprinted on a whole new generation of fans. Aside from pop-culture, it’s up to us as a studio to be strong brand guardians and keep the momentum up by creating compelling content and other engaging opportunities that get fans excited and in turn support our licensing partners. We are in the planning stages of the Ghostbusters’ 35th anniversary in 2019. We have Playmobil on board as a new classic toy partner and we are doing a number of other co-branded partnerships. What trends do you see in the way brand and property owners approach licensing program development? Audiences are no longer just consuming film and TV content, but also digital, interactive VR, short form content, and more. Brands need to constantly evolve their strategy based on where and how their target demographic is consuming content. At Sony, we are nimble, so we are able to adapt to changes in media consumption, which is beneficial for our partners and the overall business. We are committed to making our properties as relevant as possible to today’s consumers.
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STONE NEWMAN
President, Global Consumer Products, Worldwide Content Sales & Marketing
Genius Brands International
In our fast-paced world, time is of the essence. How do you work with your partners to create and deliver licensed product to retail in a timely fashion without skimping on quality? It starts with a visually compelling style guide. We believe that investing in the creation of a quality guide will allow for the highest standard of product. Additionally, with my background in manufacturing, having owned a toy company for many years, I still have access to a very strong manufacturing vendor base. Therefore, we have the capability to handle a considerable amount of the upfront design, development, and sourcing for brands we are committed to, effectively creating a turnkey solution for our licensing partners. For example, we designed, developed, and sourced 14 products based on our children’s brand Thomas Edison’s Secret Lab, that we then licensed to Calendar Club’s Go! Retail to hit their shelves nationwide this fall. We were able to ensure that our brand was represented the way we wanted, and we delivered a custom-branded program specifically for Go! It was a win for everyone. We are also working on a similar initiative for Claire’s with SpacePOP, but instead of it being licensed to Claire’s, we will hand it off to our licensee Taste Beauty. We are effectively putting Taste Beauty into a new business that is very exciting for them, and we offer Claire’s an entirely new category that will debut nationally with 10 custom items. How do you work with digital influencers to advocate for Genius Brands International’s brands? We essentially pioneered an all-digital, non-broadcast successful launch of our tween music-driven series SpacePOP last summer. We recognized early on that having a strong digital footprint is critical in establishing a tween brand in today’s environment. So, an essential component of our overall marketing strategy was utilizing influencers to deliver our brand message across multiple social media channels, ensuring we reach our audience where they consume entertainment digitally. So, for the past 10 months, we have worked with more than 100 influencers across YouTube, Musical.ly, and Instragram to promote SpacePOP. This has been a key to our success in delivering authenticity for SpacePOP and, as a result, we have achieved more than 15 million channel views, more than 50,000 subscribers, and approximately 286,000 hours of watched SpacePOP programming. The influencers, who have a combined audience of millions in our target demo, are wearing SpacePOP clothes, singing SpacePOP songs, choreographing their own SpacePOP dances, and reviewing our dolls and other merchandise. They love SpacePOP in an authentic way, which has not only led to fantastic sales at retail, but has also generated an impressive following for our brand.
Summer 2017
STATE OF THE INDUSTRY
BRYONY BOUYER
Senior Vice President, Global Category Management and Integrated Marketing
Hasbro
Experiential licensing is more important than ever before. How do your brands offer an experience to your target demographic? Live entertainment and location-based experiences are great ways to engage our existing fans while bringing new consumers into the fold. We’re doing this with theme park attractions, such as the Transformers ride at Universal Studios and a 3-D Transformers experience in Las Vegas from Victory Hill Exhibitions. This April, Tycoon launched a My Little Pony live show in Argentina with more than 6,600 attendees in a single weekend. The show was so popular, its run has been expanded and it will tour South America through the spring and summer. Hasbro also launched a My Little Pony-inspired pop-up “mommy and me” spa during New York Fashion Week and many other activations worldwide. In 2017, Hasbro will host our first-ever HASCON event in Rhode Island, which will bring all of our most iconic brands to life like never before, including Transformers, My Little Pony, Nerf, Magic the Gathering, PlayDoh, Monopoly, and G.I. Joe. We will continue to expand experiential licensing for a number of brands over the next few years. What are you doing to invigorate classic brands and keep them fresh for a new generation? We do a tremendous amount of social listening to help us understand what fans want from our brands. And while much has changed in the way fans view and interact with our brands, what continues to be the most important aspect of keeping a franchise fresh and relevant is a focus on great storytelling. Hasbro’s most iconic franchises continue to resonate with fans 20 and 30 years after being introduced and we continue to nurture them with engaging, funny, thoughtful, and entertaining stories about unforgettable characters that speak to kids and adults at all ages. Many of our brands enjoy broad reach through traditional story-telling platforms, including multiple TV series that air in more than 187 countries, and global theatrical releases such as this year’s Transformers: The Last Knight and My Little Pony: The Movie. It’s important to keep in mind that consumers in 2017 are looking for new, more involved brand experiences than ever before. There is a tremendous desire for more interactive, digitally driven brand activations and stories, which has lead us to a greater focus on omni-channel storytelling. Hasbro is pushing properties into all sorts of exciting new arenas—from a digital-first Transformers series created in partnership with Machinima; to Hanazuki, a new digitally driven girls brand that features an interactive mobile app, a line of connected consumer products, and an animated series that lives on YouTube and YouTube Kids; and Stretch Armstrong and the Flex Fighters, our first Netflix Original series premiering later this year.
Summer 2017
FEDERICO SAN MARTIN
Vice President of Global Consumer Products
The Jim Henson Company
In our fast-paced world, time is of the essence. How do you work with your partners to create and deliver licensed product to retail in a timely fashion without skimping on quality? At The Jim Henson Company, quality is paramount, and over the years we have developed relationships with licensees who consistently deliver high-quality products at retail—they include Insight Editions, Boom Entertainment, Jazwares, and Toy Vault. They are experts in their field and can move the process forward from development to manufacturing to retail in a very efficient manner. We also forge new relationships with top-tier licensees who understand and respect the Henson brand equity. Snaptoys, for example, is our global toy partner for the vocabulary building series for young preschoolers, Word Party, available on Netflix. Snaptoys is very creative, with great attention to detail, and they have been able to deliver a collection of adorable plush to the market within a short time frame. They will also debut a wide range of toys—from figures to play sets and electronics—this fall and in early 2018. Additionally, our retail team and licensees have ongoing relationships with all the major retailers—we align with their needs, understand their timing, and work backwards from delivery dates to make sure that we meet the deadlines. What are you doing to invigorate classic brands and keep them fresh for a new generation? We have several classic brands at Henson with loyal and passionate fan bases that continue to increase over time—these include Fraggle Rock, Labyrinth, and The Dark Crystal. We develop our campaigns for these brands around significant milestones or key product launches, securing key licensees in core categories to develop new and contemporary products that fans can engage with, and we create content that has not previously been available. It was the 30th anniversary of Labyrinth last year and we had great success with several products including a limited edition Blu-ray that we released as an Amazon exclusive; and we saw strong demand for new products from various licensees including River Horse (Jim Henson’s Labyrinth: The Board Game); Truffle Shuffle (apparel, ceramics, bags, and prints); Toy Vault (plush, novelty, and games); Boom Entertainment (worldwide publishing); Trevco (apparel, bedding, and home) and Ripple Junction (apparel, posters, and pins). To celebrate the 35th Anniversary of The Dark Crystal this year, we launched an official sequel—The Power of the Dark Crystal—it’s a 12-issue comic book series from BOOM! Studios’ Archaia imprint and picks up long after the events of the original film; Funko POP! launched collectibles; and we have a deluxe coffee table book, The Dark Crystal: The Ultimate Visual History from Insight Editions that will be released in September 2017.
The Licensing Book • 53
PROPERTY PROFILE
: N E B
Ben Tennyson is a 10-year-old, fun-loving kid. A world of extraterrestrial superpowers open up to Ben once he finds the Omnitrix, a mysterious watch that transforms him into 10 different heroic aliens:
Heatblast: He can create fireballs or absorb heat to put out a fire. Four Arms: Whenever Ben needs to smash, throw, or crush something, Four Arms is the hero of choice. Diamondhead: Diamondhead can shape-shift, fire crystal shards, and use his body to redirect, refract, and absorb energy beams. Upgrade: A living machine with liquid metallic skin, Upgrade is a biomechanical alien who can merge with any technology and “upgrade” the device to make it more powerful. Cannonbolt: Cannonbolt can curl up within the thick armor on his back and become
an unstoppable wrecking ball, launching himself at high speeds to cause massive damage. Wildvine: Wildvine can grow and retract his body, and he can also merge with plant life.
He can even grow vines to trap others.
Grey Matter: At 5 inches tall and with a super advanced brain, Grey Matter is both the smartest and smallest of Ben’s aliens. Overflow: Overflow can generate and control water, attack with water blasts, and protect
himself with an armored exoskeleton.
Stinkfly: This bioluminescent insectoid alien can create an array of goos and gasses with a wide range of devastating effects. XLR8: With lightning-quick reflexes and the power to reach speeds of 500 mph, XLR8 is Ben’s fastest alien.
8 7 1 30 ages langu
ies countr
M 2 1 3
wide s world e m o h
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FACTS:
• Cartoon Network introduced a fresh take on the Ben 10 animated series in April, along with a full-fledged licensing program for the brand. • Ben 10 first premiered on Cartoon Network in 2006. Since its launch, the TV series has been a top-grossing global franchise for Cartoon Network, with more than $4.5 billion in global retail sales to date. It is the network’s signature action franchise. • Throughout its lifetime, Ben 10 has aired in 178 countries and 30 languages, reaching 312 million homes worldwide. • The popularity of the show launched three additional animated series, two animated movies, and two live-action movies.
Summer 2017
1. The Basic Action Figure Assortment, from PLAYMATES TOYS, includes Ben Tennyson, the 10 different heroic aliens that he transforms into, as well as additional adversary characters from the show. Each figure is highly detailed and comes equipped with themed accessories. 2. “Power Up” Figures are interactive figures that allow kids to give their alien a surging burst of energy. Each character includes unique light-up effects and signature alien phrases from the animated series. 3. Kids can create their own adventures with the Rustbucket Vehicle and Playset, a two-in-one vehicle that transforms into a three-level play set standing more than 2 feet tall. It includes an alien transformation chamber, a plasma blaster, an “alien-vator,” a grabbing claw, and an alien lab. The play set is compatible with the basic action figure assortment. 4. The Deluxe Omnitrix has more than 100 alien phrases and motion-activated sound effects so that wearers can pretend to transform into any of Ben’s 10 aliens. 5. The Transform N’ Battle Roleplay Bundle allows kids to become their favorite Ben 10 alien. Each pack includes a telescoping Alien Gauntlet and a mask.
Summer 2017
6. PENGUIN is the master partner for publishing and will launch an assortment of titles in the fall. Ben 10 Mad Libs will include the Mad Libs game along with 21 original stories featuring Ben and Gwen, plus all the aliens and villains. Kids can discover the truth behind the aliens in Ben’s Ultra Secret Files, an intergalactic Ben 10 character guide. Ben and Gwen share the secrets of the Omnitrix and introduce a new batch of alien alter egos, montrous villains, and extraterrestrial oddballs. Power of the Omnitrix Activity Book has 10 aliens, one Ben Tennyson, and 32-pages of world-saving missions. Kids can summon the powers of the mysterious Omnitrix to complete the mazes, puzzles, and challenges in the outer space activity book. In Road Trip Fun Time, kids can buckle up for a ride on the Rust Bucket with Ben, Gwen, Grandpa Max, and Ben’s 10 alien alter egos. It includes road trip games, meeting extraterrestrial creatures, and discovering hidden facts on a cross-country journey.
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CARTOON NETWORK
Cartoon Network’s Ben 10 remains the network’s top property with a lifetime revenue of more than $4.5 billion globally. In 2015, Playmates Toys was appointed global master toy partner, with a new toy line available this fall. Additional partners include Rubie’s Costume Co. for dress-up and costumes; Toy Factory for amusement plush; and Penguin for four new titles, which will launch in October. Ben 10 introduces 10-year-old Ben Tennyson, his cousin Gwen, and Grandpa Max as they travel the country during summer vacation. Once Ben finds the Omnitrix, a mysterious watch that transforms him into 10 different heroic aliens, a world of extraterrestrial superpowers opens up to him. The new series of The Powerpuff Girls premiered globally last year. The brand remains a top-grossing Cartoon Network brand, with more than $2.5 billion in retail sales generated since its debut. The consumer products offering for the new series launched last year, with global master toy partner Spin Master releasing its initial launch last fall. The brand has more than 35 licensing partners in North America, including McDonald’s for a Happy Meal promotion that ran last summer, and the Moschino x Powerpuff Girls collection, which debuted at the Milan Fashion Show in 2015 and had an in-store launch last February. Fydor Golan will launch a girls’ apparel and accessories collection this spring. In the animated comedy series, The Powerpuff Girls protect their bustling metropolis from evildoers, intent on taking over. Armed with superpowers and teamwork, The Powerpuff Girls show the world that it is possible to save the world before bedtime. Cartoon Network Studios’ original series Steven Universe was recently greenlit for a fifth season. The brand currently has 30 licensing partners across North America. This year it will expand into young men, teen/tween girls at mid-tier and specialty, as well as mass products for kids. The Cartoon Network series follows Steven, the “little brother” to a team of magical guardians of humanity—the Crystal Gems. Steven may not be as powerful or as savvy as the Crystal Gems, but that doesn’t stop him from joining Garnet, Amethyst, and Pearl on their magical adventures and finding ways to save the day. Adventure Time appears on all Cartoon Network feeds around the world, across 27 feeds in 26 languages, covering 192 countries and 370 million homes. The brand has more than 100 licensees globally, with product in all categories and all channels of distribution. Existing partners include Minecraft, LEGO Dimensions, DC Shoes, Dr. Martens, H&M, Kidrobot, and Daylight Curfew. Adventure Time introduces viewers to unlikely heroes Finn and Jake, buddies who traverse the mystical Land of Ooo and encounter its colorful inhabitants. The best of friends, the heroes always find themselves in the middle of heart-pounding escapades. Finn, a silly kid with an awesome hat, and Jake, a brassy dog with a kind heart, depend on each other through thick and thin. Adventure Time, currently in production on its final season, is created by Pendleton Ward and is produced at Cartoon Network Studios. The third season of Rick and Morty is currently in production. Funko was recently named master toy partner, securing the consumer products program and pushing the property into mass retail. Categories include comics, apparel, accessories, home décor, toys, games and puzzles, and electronics. Additional partners include Daylight Curfew for limited-edition apparel and accessories and ONI Press Comics Volume 1. Cartoon Network looks to expand with secondary category opportunities and partner collaborations. Rick and Morty is an animated comedy series that airs on Adult Swim. The series follows a sociopathic genius scientist who drags his inherently timid grandson on insanely dangerous adventures across the universe. The season two premiere ranked No. 1 in its time period among all key adults and men, and charted triple-digit delivery gains over its prior season premiere.
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Ben 10 Rustbucket Vehicle and Playset
Summer 2017
L.O.L. Surprise! Series 1
MGA ENTERTAINMENT
MGA Entertainment (MGAE) returns to Licensing Expo with a focus on three properties, including the collectibles franchise Num Noms, the introduction of its latest collectible toy, L.O.L. Surprise!; and the category expansion of Little Tikes. Since launching Series 1 in the U.S. in December 2015, Num Noms—which targets girls ages 5 to 9—has been a hit across all retail channels, including mass, specialty, and mid-tier. With the debut of Num Noms Series 2 in June 2016 and Series 3 in December 2016, Num Noms is now in full distribution in the U.S. and Canada with product available across mass retailers, including Toys ”R” Us, Walmart, Target, and Amazon, as well as mid-tier and specialty retailers. The Num Noms toy line features more than 400 characters to date, offering thousands of combinations, and MGA Entertainment is in development on Series 4 and 5, bringing many more characters and combinations to market this summer. Num Noms also has a strong digital presence, with more than 165 million views on YouTube. Internationally, Num Noms launched in early 2016 in the U.K., France, Benelux, the Middle East, and Australia, with Series 1 selling out across all SKUs. Series 2 premiered in July 2016 with expanded distribution into New Zealand, Korea, Philippines, Indonesia, Singapore, Taiwan, Thailand, Argentina, and Central America. Key retailers overseas include Toys ”R” Us, Smyths, The Entertainer, Auchan, La Grande Recre, King Jouet, and Bart Smit. Series 3 and Num Noms Lights launched last Christmas in the UK, France, and Benelux, and for the first time in Iberia (Toys ”R” Us), Italy (Toy Centre & Kiosks), Germany (Toys ”R” Us), Russia (Detski Mir), and South Africa (Toys ”R” Us). As a result of the rapid success of the Num Noms toy line, MGAE created a global licensing program partnering with more than 80 manufacturers worldwide across all major categories of softlines, hardlines, publishing, apparel and accessories, toys, crafts, activity and party goods, electronics, home décor and furnishings, backto-school, stationery, sporting
goods, confections, and seasonal. The first Num Noms licensed products—apparel, sleepwear, and some accessories—hit retail in the U.S. in the fourth quarter of 2016 with key categories launching this spring and the full program available this fall. Internationally, the toy is currently growing in European markets, including the UK, Spain, France, Benelux, and Italy. MGAE’s key focus for Num Noms at Licensing Expo will be meeting with potential partners in the ancillary categories, and further expanding the brand in key international territories throughout Asia Pacific including Australia, New Zealand, Korea, the Philippines, and throughout Latin America including Mexico, Brazil, Argentina, Chile, Peru, and Colombia. MGAE will unwrap the new global licensing program for L.O.L. Surprise!, which launched in early December 2016 and sold out within a week, leaving parents to turn to eBay to purchase the dolls in time for the holidays. L.O.L. Surprise! is currently at major retailers, including Toys “R” Us, Walmart, Target, Amazon, and Michaels. For kids ages 6 to 9, the dolls offer an element of surprise—seven layers of unwrapping with a prize in each layer, and with the fashionable doll as the final surprise. MGAE is creating a range of licensed products emanating from the L.O.L. Surprise! toy line, which is slated to hit retail next year. MGAE will extend its substantial support of the toy line to the launch of the licensing program, implementing a comprehensive traditional and digital marketing strategy, including advertising, public relations and influencer campaigns, national promotional partnerships, and retail promotions. MGAE continues to expand Little Tikes product offerings globally, targeting moms of kids ages 0 to 6. It is the top brand and market leader in outdoor and ride-on toys and is consistently ranked among the top three brands by The NPD Group in the U.S. and the UK. MGAE secured more than 35 licensees for Little Tikes worldwide across a broad range of categories, including toys, crafts and activity, sporting goods and outdoor, home goods, infant accessories, publishing, and more. At Licensing Expo, MGAE will launch Little Tikes Kids, a lifestyle brand utilizing the key attributes of comfort, durability, and imaginative play to non-toy categories for fall 2018.
Num Noms Lipgloss Truck
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Summer 2017
SPOTLIGHT ON
The Licensing Book spoke with Jamie Stevens, executive vice president, worldwide consumer products at Sony Pictures Entertainment, about what’s next for Sony’s Hotel Transylvania franchise. Hotel Transylvania 3 hits theaters July 13, 2018. How will the launch of the third film in the franchise be different than the first two? The Hotel Transylvania universe expands with every film with new characters, locations, storylines, and—of course—the evolving character arcs of the main monster characters we know and love. With our renewed focus on consumer products, it allows us to draw from a bigger and broader narrative. With strong opportunity for growth, we have developed plans to keep the momentum going across various content platforms, including TV, digital, and virtual reality. That content strategy aligns perfectly with our consumer products strategy; i.e., to make Hotel Transylvania a 365-day-a-year business, which is now feasible given the upcoming launch of Hotel Transylvania The Series. The TV series premieres this summer on Disney Channel domestically and rolls out worldwide starting this fall. Who is the core audience for the film and consumer products line? Hotel Transylvania is an endearing franchise with witty humor and fun characters that appeal to the whole family. The quirky and loveable characters from the Hotel Transylvania franchise appeal to kids of all ages, and the property is gender-neutral, which makes it ideal for licensing opportunities. Hotel Transylvania was originally launched as a Halloween-based franchise. How are you transforming the franchise to a year-round consumer experience? It used to be that monsters were tied to Halloween, but now they’re very much a part of pop culture and relevant year-round. We have big plans to continue the monster momentum and grow the franchise
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throughout the year. For the upcoming film we have decided to release it in summer outside of its traditional release date, which has been in the fall. Additionally, we have a content strategy that builds on the franchise outside of the traditional Halloween window. For example, we will release a Hotel Transylvania short film called Puppy, which is set to debut in theaters worldwide this summer with The Emoji Movie. In this short, the residents of Hotel Transylvania find their world turned upside-down when youngster Dennis gets a surprise monster-sized pet. This is from the same award-winning director, Genndy Tartakovsky, and producer Michelle Murdocca. Lastly and most importantly, we are launching an animated TV series for Hotel Transylvania in summer 2017 on Disney Channel worldwide. Tell us about the new TV series. Will it be a similar storyline and style as the films? The new animated TV series will be focused on the teenage years of Mavis and her friends at Hotel Transylvania. We will meet many new characters that will be original to the TV series and we will have cross-over characters as the TV series and film grow together over the course of our long-term plan. The animated small screen series is 2-D animation. That stylized look, the younger characters, and the adventures that frame the narrative of the TV series will differentiate it from the feature films. How much growth has Hotel Transylvania seen over the course of the first two films rollouts? Hotel Transylvania has been a massive success for Sony Pictures Animation since it launched in 2012. Hotel Transylvania broke the record for the biggest September opening at the box office of all time, only to be beat by Hotel Transylvania 2 three years later. The film has generated more than $1 billion in box office and home-entertainment revenue. We have tremendous growth opportunity and look forward to continuing to grow the franchise internationally. ••••
Summer 2017
Hotel Transylvania 3
Release date: July 13, 2018 Synopsis: In Sony Pictures Animation’s Hotel Transylvania 3, Mavis surprises Dracula with a family voyage on a luxury Monster Cruise Ship so that he can take a vacation from providing everyone else’s vacation at the hotel. The rest of Drac’s Pack cannot resist going along and once they leave port, romance zings Drac when he meets the mysterious ship captain, Ericka. Now it’s Mavis’ turn to play the overprotective parent, keeping her dad and Ericka apart. Little do they know that his “too good to be true” love interest is actually a descendent of Van Helsing, arch nemesis to Dracula and all the monsters.
Hotel Transylvania The Series
Release date: Summer 2017 Synopsis: Sony will launch an animated TV series for Hotel Transylvania this summer on Disney Channel worldwide. The new animated TV series will focus on the teenage years of Mavis and her friends at Hotel Transylvania.
ALSO COMING SOON FROM SONY PICTURES Jumanji: Welcome to the Jungle
Release date: Dec. 20, 2017 Synopsis: In the new adventure Jumanji: Welcome to the Jungle, the tables are turned as four teenagers are sucked into the world of Jumanji. When the teens discover an old video game console with a game they’ve never heard of—Jumanji—they are immediately drawn into the game’s jungle setting, becoming the avatars they chose: gamer Spencer becomes a brawny adventurer (Dwayne Johnson); football jock Fridge loses, in his words, “the top two feet of his body” and becomes an Einstein (Kevin Hart); popular girl Bethany becomes a middle-aged male professor (Jack Black); and wallflower Martha becomes a warrior (Karen Gillan). They discover that you don’t just play Jumanji—you must survive it or be stuck in the game forever. Currently seeking licensees & promotional partners
Summer 2017
Peter Rabbit
Release date: March 23, 2018 Synopsis: Peter Rabbit, the new live-action/CG-animated motion picture is based on the internationally beloved series of books written and illustrated by Beatrix Potter. Peter Rabbit will be directed by Will Gluck with a cast including James Corden (Peter), Rose Byrne, Daisy Ridley, Elizabeth Debicki, Margot Robbie, and Domhnall Gleeson. Currently seeking licensees & promotional partners
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TOY STATE
Toy State partnered with the Drone Racing League (DRL) as an official sponsor of the high-speed competitive sport. Drone racing will be center stage in June when the second season of of DRL’s Allianz World Championships airs on ESPN and other networks worldwide. Drone racing, where skilled pilots push the limits of physics by flying high-performance drones built for speed, agility, and competition through exhilarating courses at breathtaking speeds of up to 100 mph, is one of the world’s hottest new pro sports. In addition to being an official DRL sponsor, Toy State teamed up with the league to deliver a line of Nikko Air DRL racing drones—delivering the same technology that powers the racing drones used by professional DRL pilots. Featuring innovation for every skill level, Toy State’s new racing drone models deliver the ultimate drone-racing experience, leveraging elite drone racing technology developed by drone racers and designed for future pilots. Toy State is launching two Nikko Air drones this fall. The Nikko Air Race Vision is a first person view (FPV) model that puts the latest technology used by professional drone racers in the hands of future pilots. Operating on the same 5.8 GHz analog frequency as the professional DRL drones for real-time flying without lag time, this racing drone enables pilots to see real-time video transmissions of their flight path without delay or interruption. They can also use a DRL Racing Simulator, a digital gaming platform that provides new pilots with the ability to learn how to fly a racing drone, compete in actual DRL courses, and master their skills before taking flight in real life. Made of a highly durable composite frame, the drone features a full-color LCD screen and FPV goggles that provide an immersive flight experience from the cockpit of the drone, as well as a 130-degree adjustable wide-angle camera, three variable flight modes, multiple speed settings, and 16 one-touch stunts that will take pilots from beginner to pro. New pilots can master their drone racing skills with the Nikko Air Elite 115 Race Set. This drone has features that make it easy for
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rookies to get started, including variable flight modes, multiple speed settings, auto fly technology, 16 one-touch stunts, and the DRL Racing Simulator. Once they’ve learned the basics, pilots can create custom race tracks and compete with friends with the modular gate system. In addition, Toy State expands its lineup of Cat construction machines that let kids of all ages experience “The Feel of Real” in their own home. The extensive range of earth-movers includes a variety of sizes, styles, and features. The new offerings include the Cat Construction RC—Dump Truck, part of a line of full-function remote control Cat machines. This dump truck is designed to bring the construction site home to the backyard, where kids can scoop up and load gravel, sand, or loose dirt with the machine’s motorized dump bed and shovel. The Cat Apprentice Machine Maker is a construction set that comes fully equipped with all the pieces a kid needs to build their own Cat machine. Kids can collect them all to mix and match pieces and create their own fantasy vehicles. Toy State’s Smart Lock Technology makes it easier for kids to assemble, play, and take apart their creations to build again. The set includes a realistic screwdriver and a reusable tool box carrying case for easy storage. Toy State’s garage also features many vehicles with lights and sounds, such as the Hot Wheels Extreme Action-Vampyra. This motorized vehicle features themed music, a deep purple color with green accents that frame Vampyra’s “teeth,” and flapping wings. Also among Toy State’s brands is Road Rippers, which is celebrating its 20th anniversary this year. Road Rippers delivers a full fleet of custom-designed vehicles sporting licenses such as Dodge Viper, Ford Mustang, Chevrolet Camaro, Nissan 370Z, VW Beetle, and more. Many of the vehicles are equipped with attention-grabbing play features such as monstrous tires, cool sounds, push power, motorized drives, and even pop up creatures and glowing hood animation. Toy State’s car collection also includes an extensive assortment of superhero-themed Marvel character vehicles featuring lights and sounds. New for this year is the Marvel Rumble to the Rescue, which allows kids to tear up the trails with their favorite Marvel hero. These new vehicles deliver a motorized drive with rumbling action as well as realistic ignition and horn sounds. The standout range includes Spider-Man, Captain America, and Rocket Raccoon, all hitting the road this fall.
Summer 2017
PROPERTY PROFILE
Joan Grasso, vice president of licensing, North America at eOne Family, talks with The Licensing Book about the hit series Peppa Pig. Peppa Pig now has more than 70 licensees in North America. To what do you attribute this success? First, we created great content, and we continue to invest in new episodes to keep our audience engaged. We have a strong marketing program that enhances exposure outside of the TV show to connect with our fans and their families in meaningful ways. We have a presence on digital platforms, social media, and even grassroots experiential events, which allow us to connect with kids and their parents on a local level. We have been careful to build the program organically. We have not been overtly commercial in any of our brand efforts and have taken great care to manage the product rollout so we are meeting consumer demand, but not over-proliferating the market with too much product. As Peppa expands into new licensed categories this year, what are the strongest growth areas for the property? We added 20 new licensees in 2016 in categories such as sporting and wheeled goods. This additional merchandise should provide incremental growth for us outside of the core categories. We also expanded our retail distribution both with existing partners
that have added new categories to their assortments, as well as through expanded shelf space within existing aisles. We also added new retailer outlets last year, including the value channel, warehouse clubs, regional mid-tier stores, and more. This year, we are looking to build our consumer packaged goods and food categories, while also looking for new retail opportunities. Peppa has two live stage shows in North America this year. Why are entertainment-based, live events important to the property? The stage shows allow us to extend the entertainment value of the Peppa Pig brand beyond the TV and digital spaces and engage in a very personal way with our audience. Our Peppa Pig Live! stage show has been incredibly successful. Our fans are obsessed with Peppa and they want to connect with her and the entire cast as often as possible. We will launch an all-new production this fall, and we are excited to continue to offer our audience new ways to engage in our brand. Will there be new Peppa Pig episodes this year? Yes! We are in the process of delivering a full new season of 52 episodes, which will continue to premiere on Nick Jr. through 2018. These episodes will introduce new experiences, friends, and environments to the Peppa Pig world and will allow us to also add fresh ideas to our marketing and digital platforms, as well as provide inspiration for new product lines and categories. Is Peppa following the same growth trajectory in North America as we’ve seen overseas? The trajectory for Peppa Pig in the U.S. is similar to what we have seen in the UK. The difference, of course, is that the U.S. market is much larger and our program has not been in the country for as many years as it has been in the UK. We’ve only just begun to build this brand in the U.S. and Canada. By year-end, we should have one of the largest Peppa Pig consumer products programs in the world—if not the largest! ••••
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Summer 2017
CANDLEWICK ENTERTAINMENT will introduce a collection of new titles, including Peppa Pig’s PopUp Princess Castle. Peppa fans will be royally pleased to discover this pop-up play set with press-out characters, presided over by Princess Peppa. There’s also a mini storybook that’s all about Peppa’s day at the castle. It will be available in the U.S. and Canada starting in September.
The party begins here with two new cake decorating sets for in-store bakery departments from DECOPAC. Peppa fans can now enjoy the Peppa Pig—Swing Set DecoSet & Cupcake Rings, featuring Peppa and George. The set includes George swinging on a swing and cupcake rings showcasing both characters. Debuting in August is the Peppa Pig—I’m Just So Happy PhotoCake Frame, a “picture-perfect” edible cake decoration created from a consumer’s own photo. Both decorating sets are for the U.S. market.
Peppa fans are in for a sweet treat with this new range of candy and snack products from PRIMARY COLORS, which includes lollipop rings, cotton candy, novelty pops, and marshmallow candies. The array of tasty treats also features a variety of cookies, such as a 7 oz. resealable bag of sugar cookies showcasing Princess Peppa and Sir George on the package. These products are available in the U.S.
It’s party time—Peppa Pig style! AMERICAN GREETINGS has assembled a wide array of social expression products, including party goods, that let Peppa fans celebrate with their favorite character. The lineup features Peppa Pig-themed plates, cups, napkins, table covers, cone hats, and accessories, including gift wrap and gift bags to hold special party goodies, all available at mass channels in the U.S. and Canada beginning this fall.
Summer 2017
Bath time is more fun with a new range of health and beauty care products featuring Peppa Pig. Now available in the U.S., from GBG BEAUTY, is the Peppa Pig 3-in-1 Body Wash, Shampoo, and Conditioner with a bubble gum scent in a 14-ounce Peppa-shaped container. Coming this holiday season are a Wash Mitt and Bath Buddy Set with scented body wash and a Peppa-shaped wash mitt, and a Super Smile Set with a Peppa-themed toothbrush holder, a toothbrush, and a rinse cup.
RUBIE’S COSTUME CO.
From right to left: Wonder Woman, Minion Dave, Rocket Raccoon, and Spider-Man Homecoming costumes
Rubie’s Costume Co. Inc. is the world’s largest designer, manufacturer, and distributor of Halloween costumes and accessories. A family-owned and operated business celebrating 66 years in the industry, Rubie’s offers a vast selection of products that extends well beyond Halloween. With costumes and accessories from the hottest licensed properties, Rubie’s offers something for everyone in the family, including pets. With its finger on the pulse of pop culture, Rubie’s 2017 license portfolio includes collections from popular movies such as Wonder Woman; Spider-Man Homecoming; Star Wars: Rogue One; Guardians of the Galaxy Vol. 2; Thor Ragnarok; Kong: Skull Island; Despicable Me 3; Smurfs: The Lost Village; and IT; as well as top toy lines such as Hatchimals and Monster High. Looking forward to 2018, Rubie’s will introduce new collections for DC Justice League, Aquaman, Marvel’s Black Panther, Deadpool 2, Avengers: Infinity War, Star Wars: The Last Jedi, and Han Solo: A Star Wars Story along with multiple other new movies and TV shows, including Stranger Things from Netflix. Imagine by Rubie’s, the year-round dress up division of Rubie’s, has several new offerings this year. The Batman Muscle Chest Shirt Box Set includes a muscle chest shirt with Velcro closure and a black cape and mask. The Rocket Raccoon Dress Up Set includes a costume top, stuffed Groot that is attached to Rocket’s shoulder with Velcro, and a plastic half-mask. The Minion Costume Box Set includes a yellow- and blue-printed jumpsuit, a headpiece, and molded goggles. The Groot Dress Up Set includes a printed jumpsuit and an EVA foam mask. The Robin Muscle Chest Shirt Box Set includes a costume top with an EVA eye mask.
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Summer 2017
THE JIM HENSON CO.
The Jim Henson Co. presents several properties at Licensing Expo under the guidance of Federico San Martin, vice president of global consumer products. The second season of Word Party, the vocabulary building show for young preschoolers, debuted on Netflix last October in the U.S. and territories around the world where Netflix is available. The series follows four baby animals as they sing, dance, and play, and invites young viewers to help teach the baby animals new words, practice these new words themselves, and celebrate these achievements with a “Word Party!” Snaptoys Inc. is the global master toy partner (excluding China) for the brand, with a range of product categories including plush, which is available now; and figures, play sets, and electronics to debut in 2018. Henson is seeking new partners in publishing, sleepwear, promotions, health, arts and crafts, party, home décor, and seasonal play for Word Party. Created by Jim Henson, Fraggle Rock—starring a cast of puppet creatures called Fraggles, quirky cave-dwellers who live in an underground world alongside their industrious green neighbors, the Doozers, and a family of enormous Gorgs—is newly remastered in HD with a contemporary look. The HD version premiered in December on HBO, the original home of the series when it first premiered in 1983. New products debuted at retail in March, including toy and novelty items from Super Impulse, such as vinyl figurines, and 4-, 7-, and 10-inch plush. Products to debut this fall include prize redemption toys from Toy Factory and collectibles from Funko Pop! that include the five main Fraggle characters each packaged with a Mini Pop! Doozer figure. Henson is seeking new partners in apparel, promotions, stationery, and home for Fraggle Rock. All new episodes of the fourth season of Dinosaur Train, the fivetime Emmy-nominated and Parents’ Choice Silver Honor animated series, debuted on PBS Kids in December 2015 and in multiple countries around the world. “New products available from our global master toy partner Jazwares offer a fresh array of products for children, from figures to playsets to plush, to engage in their own adventure or simply collect their favorite characters,” says San Martin. The Magic House Museum recently partnered with The Jim Henson Co. to bring the series to life with a new exhibit that begins in spring 2018 to encourage basic scientific learning, and a new DVD release, Dinosaur Train: Dinosaurs Take Flight!, debuts this June. Henson is seeking new partners in apparel, sleepwear, promotions, health, and back-to-school for Dinosaur Train.
Summer 2017
Licensing programs for the company’s newest series, Dot. and Splash and Bubbles, are anticipated to launch in 2018. Dot. targets the bridge market of 4 to 7 year olds, and follows the inquisitive and exuberant tech-savvy Dot as she embarks on hilarious adventures to satisfy her imagination, curiosity, and latest passion. The series is based on tech expert and author Randi Zuckerberg’s debut picture book of the same name and premiered in fall 2016 on Canada’s CBC and Sprout, NBC Universal Cable Entertainment’s 24-hour preschool network in the U.S., where it has been a top performing franchise since its debut. All past episodes of the series began streaming exclusively on Hulu beginning April 15. Most recently, the series has been licensed in Europe to Piwi+ in France, part of the Canal+ family, Dreamia’s Canal Panda in Portugal, and Sweden’s national public broadcaster SVT. Jim Jam has acquired the series for the MENA and Benelux territories; and Israel Education Television will air the series in Israel. Henson is seeking partners in toys, back-to-school, stickers, stationery, home décor, promotions, and apparel for Dot. Splash and Bubbles is a new animated series that debuted last fall on PBS Kids in the U.S. and other platforms worldwide. A Parent’s Choice Gold Award-winner, the 40-episode series dives into the diversity and wonder of our natural undersea world, introducing kids ages 4 to 7 to strange new marine species and ocean phenomena. Co-production partner Herschend Enterprises will support the series with broad-reaching location-based entertainment, including a new 4-D film with SimEx-Iwerks Entertainment, live-shows, and experiential attractions at theme parks, aquariums, and other venues. An app for kids will debut this summer and two new HTML5 games are currently available on the PBS Kids website and the PBS Kids Games app. “Finball Friends” and “Sand Art Spectacular” have ranked in the top five on the PBS Games app. Jim Henson’s Creature Shop has also created walkaround characters of Splash and Bubbles that began appearing at PBS station events this spring. Henson is seeking partners in toys, tees, accessories, promotions, health, arts and crafts, and outdoor play. Labyrinth, produced by The Jim Henson Co. and Lucasfilm Ltd. and starring David Bowie and Jennifer Connelly, celebrated its 30th anniversary last year. Recent new product launches include stylized figures from Funko; Jim Henson’s Labyrinth: The Board Game from River Horse; and the Labyrinth: The Ultimate Visual History hardcover book from Insight Editions, which provides a definitive exploration of the classic. With a roster of licensees across key categories in place, Henson is looking for partners to further expand its product offering.
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UYOUNG ENTERTAINMENT
Chinese entertainment company UYoung Entertainment International Inc. will exhibit at the Licensing Expo following the success of its new animated property P. King Duckling. Headquartered in Beijing, UYoung’s parent company, UYoung Culture & Media Co. Ltd., is a Chinese kids’ and family entertainment company. Targeting kids ages 0 to 10, UYoung produces, distributes, and licenses animated kids’ content across all platforms, including TV, film, and online. UYoung also creates original preschool consumer product lines and runs strategic media operations across many Chinese kids’ channels. The company’s long-term strategy is to combine quality production resources from around the world with the talents of UYoung’s own creative teams in China in order to create, develop, produce, and distribute brands that appeal to both Chinese and international markets. P. King Duckling was the first property to originate from this strategy and the first animated TV series from China to be licensed for broadcast by Disney Junior. The preschool series targets kids ages 2 to 7 and premiered on Disney Junior in the U.S. in November. According to Eurodata TV research from November 2016 to January 2017, P. King Duckling was the second-highest-rated Disney Junior series with 2-to-5-year-old audiences, and the fourth highest-ranking animated series across all preschool children’s channels among kids ages 2 to 5 in the U.S. To date, P. King Duckling has reached more than 18 million total viewers across the U.S., including more than 6 million kids ages 2 to 8 and more than 7 million adults ages 18 to 49.
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The property has been picked up by broadcasters worldwide, including Disney Junior for Latin America, India, Korea, South East Asia, SVT Sweden, and YLE Finland. P. King Duckling follows the feathery adventures of an extremely intrepid—but slightly hapless—young duck and his two best friends, Chumpkins and Wombat. Together the friends embark on a series of hilarious adventures. Whether they are in their hometown of Hilly Hole or flying to the moon, the trio always finds ways to overcome the challenges they face. The series is executive produced by James Chen Gu and Josh Selig (Wonder Pets). P. King Duckling was created by preschool TV producer Josh Selig of Little Airplane Productions, in collaboration with James Chen Gu, general manager of UYoung Animation. The series was directed by UYoung’s creative director, Eddy Bo Fan, and executive produced by James Chen Gu and Josh Selig. UYoung owns the global TV and licensing rights for the series.
Summer 2017
A LOOK INSIDE
50 YEARS AND COUNTING Sesame Workshop Looks to Its Past to Reinvent the Future for Kids and Families by JACKIE BREYER, editorial director/co-publisher FOR MOST ADULTS, JUST THE MENTION OF Sesame Street invokes warm memories of childhood. We long for Mr. Hooper’s store, Super Grover, and our favorite grouch to tell us to “Scram!” We all have our favorite classic segments from the show, from the live-action scenes on the famed street itself, to animated classics such as the pinball number count to 12. Sesame Workshop is well aware of its fans’ fierce passion, and is playing up the nostalgia factor in its consumer products lineup as it gears up for the brand’s 50th anniversary in 2019. As far as classic properties go, Sesame Street has aged well. It’s a trusted and respected name for parents and grandparents, and a perfect modern classic for preschoolers. This dichotomy in fans has translated into numerous collaborations with partners new and old, and will result in a consumer products range that hits all demographics across categories, from apparel and toys to housewares and health and beauty aides. “There will be collections for parents looking back on their childhood, teens and tweens looking back at the first character that they loved, and there will be collections for the new
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moms who grew up with Sesame and have kids now,” says Gabriela Arenas, vice president, licensing, North America, Sesame Workshop. “There will be retro, and a lot of collaborations that really drive the characters in very different ways.” The item that perhaps best crosses all demographics is Hasbro’s re-launch of Tickle Me Elmo, which will be available this fall. The original Tickle Me Elmo was created for Sesame Workshop by Tyco Preschool in 1996, and sparked a craze that resulted in a complete sell out of more than 1 million units. The re-launch of Tickle Me Elmo has the potential for massive sales this holiday season as today’s parents and grandparents want to share the fun of the original giggling plush with their kids and grandkids. Hasbro is Sesame Street’s master toy partner for North America. Additional toy partners include Kiddieland for ride-ons and Identity Games for two signature games. Sesame Workshop recently finalized renewals with three of its longest partnerships: American Greetings, Hain Celestial, and Procter and Gamble; has inked collaboration deals with Build-A-Bear Workshop, Globe International, Land of Nod, and Lauren Moshi; and renewed a three-year global deal with H&M. The Sesame x Puma global collaboration, including apparel, accessories, and footwear for kids and adults, was a huge success and was supported by in-store POS, marketing, and social media campaigns. Fans will also see products from new toy licensees: Headstart in Australia and New Zealand, Sambro across European territories, Sungup in Korea, and Nici Toys in Germany, Austria, and Switzerland. Sesame Workshop is in discussions with its current partners about special items specifically designed for the 50th anniversary. “Maybe it’s going to be golden, maybe it’s going to be limited-edition, maybe we’re going to do something very retro,” says Arenas. “We’re looking at partners that we currently work with that target to teens, tweens, and adults.” In addition to current partners, Arenas says the company will look at new partners with whom they’d like to do a special limited-edition collaboration. This is still in the planning stages, but Sesame is considering a variety of angles, from other companies that were created in the U.S. and have an “Americana” feel—such as Gap Inc., which also happens to be celebrating 50 years in 2019—to retailers that can offer something
Summer 2017
Cookie Monster & Elmo Leadcat Sandals, from Puma
unique for the anniversary. Sesame Workshop is also looking at very high-end collaborations that stretch the limits of what Sesame Street is and whom they reach, with manufacturers like Coach and Moschino. The big 50th celebration will take place on a global scale, and will cover both consumer products and content media, as well as social impact. It will run for a full calendar year (2019), with a key date of November 10, which is the show’s actual anniversary date.
50 Years and Counting
Sesame Workshop isn’t just celebrating its past, but it’s a past worth celebrating. “We were the initial disruptors into what could be an engaging way that kids can learn—which at the time was through television—but we’re also looking at the future,” says Arenas. “We want to make sure we are as relevant as we are now in the next 50 years. For that, we have to look at what is coming next, what is really relevant for kids and parents today. The mission is not changing: Helping kids grow smarter, stronger, and kinder. So we’re looking back and celebrating, but we’re bringing it forward.” Sesame Workshop engages with kids and families primarily through its original content. Even after 50 years, terrestrial TV is still No. 1 for Sesame, which has a long-term partnership with PBS in the U.S. Of course, streaming content is growing rapidly, and Sesame’s partnerships with both PBS and HBO deliver Sesame Street to viewers on that front. Elmo’s World, a spinoff series featuring the iconic Sesame Street character, launched in January and the initial read is very strong, according to Arenas. Elmo has traded his computer in for a smartphone, called Smarty, and kids love that Mr. Noodle is back, and that the Noodle family has expanded. Additionally, Sesame Street airs on Univision, which is the No. 1 Hispanic broadcaster in the U.S. For binge watchers, there’s the Sesame Street spinoff The Furchester Hotel, which is now available on Netflix. New episodes will continue to air on Sprout as well. YouTube is also a very strong channel for Sesame Street, as both viewership and time spent watching Sesame videos continue to grow on that platform. “You have to look at the new channels, the new platforms, but also remain with that platform that is giving you all the exposure,” says Arenas. “PBS is approximately 90-plus percent of our coverage. That’s pretty important. I look at it like a base with building blocks, adding little by little according to how your audience is consuming that media.” In addition to media, families in the U.S. have opportunities to engage with their favorite Muppets on a more interactive level. Feld Entertainment is launching new live Sesame Street shows in October. There are also Ses-
Summer 2017
ame Street theme parks, Beaches resorts, and a strong partnership with SeaWorld. Sesame Street continues to grow on a global scale. In Latin America, Sesame Street is now called Sésamo, and focuses on early childhood learning from breakfast to bedtime. Beyond the flagship TV shows, this year saw the terrestrial launch of Listos a Jugar—focused on healthy habits—and the digital Pequeñas Aventureras, starring Abby Cadabby, teaching girls empowerment and STEM. The region is supported with many new partners, including new licensing agents in Mexico, Brazil, and ROLA. In the digital world, more than 1 million Cookie Monster stickers were downloaded from the App Store and were featured in Apple’s TV campaign. The company also premiered e-books and video content on Hoopla. Beyond Sesame Street, Sesame Workshop is building its development slate with a new series called Esme and Roy. The series will air on HBO in 2018, and is a co-venture with Canadian media company Corus Entertainment. The 52 11-minute animated episodes follow a young girl, Esme, and her monster best friend, Roy, on their hilarious babysitting adventures.
K Is for Kindness
One of Sesame Workshop’s key initiatives this year is its Share the Laughter campaign, which kicks off this summer on National Joke Day, Aug. 16. “Sharing the Laughter is universal language for when you’re happy and you’re with friends and ties very nicely with how the laughter is going to become real with product, especially Tickle Me Elmo,” says Arenas. Arenas says the goal is to get friends and families to share laughter and togetherness. “Jokes are a universal language for kids,” says Arenas. “It’s easy for them to understand.” Sharing the laughter and teaching kids to spread kindness are just two of the ways Sesame Street has had a positive impact on society. It takes a lot for a property to not only maintain relevance by adapting and thriving over half a century, but to hold a special place in the hearts of multiple generations of consumers. It’s through this willingness to grow and evolve while maintaining it’s unique essence that will drive Sesame Street to success for the next 50 years. ••••
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GREG & CO.
Greg Giordano enters his 14th year since establishing his licensing business, Greg & Co. Giordano’s new art collection includes vintage automotive, nostalgic, and farm themes, adaptations of garden birds, wildlife, and holiday images. Giordano now has more than 45 licensees worldwide. As an artist who has been working within the licensing industry for the past 25 years, licensors can expect a hands-on partnership with Giordano. His new collection of co-branded automotive art includes adaptations of vintage 1960s cars, including a Chevrolet Camaro, a Dodge Challenger, and a Volkswagon Micro Bus. Additional images are also in the works, as well as a new line of fabrics.
SPIN MASTER
Preschool series Paw Patrol targets kids ages 2 to 5, and currently airs in more than 160 countries and territories. The series follows Chase, Marshall, Rubble, Zuma, Rocky, and Skye as they work together to keep Adventure Bay safe. No job is too big, and no pup is too small. Last year, toy sales for the brand were $230 million in the U.S., finishing its second year as the No. 1 selling preschool toy property in the U.S. Last year, Paw Patrol was nominated in two categories at the Canadian Screen Awards, and series director Jamie Whitney took home the Canadian Screen Award for Best Direction in an Animated Program or Series. This year, Paw Patrol was named License of the Year at the UK Toy Industry Fair and it was nominated for 2017 TOTY License of the Year, as well as Infant/Preschool Toy of the Year for Zoomer Marshall. Hatchimals are magical, interactive creatures that are full of surprises. Through the curiosity, care, and nurturing touch of kids, Hatchimals are brought to life. After it hatches, the kids raise their Hatchimal from baby to toddler and then to full-grown Hatchimal, when it learns how to walk, talk, play games, and more. Hailing from Glittering Garden, Hatchimals Glitter are nestled inside speckled eggs that shimmer. Designed for kids ages 5 and up, Hatichimals Glitter feature twinkling wings and soft, sparkling fur. Sparkly Pengualas and Shimmering Draggles will be available this summer. Spin Master also expands Hatchimals to the collectibles category with Hatchimals Colleggtibles, which come inside small, speckled eggs and need a child’s touch to hatch. Designed for kids ages 5 and up, kids rub the heart until it changes from purple to pink, signaling that it’s ready to hatch. Once kids gently crack the egg, they will discover a new series of Hatchimals, which feature glittery wings. Season one includes more than 70 Hatchimals Colleggtibles for kids to collect. A collectors’ map introduces kids to the creatures’ home with landmarks including Giggle Grove, Lilac Lake, Fabula Forest, and more. Penguin Random House Children’s divisions in North America and the UK partnered with Spin Master to develop a new line of books based on Hatchimals. The publishing series will create the magical world of Hatchimals in formats including paperback fiction, handbooks, collectors’ guides, activity and sticker books, picture books, and 8-by-8-inch storybooks. The initial line will be available at retail this summer, with a fiction title and activity book that will launch in the U.K., followed by an activity book in North America. Additional activity books and a comprehensive collectors’ guide will release globally, as well as paperback storybooks in the U.S. and Canada this fall. Last year, Spin Master acquired the Etch A Sketch brand and launched new innovations, including a color screen and ergonomic design updates. The updated Etch A Sketch Freestyle lets kids freestyle draw and stamp in color. Etch A Sketch Junior Joystick makes it easier for little hands to get creative. Kids can draw lines, loops, and circles with ease. Hatchimals CollEGGtibles
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Summer 2017
PENGUIN YOUNG READERS
This summer, Looney Labs will team up with Penguin Young Readers to launch Adult Mad Libs: The Game through its adult imprint, Fully Baked Ideas. The adults-only version of the classic party game will be available on June 22. The Mad Libs app continues to fill in the blanks with more than 11 million downloads to date. The app partnered with brands such as Hello Kitty, Diary of a Wimpy Kid, and American Girl, and can now be found on Amazon Alexa, Google Home, and Kik. Additionally, there are more than 125 million Mad Libs books in print. Next year marks the 50th anniversary of Don Freeman’s Corduroy. Penguin Young Readers prepares for a year of Corduroy celebrations, including new publishing titles.
BRANDGENUITY
Brandgenuity will expand and manage the global licensing program for the BMW Group, including lifestyle, toys, die-cast, and collectibles. In Europe, Brandgenuity added the National Football League Players Association (NFLPA) to its roster last year and seeks licensees for accessories, hard lines, and experiential categories. This year, Anheuser-Busch beer brands will be added to the licensing portfolio in Canada, Europe, and Asia, and Brandgenuity currently seeks opportunities within food categories. The agency will also add offices in Munich and Hong Kong. Arm & Hammer continues its licensing program with automotive air care products at Walmart, 7-11, Advance Auto Parts, and more, as well as a co-brand with Curad for a line of gauze and nonstick pads. The partnership with Hefty waste bags is available at all national retailers and includes a marketing strategy with nationally advertised campaigns featuring John Cena. The brand also debuted a line of laundry care and storage products with Ginsey Home Products that are available at Bed Bath and Beyond, and will further expand this year. Playtex partnered with Ginsey Home Solutions for a complete line of infant and toddler bath products, including bath mats, step stools, potty seats, and more. Broad City x Fab.com Brandgenuity continues to grow licensing programs for MTV, VH1, Comedy Central, and Spike. Top properties include South Park, Broad City, Lip Sync Battle, Workaholics, Beavis and Butt-Head, Drunk History, Love and Hip Hop, and more.
Summer 2017
Paw Patrol Jumbo Mega Mat
TCG
TCG, formerly known as The Canadian Group, will grow its offerings to include a range of licensed puzzles, games, and play accessories. The company acquired the Hometown trademark, featuring the work of celebrated folk artist Harry Wysocki—also known as Heronim. The debut Hometown puzzle collection includes more than 20 vibrant 300-, 500- and 1,000-piece offerings. Each puzzle in the collection was produced with TCG’s proprietary Sure-Lox system, ensuring that each piece is precision-cut and clicks perfectly into place. In addition, the company’s introductory range of Tidy Town original storage solutions are designed to make playtime clean up easy and fun for kids ages 3 and up. TCG’s debut Tidy Town collection features a wide variety of in-demand properties for kids, such as Hot Wheels, Paw Patrol, Peppa Pig, PJ Masks, and Thomas & Friends. The Tidy Toy Original Chair is a compact, multi-purpose, portable toy chair for kids, while the Tidy Town Storage Box Playmat is a portable toy box that easily unfolds into a square playmat, featuring artwork from licensed brands. The Tidy Town 3D Pop Up Playmat features a 3-D play feature, such as a castle, that pops up from the mat to help encourage creative play. The Tidy Town Car is a car-shaped storage and play center. Featuring licenses such as Hot Wheels, this car provides a space for all of kids’ gear. Tidy Town Thomas & Friends Train Engine storage unit is shaped just like the character. The specially designed storage solution is a fit for any Thomas & Friends-themed room or a standout on its own. A larger Thomas & Friends Train Set unit is a huge three-car toy box perfect for train lovers. TCG’s Gelli Mat collection of non-toxic foam play mats that wipe clean and roll up for easy storage are designed for kids ages 6 months and up. One side of the mat highlights familiar licensed characters and the other offers a non-licensed design. Available licenses include Disney Princess, Disney Cars, Fisher-Price, Mickey Mouse, Paw Patrol, and PJ Masks. Other new featured licensed products include Animal Jam games and puzzles, and Blaze and the Monster Machines and Super Wings Mega Mats. In addition, the company is readying a host of Super Wings games and puzzles.
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Doctor Who
BBC
Inspired by Sir Arthur Conan Doyle’s classic novels, BBC and Hartswood Productions’ Sherlock stars Benedict Cumberbatch and Martin Freeman in their Emmy Award-winning roles of Sherlock Holmes and Dr. John Watson. Sherlock engages audiences worldwide, and has been sold to more than 240 territories globally and has won nine Emmys, 12 BAFTAs, and a Peabody Award, as well as accolades at the Edinburgh TV Festival and the Television Critics Association. Sherlock made its mark in pop culture in the U.S. as one of only three British TV shows that have appeared on the cover of Entertainment Weekly. BBC’s Doctor Who, the longest-running sci-fi TV series, first premiered in 1963 and has become a global phenomenon. It follows the adventures of the Doctor, an alien Time Lord from the planet Gallifrey, who travels through time and space in his TARDIS. Accompanied by companions, the Doctor combats a variety of foes while working to save civilization and help people in need. Instead of dying, the Doctor is able to “regenerate” into a new body, taking on a new personality with each regeneration. Twelve actors, including Peter Capaldi, have played the Doctor to date. Doctor Who season 10 sees Capaldi embark on his final chapter as the Twelfth Doctor, as well as the introduction of new companion Pearl Mackie as Bill Potts and the return of Matt Lucas as Nardole. Fantastic adventures and terrifying monsters await the team of heroes as they journey through space and time in this latest installment of the globally renowned drama. Fans can expect laughter, danger, and exhilarating escapades in the final season under the helm of lead writer and executive producer Steven Moffat. The bi-monthly Nerd Block subscription box, available in the U.S., Canada, and the UK, allows fans of Doctor Who to obtain officially licensed, exclusive, and custom-curated collectibles featuring their favorite Doctors, companions, and characters. Subscribers of the Doctor Who Official Block receive a range of items designed to fuel their love of the series, and add to their anticipation of upcoming episodes. Every other month, subscribers receive a curated box including exclusive and/or limited-edition collectibles, wearables, utility items, and a custom pop culture T-shirt. For 60 years, BBC Earth has been on a quest to capture the wonders of the universe and share them with audiences everywhere. From the epic to the everyday, BBC Earth brings viewers face-toface with action, ideas, and the wonder of being human. Commercially and internationally, BBC Worldwide, the commercial arm of the BBC, manages the brand. Since its launch, the brand has grown across multiple platforms—including BBC Earth-branded channels and channel blocks on TV, live events, visitor attractions, theatrical releases for cinema and giant screen films, and online on BBC.com
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and social media sites, all dedicated to bringing audiences premium factual content. The brand’s catalog includes natural history series such as Blue Planet, Planet Earth and Planet Earth II, The Hunt, Life, and Frozen Planet. BAFTA and International Emmy Award-winning Hey Duggee, a BBC Worldwide co-production with Studio AKA, which airs on Nick Jr. in the U.S. and Treehouse and BBC Kids in Canada, is an animated series that promotes fun and learning. The show features a children’s club called The Squirrel Club, with lovable dog Duggee as its leader, providing a safe and fun place for children to explore, learn, and earn activity badges. BBC Worldwide North America announced Jazwares as master toy licensee for Hey Duggee in the U.S. and Canada in a deal that includes plush, play sets, figures, and vehicles. Jazwares will translate the fun and humorous plots of this series into a new line of playful toys reflecting the adventures of the Hey Duggee brand. The product launch will consist of collectible figures of all of the main characters—Duggee, Happy, Norrie, Roly, Tag, and Betty—as well as vehicles, small plush, and a 12-inch feature plush Duggee with sounds. Also available at launch is the Squirrel Club play set. Kids can open the secret door, slide down the slide, or go up the elevator, and the set has room to store all of kids’ Hey Duggee badges. The play set features three floors and closes for convenience with a carrying handle. It includes Duggee and Enid the Cat figures. BBC’s Top Gear is the biggest motoring TV show in history with an estimated 350 million viewers in 212 territories worldwide. According to the 2011 Guinness Book of World Records, the show is the most-watched factual television program in the world. Whether it’s testing the most exotic cars to their limits, attempting ambitious road trips in vehicles entirely unfit for purpose, or destroying caravans in the name of humanitarian progress, Top Gear has always pushed the boundaries of automotive possibility. Season 24 of Top Gear, with hosts Matt LeBlanc, Chris Harris, and Rory Reid, premiered on BBC America in March.
Summer 2017
PROPERTY PROFILE
Licensor: BBC Worldwide
ABOUT THE SHOW
BAFTA and International Emmy Award-winning Hey Duggee, a Studio AKA production with BBC Worldwide, airs on Nick Jr. in the U.S. and Treehouse and BBC Kids in Canada. This beautifully animated series unleashes a child’s imagination and sense of fun as they explore their world. Each episode of this colorful, entertaining, and occasionally surreal animated series starts with Duggee welcoming the squirrels, a group of curious little characters who are dropped off at the Squirrel Club by their caregivers. That marks the start of laughter and learning as they discover new things about the world around them, all under the patient guidance of Duggee.
“
The Hey Duggee series, which airs on Nick Jr., has now grown to be a significant and special brand for the BBC. The characters and stories which have been entertaining children while encouraging them to explore, discover, and play in a safe and happy environment are now coming to life with new partnerships.” —Carla Peyton, senior vice president, licensing, BBC Worldwide North America
LICENSED PRODUCTS JAY FRANCO
BBC Worldwide North America announced a new partnership with Jay Franco for Hey Duggee-branded bedding, bath goods, beach products, and storage products in the U.S. and Canada.
CHILDREN’S APPAREL NETWORK
BBC Worldwide North America signed with Children’s Apparel Network for Hey Duggee-themed girls’ and boys’ apparel, swimwear, layettes, and outerwear in the U.S. and Canada.
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JAZWARES
BBC Worldwide North America announced Jazwares as master toy licensee for Hey Duggee in the U.S. and Canada, in a deal that includes plush, play sets, figures, and vehicles. Jazwares will translate the fun and humorous plots of this series into a new line of playful toys reflecting the adventures of the Hey Duggee brand. The product launch will consist of collectible figures of all of the main characters—Duggee, Happy, Norrie, Roly, Tag, and Betty—as well as vehicles, small plush, and a 12-inch feature plush Duggee with sounds. Also available at launch is the Squirrel Club play set. Kids can open the secret door, slide down the slide, or go up the elevator. The set offers enough room to store all of their Hey Duggee badges. The play set features three floors and closes for convenience with a handle to carry it anywhere, and includes Duggee and Enid the Cat figures.
Summer 2017
DUGGEE
Duggee is a lovable, cuddly, big dog. He is the leader of the Squirrel Club, an adventure group for small children. Duggee is in charge of everything. He makes sure the squirrels are having fun, making friends, learning things, playing games, and going on adventures. He is mostly very sensible, and always kind. Duggee never says anything. He sometimes woofs, which might sound like a “yes,” a “no,” or a “be careful,” and the squirrels have no problems understanding his woofs.
MEET THE CHARACTERS
NORRIE
Norrie is a mouse. She is rather thoughtful, and just as clever as Betty, but not so show-offy about it. Norrie is sensible, inquisitive, and especially kind.
TAG
Tag is a small, sweet-natured, and considerate rhino. He is a follower rather than a leader and has a gentle soul. He has a tendency to bump into things, and if there’s something to trip over, it’s usually Tag who does the tripping.
HAPPY
Happy is a small, happy, uncomplicated crocodile of few words. He loves anything that involves water, even if it’s just watering the plants. If there’s a puddle he’ll splash in it; if there’s a pool to paddle in, Happy is so happy. Any opportunity to get wet, he’ll take it.
BETTY
Betty is a jolly little octopus who would really like to be in charge, but it’s not that kind of group. She is very intelligent and loves to read. Betty is very competitive, and being the first is quite important to her. She’ll be first to put up her hand (tentacle) to answer any questions. Sometimes, that means she can get a bit grumpy or sulky if somebody else gets there first.
Summer 2017
ROLY
Roly is a round hyperactive hippo. He is wildly enthusiastic about everything. Roly’s prime feature is that he’s a terrible interrupter, calling out when he should be listening. He’s not very good at listening, but he is very good at being loud—very loud.
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HOT SHOTS
A Genius Year AHEAD The Licensing Book chats with Genius Brands InternationaI’s Stone Newman, president of global consumer products, to discuss what’s next for the entertainment company.
What’s GBI’s strategy for building licensing programs for brands showcased at Licensing Expo? This is the second year in a row where we chose strategically not to show a brand on stands at Licensing Expo. We privately unveiled to potential partners the new concepts in development, and shared the feedback from retailers. We saw that manifest into SpacePOP, where it’s now in year one on YouTube with 50,000 subscribers and licensed products from 20 partners nationwide at mass and mid-tier retailers. With Rainbow Rangers, we saw a white space for a mission-based, girl-driven preschool series. We had no visuals, but shared the creative team: Rob Minkoff, the director of the Lion King; Shane Morris co-writer of Disney Frozen; and Elise Allen from Dinosaur Train and Lion Guard. Now, Fisher-Price is master toy partner, there’s a major broadcast deal for the U.S. in the works, and we plan a fall 2018 debut. We encourage licensees and retailers to stop by our booth and look behind the curtain to see what’s coming. That’s where great opportunities usually are. How do you plan to expand the SpacePOP brand? We proved—and continue to prove—that you can launch a brand purely digitally on YouTube. We assembled top-tier licensees and retail partners to launch a unique digital strategy, built a strong following, and have driven merchandise. Moving into season two of the series, we are planning a big SpacePOP theatrical release, in partnership with Fathom, on approximately 500 screens in September. The event will feature a 75-minute movie experience from the first season and the debut of two new music videos. We’ll also tease the first episode of the second season, where we move from short-form to produce 11-minute episodes. The release of a DVD version of the theatrical experience will follow its debut in November. We’re also tying in the costume launch at Spirit Halloween retail stores nationwide this fall, offering rewards for fans who arrive to the theater in costume. SpacePOP also recently became the music sponsor of Pop Warner, where we are the music provider and sponsor for all of the Pop Warner cheerleading competitions, culminating with the national championships on ESPN. Thousands of cheerleaders will either become familiar with the SpacePOP brand if they aren’t already,
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or experience it in a new way. What can we expect to see from the Rainbow Rangers consumer products program? We plan for the animated series to launch in the U.S. in fall 2018, with a retail launch in early 2019. We’ve been working closely with Fisher-Price and speaking with major retailers. There are a lot of people lining up, and we believe that the concept and market are very rich for us to deliver great product. How do you plan to develop Llama Llama into an entertainment property on Netflix? We’re thrilled to develop Anna Dewdney’s book series into a preschool brand, and take pride in what we are creating. There’s discussion over whether or not Netflix can drive merchandise sales, but with the book’s popularity, we’re getting a lot of interest. Specialty retail, such as Calendar Club and book retail, including Barnes and Noble, Books-A-Million, and Indigo in Canada, already plan to merchandise around the debut this fall. We have Kids Preferred, Franco Manufacturing, and Hybrid on board to debut Llama Llama products. We’re expecting to see rollouts at retailers, including Target with apparel this fall, followed by a broader toy program in 2019. Can you tell us more about the launch of Thomas Edison’s Secret Lab and its retail program? The animated series is currently available on American Public Television (APT), our Kid Genius Cartoon Channel on Comcast, and various digital platforms. The series is STEM-based, and speaks more to the 6 to 9 year olds likely to tune in on YouTube. Since YouTube is the top destination for kids ages 6 to 12 to consume content—and popular channels cater to DIY science activities and STEM—we needed a strategy similar to the one we utilized for SpacePOP. Some episodes aired on YouTube, and with no marketing support have thousands of views. This summer, we’ll begin YouTube strategy and release full episodes. In October, we launch activity and science experiment kits, and compounds called Kaflooey—slime, goo, and putty—that we branded for the show. We partnered with Calendar Club and have a promotion in place with Highlights magazine. ••••
Summer 2017
SPACEPOP
Following a 2016 holiday launch at mass retailers, including Claire’s, Toys ”R” Us, and Kohl’s, GBI’s music-driven brand will expand its program in the U.S. with the development of season two; new additions to its apparel and accessories lines; and content distribution across traditional broadcast and digital channels, with launches in Europe and China this year. GBI secured new retail partnerships in the U.S. including Spirit Halloween, as well as international retail programs, which will follow content launches worldwide. The latest promotional partnership with Zumba Kids will feature SpacePOP original music in Zumba Kids classes in the U.S. this spring, with a new initiative in development for Childhood Obesity Awareness Month in September. Previous partners include Taste Beauty, Macmillan Children’s Publishing Group, Commonwealth/License 2 Play, Madame Alexander, KIDdesigns, FAB Starpoint, Berkshire Fashions, Canal Toys, Goliath, Flix Candy, Sony Pictures Home Entertainment, and Sony Music and Legacy Recordings. Content is also available across platforms including Toon Goggles, PopJam, BatteryPOP, and the Kid Genius Cartoon Channel on Comcast, as well as on OTT (overthe-top) platforms including Amazon, Apple, Roku, Google, and more. In February, a new SpacePOP app debuted, available on Amazon Fire, Apple TV, and Roku. SpacePOP is also available via Musical.ly and PopJam.
rainbow rangers
GBI will develop a global merchandising, licensing, and retail program across all key categories for Rainbow Rangers to coincide with the series launch in 2018. Master toy partner Fisher-Price will create a broad range of preschool products, including dolls and figures, play sets, plush, vehicles, technology and interactive toys, musical toys, role play, and more. Rainbow Rangers is an empowering, exciting, behind-the-curtain peek at the real lives of superheroes—Earth’s First Responders. The series blends fantasy and action-adventures with stories about friendship and saving the environment and its inhabitants. The Rainbow Rangers—seven girls, each with her own wildly unique personality and powers—live a rainbow’s ride away in Kaleidoscopia. Whenever there’s trouble for Earth, the Rangers ride a rainbow across the sky to save the day.
Summer 2017
Thomas edison’s secret lab GBI will launch the animated series on YouTube this summer, and a direct-to-retail program with a specialty retailer will debut in more than 1,000 stores nationwide this fall. The product range will include science kits, activity kits, and compounds.
Llama LLama
Based on the book series by Anna Dewdney, Llama Llama is expected to premiere globally on Netflix this year. The series will be produced in 20 different languages, distributed worldwide. GBI is in development on a consumer products initiative, and signed multiple licensing partners to begin initial rollout with the series’ debut, including Hybrid for boys’ toddler apparel, Franco Manufacturing and Jack-In-The-Box for bedding and room décor, and Kids Preferred for plush and puppets. A mass retail program launch is anticipated for next spring. The series is about first childhood experiences and the special connections between Llama, his parents, grandparents, and friends. The series follows life in a safe, friendly town through the eyes of Llama as he interacts with the world around him. The Llama Llama creative team includes Oscar-winning director Rob Minkoff, director Saul Blinkoff, Emmy-winning writer Joe Purdy, Disney art director Ruben Mulan, and Emmy-winning producers Jane Startz and Andy Heyward.
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9 STORY MEDIA GROUP
GREEN BAMBINO
Green Bambino launches Go Tiger! Fitness, Food & Fun, a healthy brand for young kids. The brand already received recognition for its Early Learning Series of books that feature two cubs: Tiger and Teena. The cubs cheerfully guide kids into a world of fitness, food, and fun, with the mission to provide kids with tips on how to live a healthy and productive lifestyle. Every page inspires little ones as they journey with the Go Tiger! cubs. For added fun, the official website, gotiger.org, offers a variety of activities involving ways for kids to live an active and healthy lifestyle. Go Tiger! is now available for licensing, while the company plans to bring awareness to the brand with on-going marketing and advertising on all social media platforms, including the development of the animation on the brand’s YouTube channel. Green Bambino’s goal is to help stop childhood obesity and other chronic illnesses.
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9 Story Media Group shows off new product lines for the PBS Kids preschool series Peg + Cat, which is set to make a big splash on the merchandising and licensing stage. Imports Dragon, which was appointed as master toy partner last year, will launch a new toy line at specialty retailers and online this fall, with a larger launch across North America next spring. Imports Dragon will introduce an assortment of high-quality plush, games, and wooden puzzles, which will also be available for international territories. Peg + Cat’s publishing program will add new formats slated for the spring and the fall. The Lemonade Problem, the fourth book from Candlewick Press, hit shelves in March, with The Big Dog Problem and The Pirate Problem set to launch in September. A six-time Emmy Award winner, Peg + Cat has been nominated for three Daytime Emmy Awards this year, including Outstanding Preschool Children’s Animated Program, Outstanding Interactive—Enhancement to a Daytime Program or Series, and Outstanding Original Song. Peg has also been widely praised as a STEM role model for girls. She has been recognized by Common Sense Media as one of TV’s Best Role Models and honored with the Parents’ Choice Gold Award for four consecutive years. Peg + Cat follows the adorable, spirited Peg and her loyal sidekick Cat as they embark on a host of hilarious musical adventures, learning foundational math concepts along the way. Each episode features engaging stories in which Peg and Cat encounter a problem that requires them to use math and problem-solving skills to move the story forward. The series provides young viewers with a new way to experience math, and highlights its importance in a variety of everyday situations. Music is used as a teaching tool throughout the show, and each episode features an original song. Peg + Cat is co-created and executive produced by Jennifer Oxley (Little Bill, The Wonder Pets!) and Billy Aronson (Rent, Postcards from Buster), and produced by The Fred RogPeg + Cat ers Co. for PBS Kids. Kevin Morrison of The Fred Rogers Co. and Vince Commisso of production partner 9 Story Media Group also serve as executive producers. 9 Story Media Group distributes the popular series and manages licensing for the brand globally. It has secured distribution in 180 countries, allowing kids worldwide to tune in to the series.
Summer 2017
PROPERTY PROFILE
Jess Richardson, vice president of licensing, WWE, North America, talks with The Licensing Book about how WWE has taken charge in the industry. According to The NPD Group, WWE action figures have been a top-three action figure brand for the past four years. To what do you attribute this success? WWE has a passionate fan base spanning across generations, which creates a mix of both toy collectors and kids. Paired with Mattel’s worldwide distribution presence, this has made our action figure line a perennial top seller on toy shelves and online. The great thing about WWE is we are a true evergreen property that is not dependent on big movie releases like other brands, making our toy sales much more stable year over year in comparison. We have TV programming on the air worldwide 52 weeks a year, with no off-season—our content keeps fans constantly engaged year after year. How does WWE work with its retail partners to build customized programs that offer retailers a point of difference? WWE works with our retail partners and major licensees, such as Mattel, to create truly exclusive product lines that provide a point of difference both from a product and marketing perspective. We strive to create customized programs that fit the customer base for each retailer, and we have the ability to adjust and maximize these programs because of the sales stability we see year after year. At Target, we have the exclusive Hall of Fame action figure line that offers up the best of legendary WWE Superstars and capitalizes on the collector shopping at Target stores. This has been paired with a sponsorship package around WWE’s annual Hall of Fame event and social and digital marketing assets to drive home the message and inform fans where and when they can get the next release. WWE fans span multiple age groups. How do you reach these broad demographics through your consumer products program? WWE understands that a one-fits-all approach will
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not work with our fan base due to our broad demographics. We focus on offering a wide variety of products that deliver on each group’s specific wants and interests. Our younger fans tend to gravitate toward the heroes in our storyline, so in product such as role play, we will concentrate on them, whereas adults tend to like the villains. We will also segment our product offering by specific eras within WWE history, giving older fans who remember watching WWE Hall of Famers—such as Macho Man Randy Savage or Ultimate Warrior—options. Gaming is a significant area of growth for WWE. What is your gaming strategy for WWE-branded games and WWE integration into non-branded games? WWE is rapidly growing its digital licensing business and continues to seek developers for new games. We look to identify industry leaders with innovative game concepts that work well with our brand. The strategy is not to simply put out as many games as possible, but find great partners and launch them in a big fashion while giving each WWE-branded game a specific period of time without competition that focuses all marketing efforts on that title. In addition to those big launches, we also have found a lot of success doing integrations with non-WWE branded games that allow WWE and the partner access to different fan bases. WWE’s recent partnership with Foot Locker and Puma saw a lot of success. What was behind this partnership, and what are your plans moving forward? WWE and Foot Locker believe there is great crossover between sneaker culture and WWE. Puma shared that vision, which led to the collaboration we launched during Wrestlemania 33 weekend at 33 PumaLab/Foot Locker locations throughout the U.S. with limited-edition and unique product that appealed to multiple audiences. We want to continue tapping into this new audience and have new collaborations in the works. Stay tuned for more to come later this year. ••••
Summer 2017
Mattel’s WWE Trade-Up figures offer WWE fans a new way to play with their favorite WWE Superstars. The WWE Universe can collect zombie-fied and mutant-fied versions of popular Superstars, including Triple H, The Rock, Bray Wyatt, and John Cena. These highly detailed action figures were inspired by posts on wwe.com and continue to be a fan favorite for WWE fans and collectors of all ages. Mattel’s Tough Talkers figures’ use of PRO-ID technology allows the figures to recognize each other and talk smack with authentic Superstars sound bites recorded by the actual Superstars. These attitude-filled action figures start talking tough when placed in the Tough Talkers WWE ring, which unlocks even more unique Superstar phrases. WWE, Nickelodeon, and Playmates Toys teamed up last year to create Ninja Superstars—Teenage Mutant Ninja Turtles figures inspired by their favorite WWE Superstars. The co-branded product line has created unprecedented media coverage and the second wave is in stores now. WWE started a new partnership with Bandai to create the S.H. Figuarts Series, which features highly articulated, highNinja Superstars end collectible figures that can be displayed on a base to re-create fans’ favorite in-ring moments. Bandai has currently launched Stone Cold Steve Austin, The Rock, and Triple H, available at Toys “R” Us, Amazon, and other specialty retailers. New figures scheduled to launch later this summer include Kane and Undertaker.
WWE2K17 is once again among the industry-leading video game franchises. Through a mix of next-generation features and innovative marketing, WWE2K17 delivers an immersive WWE simulation experience. WWE’s strategy to develop a diverse portfolio of distinctive WWE mobile games and apps drove significant growth last year and will continue to be a key driver for the brand moving forward. WWE: Champions from Scopely was the biggest WWE mobile game launch ever, with a No. 1 rank in 54 countries. WWE SuperCard from 2K was the No. 1 grossing licensed card battle game of 2016. WWE Immortals from WB Interactive was the No. 1 most downloaded WWE mobile game ever. WWE SLAM from Topps is a top 10 grossing entertainment app.
WrestleMania 33 was the highest-grossing event in the history of the Orlando Citrus Bowl and broke the stadium’s attendance record with 75,245 fans from all 50 states and 62 countries. WWE’s annual pop-culture extravaganza grossed $14.5 million, surpassing the previous record set by the Rolling Stones in 2015. The previous Orlando Citrus Bowl attendance record was set by WrestleMania 24 in 2008 with 74,635 fans. In addition to setting a new Orlando Citrus Bowl attendance record, WrestleMania also broke records for sellouts, digital and social media engagement, and merchandise sales. As part of the week-long celebration, WWE held an unprecedented five consecutive nights of sellouts at the Citrus Bowl and Amway Center with 165,000 in attendance at WrestleMania Axxess, Hall of Fame, NXT TakeOver: Orlando, WrestleMania, Monday Night Raw, and SmackDown Live. WrestleMania 33 was the most social event in WWE history, according to Nielsen Social, with 5.19 million interactions on Facebook and Twitter during the broadcast alone. WWE-related content also saw more than 490 million video views across wwe.com, the WWE app, and social media during WrestleMania Week, an increase of 96 percent year-over-year. Furthermore, WWE generated $3.7 million in WrestleMania merchandise revenue, an increase of 164 percent or $2.3 million, from WrestleMania 24 in Orlando, making it WWE’s second-highest grossing WrestleMania, only behind last year’s WrestleMania 32 in Dallas. WrestleMania also reached a record 1.95 million global households on WWE Network alone, making it the most-watched WrestleMania in history.
Summer 2017
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JAZWARES
Jazwares gives creators the chance to upload their ideas for the chance to make them real with Jazwings. The initiative is made up of a team of industry professionals who aim to support independent creators. For more information, visit jazwings.com. Panda-a-Panda is a quirky lifestyle brand from Hong Kong that celebrates different moods and attitudes, known to fans as #pandatude. MeBears is a collectible and imaginative brand created by kids that celebrates uniqueness, differences, and friendship. Fans can follow their favorite MeBears in the whimsical world of MeTopia. CryptoTrucks is an animated series that features a motley crew of four-wheeled warriors who defend the world from the destructive power of the evil Carnage Crew. Jazwares will also highlight Blue Rabbit, Deviled Eggz, Battle Bites!, Bunnyvale, and Go! Go! Sports Girls.
THE ALPHA GROUP
The Alpha Group looks to expand the Super Wings preschool property in categories including publishing, party goods, sleepwear, footwear, back-to-school, headwear, hosiery, home, and sporting goods. Super Wings is a 3-D, CGI-animated series that follows a plane named Jett who travels the world delivering packages to children. On every delivery, Jett encounters a new problem that he and his friends must work together to solve. The show focuses on issues of creative problem solving and cultural diversity, and the characters visit 52 cities in 45 countries over the course of the series. Season two of the series recently launched on Sprout in April and introduces new characters, adventures, and destinations. Super Wings is also available to watch on YouTube and Amazon Prime.
MeBears
Bitz and Bob
FREMANTLEMEDIA
FremantleMedia builds global franchises for its varied portfolio of TV properties across kids and family, scripted, game shows, and more. Its properties include Bitz and Bob, Tasty Tales of the Food Truckers, Danger Mouse, Kate & Mim-Mim, American Gods, Baywatch, Family Feud, The Price Is Right, Got Talent, and Grand Designs.
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Summer 2017
HOT SHOTS
ACTIVISION LAUNCHES NEW DIVISION
The Licensing Book chats with Tim Kilpin, CEO and president of Activision Blizzard Consumer Products Group, about what’s coming from the new division. Tell me about the focus of Activision Blizzard’s new Consumer Products division and why it was formed. Activision Blizzard is home to an incredible portfolio of intellectual properties, including seven $1 billion franchises. We’ve collectively amassed a community of 450 million players in 196 countries who spent an amazing 40 billion hours playing our games last year. As a leader in growing interactive media, we continue to expand our audiences and deepen their engagement by delivering entertainment content year-round. Building on existing programs across the various divisions of Activision Blizzard—Activision Publishing, Blizzard Entertainment, and King—the newly formed Activision Blizzard Consumer Products Group is a strategic priority for the company. The group will leverage our iconic content to create new ways for audiences to connect with our franchises and characters with much bigger scale. This centralized focus enables us to leverage our entire portfolio to bring a cohesive offering to retail and create more engagement opportunities for our partners and fans. In what ways will new merchandise deepen audience engagement? Activision Blizzard is evolving into a 21st century entertainment company. What sets us apart is that our high-impact content is consumed by millions of fans every day. The strength and reach of our IP allows us to engage fans consistently with aspirational merchandising programs that drive even deeper brand affinity. For example, there is no doubt that e-sports represents a cultural shift that’s pushing gaming further into mainstream, and, in line with that, it is also driving rich, emerging merchandising opportunities—for specific teams and players, major competitions, and the games being played. Each offers fans a new way to experience their favorite games, including celebrating the new generation of sports heroes. What are some of the biggest challenges in taking digital properties to consumer products? For all of their vast commercial success, interactive entertainment properties have not yet achieved consistent recognition at retail commensurate with their impact and scale. We continue to work closely with our accounts on education—and creative execution—as we seek to best match our consumer product offerings to the changing retail landscape.
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Further, we have annualized releases which push us to continually seek innovation both with our IP and with the consumer product lines that support it. Call of Duty is amplified by a carefully crafted gaming lifestyle program designed to extend the fan experience with great gear, whether they want to wear it, display it, play it, or live it. How does your strategy differ for mobile games and video games? Mobile gaming is ever-evolving as fans continue to engage in greater and greater numbers. In fact, mobile gaming is expected to reach at least $80 billion by 2020 and will continue to be a focus for us. That said, the quick-play nature of mobile games drives a different kind of brand resonance than our core console games, in which players invest thousands of hours. Our goal is to develop tailored programs that meet our fans wherever they are and whatever their interest. What are your plans for Licensing Expo? For the first time ever, we will present at Licensing Expo a cohesive Activision Blizzard Consumer Products Group statement. We are bringing together the considerable strengths of Activision Publishing, Blizzard Entertainment, and King to leverage the portfolio in meaningful ways. The Expo provides a great platform to be able to share our narrative with the industry and cultivate those relationships that can best support all the forms of content we develop. Our focus for this show will include seeking new partners across multiple categories for Overwatch; looking to expand our lifestyle programs for Call of Duty fans, and building on the excitement around the launch of Destiny 2 in partnership with Bungie, to expand its footprint. What is your vision for the consumer products division for this year and beyond? At Activision Blizzard, we are building the franchises of the future. Through our multiplatform approach, we are delivering an enormous depth, breadth, and longevity of engagement previously untapped through compelling gameplay, linear storytelling, e-sports events, and consumer products. Our future consumer products programs will support our 360-degree entertainment properties that come with highly engaged fan bases. Aligned with premier partners across all relevant categories, we are using our portfolio to deliver innovative, global programs that maximize retail and leverage our best-in-class marketing capabilities. ••••
Summer 2017
MEGA BLOKS offers collectible construction sets that allow Call of Duty fans, adult collectors, and savvy builders to experience the franchise in a whole different way. Urban Assault Copter is a buildable helicopter that comes ready for action with a machine gun and working missile launcher. Fans can sit their pilot in the cockpit and deploy on a combat mission. Arctic Recon Armory is used to transport military equipment. This buildable shipping container has a double-duty feature when users open it to reveal a polar outpost and armory loaded with climbing and combat gear.
GOOD SMILE adds Mei, the second Nendoroid figure to its line of figures based on the globally popular multiplayer game Overwatch. The Nendoroid comes complete with two different face plates as well as various effects for her abilities so that fans can recreate iconic poses from the game.
The Call of Duty franchise T-shirt, which features a crew neck collar for easy wear, is available now from BIOWORLD. The garment lets fans of the popular video game represent their fandom and show off what they play.
Arctic Recon Armory
D.Va Ultimate Hoodies, from JINX, is one of a collection of Hero hoodies designed to embody fan-favorite Tank character from Overwatch, D.Va.
Everyone’s favorite marsupial, Crash Bandicoot, is back as an 8-inch vinyl figure and never looked so good. The figure will be available from FIRST 4 FIGURES this summer.
The initial wave of Destiny toys, from MCFARLANE TOYS, will include fully articulated figures that depict the Guardian Classes, including the Titan, Hunter, and Warlock. These figures will debut in new window box collector packaging and will come with a Destiny-branded detailed base. They will be available at major retailers this July.
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A LOOK INSIDE
LEADERS IN ATHLEISURE by MARISSA DIBARTOLO, senior editor ATHLETIC APPAREL IS GETTING AN UPGRADE. “Athleisure” is an emerging apparel category featuring high-end athletic apparel that consumers are sporting outside of the gym, and the pop-culture product experts at Bioworld are leading the charge in bringing licensed and branded styles into this new category. U.S. consumers spent $323 billion on apparel, footwear, and accessories in 2014, according to a 2015 report by The NPD Group. The additional $2 billion in sales compared to 2013 was driven primarily by growth in sales of activewear, athletic performance footwear, and bags. “Casual and ‘athleisure’ have taken on a life of their own,” says Marshal Cohen, chief industry analyst, The NPD Group Inc. “This is no longer a trend—it is now a lifestyle that is too comfortable, for consumers of all ages, for it to go away anytime soon.” According to a post written in December 2016 by Matt Powell, vice president and industry analyst for apparel, sports, and footwear for The NPD Group, the athleisure category is expected to continue to grow this year. Bioworld’s athleisure offerings span across multiple product categories, including men’s, junior’s, and youth apparel;
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headwear; bags; small accessories; socks; loungewear and sleepwear; casual footwear; and more. The company reaches a diverse demographic of consumers by producing well-crafted athleisure offerings that feature fan-favorite characters from popular franchises, including Harry Potter, Wonder Woman, Batman, Deadpool, and many others. “The athleisure trend is one of the most important lifestyle trends today. Every consumer segment is participating in this trend, so there are a lot of opportunities to develop expanded product lines,” says Jennifer Staley, vice president of licensing at Bioworld. “Millennials are absolutely driving this trend, which is why we believe that marrying the trend with the popular brands that the millennial fans relate to is a great match.” Bioworld specializes in brand management, design, sales, and distribution of the world’s greatest entertainment brands, with numerous licensing partners. The company employs more than 100 brand-specific designers to create innovative new products on a daily basis, allowing them to stay ahead of the trends. The athleisure category has been a strategic development initiative for Bioworld since 2013. The company leverages its resources, expertise, and vast license portfolio to reach all segments of the athleisure market. With both brick-and-mortar and online retail partners, the company is able to design products strategically developed for specific retail tiers at a variety of price points. This allows the company’s diverse, growing product lineup of athleisure offerings to be available to a wide range of consumers. Bioworld makes a point of reaching potential new partners and consumers year-round. Displaying thousands of licensed products at more than 10 trade shows a year, Bioworld reaches fans across the world, outfitting kids and adults alike in comfortable, artful apparel. With thousands of additional new products hitting the market each year, Bioworld offers originality in its athleisure offerings. With fashion becoming increasingly casual, the athleisure category is here to stay, and Bioworld ensures pop-culture fanatics can show off their fandom while staying in style. ••••
Summer 2017
SUPER STYLE
FROM DC TO MARVEL, WHETHER FANS FIGHT WITH THE GOOD GUYS OR THE BAD, BIOWORLD HAS THEM COVERED. THE COMPANY’S LINE OF ATHLEISURE APPAREL AND ACCESSORIES FUSES CUTTING-EDGE STYLE WITH THE BEST IN POP-CULTURE FANDOM.
DC Comics Harley Quinn Lo Pro Shoes provide style, comfort, and durability with extra thick insole padding. These all-over pattern lace-ups feature a canvas-lined polyester upper for an ultra vibrant print. The Harley Quinn kicks are part of Bioworld’s complete line of unisex footwear featuring fan-favorite heroes and villains.
Deadpool Cationic Athletic Boxer Briefs pair athletic construction and fabrication with leisure styling. The poly-fabric and spandex blend provides a superior fit with sufficient moisture wicking. The jacquard waistband and contrast stitching give them an appealing, athletic look, while the Deadpool all-over logo usage makes them the perfect fit for fans of the anti-hero.
Bioworld’s Joker Packable Duffle Bag is a killer accessory for any fan of the Joker’s antics. Featuring iconic imagery from the classic comic book Batman: The Killing Joke, the Packable Dufffle features multiple pockets and a 1.5-inch removable and adjustable shoulder strap. Along with additional backpacks, totes, and duffle bags in the line, the bag features the ability to fold up into a front pocket for easy travel and storage.
The Superman Juniors Athletic Tank Top features a stretch knit with fabric blocking and a semisheer burnout pattern accent. The full-body iconic logo lets fans stay stylish while showing off their true fandom. The madeto-last, machine-washable tank is made from a poly, spandex, and cotton blend.
The Wonder Woman Athletic Shorts feature an all-over pattern and an elasticized jacquard waistband. The stretch-knit shorts are made from a poly-spandex blend for complete comfort, and the extensive use of brand elements and sublimation printing make them perfect for bringing out any woman’s inner warrior.
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Sing Along with Daniel Tiger
PLAYMOBIL
Playmobil expands its line of licensed Ghostbusters and How to Train Your Dragon sets. The How to Train Your Dragon line is made for kids ages 4 to 12. The Berk set features a two-story fortress with a functioning catapult, crossbow, and pulley to transport supplies. The set comes with Stoick and Hiccup figures, an awning, a trapdoor, two dragons, torches, and more. The torch and Viking statue both light up to illuminate the fortress. With Drago’s Ship, kids can battle the dragon-riders’ fiercest enemy. The floating ship has everything Drago needs to trap dragons, including a dragon cage, working crossbows, spears, a torch, and other accessories. Kids can join the most loyal Viking around using the Gobber with Catapult set, including a working catapult, boulers, a Viking helmet, and a Gobber figure with interchangeable arms. The line also features dragon and figure duo sets, including Hiccup & Toothless, Astrid & Stormfly, and Drago & Thunderclaw. Toothless can shoot a blue fire dart from his mouth, has illuminating spikes, and has a saddle for Hiccup to ride. The Stormfly set comes with the Astrid figure, a saddle, and a battle axe. Thunderclaw comes with detachable armor, a dragon-hide cape, and a battle spear. For kids ages 6 and up, Playmobil’s Ghostbusters line includes the Ghostbusters Firehouse, featuring Spengler, Stantz, and Janine figures. Kids can park the Ecto-1 (sold separately) in this unit for more ghoulish action. The set includes a detachable proton pack and proton laser, a ghost trap, a PKE meter, silicone slime splatters that stick to smooth surfaces, and more. Kids can speed through the city with the Ghostbusters Ecto-1. This legendary action vehicle has room for proton packs and ghost traps thanks to the detachable roof. The set features original sounds and functioning lights, and comes with Winston Zeddemore and Janine Melnitz figures in their official uniforms with two proton packs and proton lasers, a ghost trap, a PKE meter, and silicone slime splatters that stick to smooth surfaces. The Stay Puft Marshmallow Man has movable arms, Ecto-Goggles, and other accessories. The Slime with Hot Dog Stand comes with a hot dog vendor, silicone slime splatters, hot dogs, condiments, and other accessories. The line also includes Venkman and Terror Dogs and Spengler and Ghost sets.
Ghostbusters Ecto-1
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THE FRED ROGERS CO.
The Fred Rogers Co. continues to broaden its consumer product offerings for Daniel Tiger’s Neighborhood to include more opportunities for kids to engage with the brand. The company recently renewed its master publishing partnership with Simon & Schuster until 2022. The brand’s newest licensees include Party City for party goods, including tableware, décor, favors, balloons, and more to launch this fall; Hallmark for a series of three Christmas ornaments for this holiday season, including a Hallmark Keepsake item available exclusively at Hallmark Gold Crown stores beginning in October and two other designs slated for the mass market; SCS Direct for melamine tableware, icepacks, and lunch bags due out this fall; Church & Dwight Co. Inc. Toothbrush and Oragel toothpaste, set to arrive at retail in late summer or early fall; and Fabric Traditions for printed fabric, due out later this year or in early 2018. In addition, arriving at retail this summer is swimwear for boys and girls from The Bentex Group/Dreamwave in sizes 2T-4T, available at Target.com. The boys’ swim trunks are also available at Walmart.com. Running Press, which introduced the Daniel Tiger’s Neighborhood Finger Puppet Kit to retail last month, will add a Daniel Tiger’s Neighborhood Mini Plush Kit, consisting of a 3-inch plush Daniel Tiger and a 32-page mini book with quotes and illustrations from the series, in September. Also this fall, Jakks Pacific will expand its offerings to include Sing Along with Daniel Tiger, a karaoke machine shaped like Daniel Tiger’s head. The unit includes a working microphone and four full-length songs from the series for kids to sing along to. It also lets kids record their own voice and play it back.
Summer 2017
SPOTLIGHT ON
TRY ON A BIION The Licensing Book spoke with Rick Buchanan, founder and CEO of Biion Footwear, about the company’s retail and licensing strategies.
Tell me about Biion and how you got started. My “Aha!” moment was actually on the golf course. I had forgotten my golf shoes and ended up having to wear the shoes that were on my feet. They were an EVA casual sneaker for the beach, and as I played golf in them, I couldn’t believe how comfortable and light they were. They didn’t have the support or traction needed for golf, so this is when I went to the drawing board. I started Biion in 2014 with some influence from my existing fashion distribution company. I imported fashion brands from all over the world and represented several clothing, accessory, and footwear brands throughout Canada and the U.S. A lot of my design influence came from a mash of all these brands and my nostalgic passion for the Roaring Twenties. Hence came a technical, functional, and fashionable Oxford Brogue in as many colors as I could conjure. Biion is a color story with more than 50 colors and patterns to choose from. With golf trending into more of an athletic running shoe styling, I wanted to bring back the roots of the original golf footwear with a technical Oxford. We were very fortunate that Biion was an instant hit in the golf industry because there literally was nothing else like us on the market. However, with success always comes challenges—and especially in golf where it is dominated by six major brands—we started to get resistance from the big guys and it was tough to overcome. The good thing about being a smaller brand compared to a corporate brand is that we have the option to pivot quickly and make snap decisions to overcome these challenges and this proved successful. We opened up into 12 countries within 18 months and knew we had a tiger by the tail. Golfers were wearing Biions to and from the course, out to dinner, parties, on yachts, and more. So, we evolved
into boating and lyfestyle, which worked with my fashion industry background. We then coined the phrase “One Shoe, Many Talents,” as we had a fashionable shoe that had the technical necessities for golf, boating, and lifestyle. Biion is now distributed in more than 30 countries and selling into fashion, lifestyle, golf, and boating retailers around the world and we are now launching our kids division. What made you get into the licensing business? Licensing came about from trade shows and word of mouth. Biion is unique in the way that our shoes are like a blank slate, and we can do any color, and, best of all, we can print almost any design or pattern on our shoes. With this in mind, we headed to Licensing Show and started dropping shoes off at all the best licensors, as our best marketing is getting shoes on people’s feet. It worked, and we got meetings with Nickelodeon and Disney. Both companies loved Biions, especially their designs and product positioning on the market. They were impressed that we were targeting to luxury retailers and consumers in North America and were not aiming to just do mass production. We wanted both these collaborations to be first class with our own twist of design aesthetic that consumers won’t see on other footwear brands on the market and also offer some unique Limited Edition Capsule collections. I was a rookie in the licensing industry and have heard horror stories of licenses going bad, but we have been very privileged to work with those companies. Both the Nickelodeon and Disney teams have held our hand through the whole process and worked very closely with us on design implementation, production schedules, timelines, sales, and marketing execution. We will start shipping our first licensed product this summer and fall with properties such as SpongeBob, Disney Princess, Mickey Mouse, Minnie Mouse, Cars, Frozen, and several more. With major launches this holiday and next spring, such as Star Wars Episode VIII: The Last Jedi and Snow White’s 80th anniversary, we are so excited to get these shoes on the market. What were some of your biggest challenges? With success comes challenges, and we have had our share. We were fortunate that people love our shoes, but we faced challenges with production, financing, shipping, staff, in-
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ventory, competition, and more, and we have had it all. I have surrounded myself with a great team who believes in the product and we have overcome many obstacles to get to where we are today. There are times you just feel like giving up, but when you have inspiration within your office and staff that depend on you, you find the inner strength to get through it and stay on the critical path. It is important to have good relations and communication from our factory to our distributors, to our reps and our buyers, and to retailers right to the consumer. What is your focus for this year and going forward? Our focus for this year is to execute on our promises and get Biion x Disney and Biion x Nickelodeon on consumers’ feet worldwide. We have a vast assortment of colors and licensed collaboration shoes on the market, and we just want to work with good people that share our vision and want to grow with us. We have a blast with new designs and concepts and look forward to growing our Disney, Lucas Films, Pixar, and Nickelodeon partnerships globally. We have a few new models being released next year, which will add to our assortment and open up some other markets for us. The uniqueness of our shoes has afforded us opportunities outside the traditional retail and e-commerce channels. We are doing some great custom projects with hotel and resort chains, including a Ritz Carlton full staff shoe program, a couple of Michelin star restaurants, a major yacht company, and other partnerships. What is your retail strategy? Our retail strategy is simple thanks to strong partnerships. I have been in all sectors of the product chain, including owning a store, so I know the challenges of retail. It is a changing landscape out there with challenges from consumer buying patterns, e-commerce, rents, trends, the economy, and several other aspects. We wanted to change up the business a bit to help retailers and alleviate some of their risk, so we set up Biion Footwear much like an accessory brand or sunglass line where we are a count-and-fill program. We believe in our product and know that consumers do too, so we make sure we carry stock in our warehouses. We know retailers can’t carry more than 50 colors of our shoes. We took that into consideration, and even though the retailer only has 12 colors on the wall, they have instant access to all 50 colors through our B2B system. If a consumer goes into a store and doesn’t see the color they want, the retailer can actually pull our full live inventory on a tablet and order it in seconds while the consumer is right there. We can then either ship to the store the next day or directly to the consumer’s home or office and the retailer still gets their wholesale margin. We want to have hands-on relationships with our retailers and build successful business together. Our offering as a footwear company is pretty unique for a new
Summer 2017
brand on the market. We can do custom collaborations with our retailers direct from factory, unique marketing campaigns in collaboration with our licensing partners, and much more. Biion has a large following on social media, especially Instagram. How do you use social media to engage consumers? Social has been great for Biion. We take pride in our shoes, photography, video, and our branding. It is almost too easy—our footwear is fun and can cross into so many market segments. We find that our consumers wear them from the time they get out of bed to the time they go to sleep at night. Biions wear well with shorts at the beach, a suit at the office, a dress at a party, on the golf course, on a bike, on a sailboat, in the garden, or just about everywhere. We joke about being the shoe that you can wear at your wedding and your funeral. As you can see from our social campaigns, we can have a lot of fun targeting all of this. The great thing as well about Biion is that we are unisex and sell just as many women’s shoes as we do men’s. Now with kids launching this summer, our demographic has expanded. What is your vision for the next three to five years? Our vision over the next three to five years is steady but manageable growth while maintaining our company culture and enjoying what we are doing. In addition, we are aligning with a couple of charities that are close to our heart and soul and will be doing some rewarding collaborations to give back. This is something that we have set out to do from the beginning, but, being a start up, it is important to establish a profitable business to ensure that you are around to give back. We are very much looking forward to shedding light on these projects in the near future. ••••
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PROPERTY PROFILE
“
Licensor: Sunrights Inc.
Since bursting back into the western markets in the fall of 2016, Beyblade Burst is continuing the craze the brand has historically proven to be. With Hasbro’s innovative line of tops flying off the shelf and a solid group of global agents in place, Sunrights Inc. has been rapidly vamping up our licensing program with a roster of top licensees. We anticipate great success for this exciting new generation of the legendary Beyblade franchise!” — Kaz Soeda, managing director, Sunrights Inc.
Meet the Bladers
Valt is a cheerful, energetic boy who is very passionate about Beyblade. He has a strong bond with his Bey Valtryek, and this relationship motivates him to become a better Blader. Even though he can be a little over-enthusiastic at times, he manages to become friends with anyone as if he has known them for years. Valt’s best friend, Shu, is a member of the Supreme Four and considered to be a Beyblade prodigy. Cool, calm, and collected, Shu works extremely hard to be the best Blader he can be. His relationship with Valt—a unique combination of friendship and rivalry—motivates them to continuously improve and grow together. Trained in martial arts from a young age by his family, Alexander “Xander” Shakadera is an extremely strong Blader with an incredible discipline. He is the generous and kind leader of the Swordflames Beyblade Club, and also a member of the Supreme Four. He is a respected competitor, confident in his abilities as both a Blader and a leader. Lui is an aloof genius, whose overwhelming power has led him to win four consecutive National Tournament championships. His disregard for the feelings of other Bladers creates friction with even his own teammates. As the strongest of the Supreme Four, he only battles opponents he thinks are worthy. If a battle isn’t a challenge, Lui wants no part in it.
UnBEYlievable Facts • Beyblade is more than just a toy; it is also a sport. • The Beyblade franchise created by TOMY Co. Ltd., was first inspired by traditional Japanese battling tops called “Bei-Goma.” • There are four types of Beys, each with different strengths and weaknesses: o Attack Types are fast and attack with extreme power; their strength overwhelms Stamina Types. o Stamina Types last longer than most other Beys; they outlive the slower Defense Types. o Defense Types tend to be heavier than other Beys; they’re particularly good at deflecting and countering Attack Types. o Balance Types have no obvious strengths or weaknesses, so they use a combination of Attack, Defense, and Stamina to win. It takes a talented Blader to master a Balance Type Bey. • There are three ways to win a Beyblade battle: a player can knock an opponent’s Bey out of the stadium for a Ring Out Finish worth one point; a player is the last Bey spinning with a Survivor Finish worth one point; or a player makes his or her opponent’s Bey burst for a Burst Finish worth two points.
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HASBRO’s new Beyblade Burst product line is available at all major retailers in the U.S., Canada, Australia, and New Zealand. The line introduces a new “burst” feature designed to bring more excitement to the battling play pattern. A battle can trigger the spinning tops to burst into pieces, creating suspenseful competitions. Each burst rate varies. The initial line will consist of customizable Beyblade Burst tops with interchangeable components along with a Beyblade Burst BeyStadium and Beyblade Burst Epic Rivals Battle Set for fans to engage in head-to-head competitions. Beyblade fans can also train for battle digitally with the Beyblade Burst app available in the App Store and Google Play for supported iOS and Android devices. Players can scan their Beyblade Burst tops into the app and interchange the top components to create a customized virtual top that they can use to battle with a friend. The Beyblade Burst app also includes a tournament mode and multi-player mode.
BIOWORLD signed as an apparel partner and features a range of Beyblade T-Shirts. The T-shirts feature the brand’s graphics and are available in blue, black, green, red, and navy styles. The blue shirt includes high-density ink; the black shirt features the theme of head-to-head competition between the two main characters; the green shirt includes an action shot; the red shirt features the phrase, “Let It Rip;” and the navy shirt has a metallic ink treatment over a group shot of the characters.
BJORNA signed as a home and textile partner for Beyblade. The collection includes the Beyblade Burst 2-Piece Bedding Set, which features a pillowcase and a duvet cover with the two main characters Valt and Shu in epic battle poses. The duvet cover is reversible, so kids can flip it over for a different duvet with a design of their favorite Beys. Additionally, the Beyblade-branded towel features Valt in an epic battle pose, along with the battle cry, “Let It Rip.”
SUPER IMPULSE will feature Beyblade Burst Action Keychains, which bring more fiery excitement to the Beyblade brand. Set to the same scale as the new core toys, the key chains feature a pump-activated spin mechanism that creates a flywheel-activated shower of sparks, all safely contained within the transparent shell. Series one includes three models: Spryzen, Roktavor, and Valtryek.
SUN CITY will offer products in the swimwear and headwear categories. The licensed bathrobe features dual-sided visuals and a hood. Additionally, a blue cap and a red cap are available. The blue cap has graphics on the front, while the red cap has details on both the front and the back.
Beyblade Burst 2-Piece Bedding Set
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WILD KRATTS
Whole Foods Market will stock its shelves with an expanded range of Wild Kratts-inspired snacks, juices, and grocery items rolling out this fall. In addition, two new partners, Topix Media Lab and Lightheaded Beds, have joined as licensees for the PBS Kids series. The Wild Kratts product range at Whole Foods now includes snacks, juice boxes, and juice bottles. Four flavors of organic cereal and three naturally flavored varieties of fruit snacks will launch later this year, and more grocery items are set to arrive next year. In addition, the Wild Kratts publishing program, led by master partner Random House, is expanding with offerings from new licensee Topix Media Lab. The company will complement the program with Bookazines, chunky board books, and Show and Tell Me books. The Wild Kratts Bookazines are available everywhere magazines are sold, including major, print-on-demand online and specialty retailers as well as book fairs and beyond. New titles are on the way, with magazines in print and books available in both printed and electronic formats. The Wild Kratts licensing program is also growing in the home décor space with Lightheaded Beds. The company just launched 17 graphic panels featuring a selection of familiar imagery and characters from the series, including creature power suits and animals from around the planet.
DISCOVERY CONSUMER PRODUCTS
Discovery Consumer Products, the global licensing arm of Discovery Communications, will focus on licensing programs from Discovery Networks’ entire portfolio, with a focus on the 30th anniversary of Shark Week. Shark Week features a comprehensive licensing program based on Discovery Channel’s Shark Week, TV’s week-long journey into the sea to uncover the secrets of its inhabitants. Shark Week can be viewed in all 220 countries and territories worldwide, where it is customized for each market as Shark Week, Shark Month, or Shark Weekend. For the first time this year, the U.S. broadcast will coincide with the airings in the UK, Canada, and Argentina to globalize the franchise. Say Yes to the Prom is a 360-degree partnership with Macy’s, making the department store the exclusive retailer for branded prom dresses and jewelry lines. Featured as a shop-in-shop in Macy’s juniors’ department, the collection consists of more than 20 different styles of dresses. Discovery Adventures is a recently launched lifestyle brand for viewers of Discovery’s programs and content. The Discovery Adventures brand had an initial rollout in Europe, North America, and Asia Pacific regions for categories including apparel, camping, and sporting goods. Current licensees include Craghoppers, Summit, Ninja, Sakar, M5, Semiline, Barcomm, and TCC. Discovery Adventures also partnered with Academy Sports and Outdoors for branded camping gear, including tents and sleeping bags. The collection is accompanied by a new Discovery Adventures Official App, which launched in March. Diesel Brothers is a licensing brand based on Discovery Chan-
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nel’s series of the same name that follows the world of diesel vehicles at DieselSellerz, as they trick out trucks, work hard, and play even harder in the process. Alaskan Bush People is based on Discovery Channel’s show of the same name that follows Alaska’s Brown family as they thrive in their bushpeople roots. Mythbusters is a licensing brand based on Discovery Channel’s series of the same name that uncovers the truth behind popular myths by mixing the scientific method with curiosity and ingenuity. The series will be reimagined with a new name, MythBusters 2.0, featuring new hosts Brian Louden and Jonathan Lung, who won Mythbusters: The Search last year. Discovery is a brand that encourages kids to approach the world with curiosity. The brand continues to expand, translating into toys, games, apps, and apparel. Discovery recently announced its first-ever global apparel partnership with Uniqlo, for gender-neutral youth T-shirts. Discovery looks to work with new licensing partners worldwide for categories including toys, interactive games, youth electronics, outdoor activity, apparel, and publishing categories. Animal Planet encourages consumers to celebrate and explore the animal world. The Animal Planet kids’ consumer products program is anchored by its 16-year partnership with Toys “R” Us in North America, which features Animal Planet figures, play sets, R/C, and vehicles across a 20-foot space at Toys “R” Us stores. Animal Planet will also expand into new Toys “R” Us stores, with a reserved location that includes a featured space in the upcoming flagship store in New Jersey.
Summer 2017
EPIC RIGHTS
Epic Rights will focus on programs for David Bowie, Celine Dion, Lyrics Written by Lennon & McCartney, and Woodstock’s 50th Anniversary, as well as the further expansion of the KISS brand. Epic Rights and Perryscope partnered to represent the singer, songwriter, actor, and Rock and Roll Hall of Famer David Bowie for products using Bowie’s iconic imagery. Licensees include ABG Accessories, Aquarius, Angotti Designs, Bentex, Bioworld, Brown Trout, C&D Visionary, CMD Figpin, Cotton Division, Creative Apparel Concepts, FIPO, Freeze, Impact, Lauren Moshi, Liquid Blue, Midnight Rider, Perri’s Leathers, Raymond Weil, Ropa Viva, Trevco, and Z Supply. The program will offer assets including new photos, logos, concert passes, and album cover art featuring never-been-used merchandising that will be available this year. Epic Rights will build the licensing program into new categories and global markets. As global licensing agent for Lyrics Written by Lennon & McCartney, Epic Rights will develop a worldwide program that incorporates licensed products across multiple consumer goods categories. Licensees include Bentex, Freeze, Tervis, ABG Accessories, Ecell Global, Artissimo, Crayola, Retro Brand, Decor-Ware, Manic Merch, and Aurimoda, with more currently in development. Epic Rights seeks partners to expand into global markets for stationery, home décor, food and beverage, health and beauty, and accessories. Last year, Epic Rights partnered with Prominent Brand + Talent to create a new lifestyle brand for Céline Dion. The Bugatti Group was the first line, and featured international handbags, luggage, and accessories. The line debuted at Project Women in February and will be available at retail this fall. Future collections will include health and beauty, home furnishings, apparel, small electronics, jewelry, and food and beverage products. Coinciding with the launch of a European tour, KISS recently celebrated 125 new licensing partners worldwide. Among its 125 new licensing partners, new products for the market include the band’s first mobile game for iOS, Android, and Kindle; digital emojis and sticker packs for mobile messaging; photo booths and crane games in malls, parks, and entertainment centers; and bikes. Epic Rights will expand the brand into food and beverage and beer and spirits in growing markets, including India, South Africa, South America, and throughout the Middle East. David Bowie
LISA MARKS ASSOCIATES
Lisa Marks Associates Inc. (LMA) continues to develop the PEZ licensing program. Wilton Industries is currently developing PEZ-themed gingerbread houses and cookie-making kits and candy. The program will launch for the 2018 holiday season in North America and will be available across multiple retailers. Super Impulse recently introduced the World’s Smallest PEZ, the smallest versions of classic PEZ dispensers. The toys have working features and are packaged with full packs of PEZ candy. The company will also create a line of key chains featuring PEZ designs. The items will be sold at toy and gift stores as well as mass, regional, grocery, drug, and book chains, among other retailers in the U.S. and Canada. Castlin will also produce a line of die-cast vehicles for the North American market that will be available this year. Additional licensees signed for PEZ include Watchitude, Brush Buddies, Signorelli, and TAA Apparel, as well as the initial licensing partnerships developed with Taste Beauty, American Classics, and Covee. This year, the MoonPie brand celebrates its 100th anniversary with new promotions, products, and a community-wide celebration in Chattanooga, Tenn. The celebration will feature the ceremonial cutting and serving of the World’s Largest MoonPie. Guests can participate in MoonPie games, face painting, and enjoy MoonPie Coffee. MoonPie Moonshine and licensee Taste of Nature’s MoonPie Bites will also be available. MoonPie licensees include Lionel for a specially designed collectible anniversary boxcar, Castline for a die-cast vehicle series to include MoonPie centennial-themed graphics, Zynga for an online casino game to commemorate the anniversary, Cornerstone Marketing Group Inc. for the spirits line, Desperate Enterprises for signage, Trau & Loevner for classic vintage T-shirts, and Covee for caps and beanies.
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STRIKER ENTERTAINMENT
Celebrating its 10th anniversary this year, Striker Entertainment will feature several new properties, including an upcoming stop-motion animated feature film from LAIKA. Striker will also build a consumer products program around LAIKA’s library of past film titles, including Kubo and the Two Strings, Coraline, Paranorman, and The Boxtrolls. Striker’s TV roster includes The Tick, an upcoming live-action TV series from Sony Television based on the classic comic book character; Ultimate Beastmaster, the new Netflix competition show; Preacher, based on the DC Comics/Vertigo comic book series, which begins season two on AMC in June; AMC’s The Walking Dead and its companion show, Fear the Walking Dead; the martial arts series, Into the Badlands; Adult Swim’s animated comedy, Mr. Pickles; and several upcoming TV shows that will soon be announced. Striker will expand the footprint internationally for the video game franchise Five Nights at Freddy’s, which has been nominated for three Licensing Excellence awards including Digital Property of the Year. Other initiatives include We Happy Few from Compulsion Games; Exploding Kittens; Kitty Cones, the mobile app and digital sticker brand; It’s Happy Bunny; and more.
Summer 2017
LMCA
LMCA will showcase many of its properties’ highlights. Current licensees for the Snuggle Brand include Jeffco for pillows, mattresses, and mattress toppers; Reckitt Benckiser for Air Wick and Air Freshener; and HIA for home textiles, bedding, and towels. LMCA seeks licensees for branded cotton balls and swabs; health and beauty aids, including soap and shampoo; underwear and sweats; pajamas and slippers; first aid adhesive strips; toilet paper and paper towels; pet products; and plush. Trane will be licensed in categories such as portable air conditioners, portable humidifiers, whole-house humidifiers, portable air purifiers, portable dehumidifiers, sump pumps, whole-house fans, water heaters, and other related electronics products. Hayward will be the first licensee for pool heaters.
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EMOJIONE
Early Man
AARDMAN
Following Aardman’s 40th anniversary last year, the company will meet with new and existing partners to present two new feature films for next year and 2019. Production continues on the new prehistoric, animated adventure Early Man, with a voice cast including Eddie Redmayne, Tom Hiddleston, and Maisie Williams. Shot in stop-motion style, the story takes audiences on a journey into a new world with a tribe of unique characters. Early Man is set for release next year, and the studio will work closely with Studiocanal to develop a licensing, publishing, and promotional program for the film. Aardman will handle the UK and Studiocanal will cover international rights. Shaun the Sheep continues to broadcast season five in more than 170 territories worldwide, and has a movie sequel in pre-production, set for theatrical release in 2019. The studio continues to invest in the evergreen brand with a focus on digital content, communities, gaming, virtual reality, partnerships, live events, and themed attractions. New short-form content is in the works, and the team is developing licensing programs for new design themes that will form part of a bigger brand campaign. Shaun the Sheep has recently been selected as the official goodwill ambassador for Yokohama, which will be the host city for team Great Britain in the 2020 Tokyo Olympics. Aardman recently went into production for Learning Time with Timmy, a new online educational series for early English language learners. The series will launch on a YouTube channel this summer, and has been developed in collaboration with the British Council. The series is the latest addition to the innovative Learning Time with Shaun & Timmy portfolio. Aardman will also develop an international publishing and licensing program to extend the brand and enable more children, parents, and educators worldwide to access the Learning Time with Shaun & Timmy learning experience.
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Capitalizing on the emoji licensing trend, EmojiOne now offers the largest collection of authentic digital icons to licensing partners in all product categories. Through its digital and communications partners including Verizon, Talk Ray, Adobe Photoshop, and more, EmojiOne icons reach millions of users on a daily basis. Since its first collection released as an open source Emoji in 2014, EmojiOne released more than 2,500 icons, including V2.0 in 2015 and the newly released augmented V3.0. EmojiOne icons have been featured on South Park and used by McDonald’s for emoji-themed billboards. Represented by The Brand Liaison, EmojiOne icons are now being offered for licensing on a full range of consumer products. The EmojiOne collection includes more than 2,500 icons with new versions released annually, including adult emojis.
ZOONICORN
Zoonicorn expands its property to feature five new animated music videos, each with an original score and song lyrics directed and produced by Cliff Dew of Jumping Frog Entertainment. This expansion will add to plush toys, books, apps, and an interactive website. Zoonicorn helps children face their fears, problems, and anxieties through the comforting characters of the Zooniverse. Zoonicorns, magical unicorn and zebra hybrids, teach kids how to cope and grow from the inside out by demonstrating ways to handle the emotional challenges of life. The videos will launch on YouTube and other children’s channels. Four of the videos will introduce kids to the four main Zoonicorn characters: Valeo, Promithea, Aliel, and Ene. The fifth video will explore the Zooniverse, where each character will sing about their enchanting home.
Summer 2017
ALL AMERICAN LICENSING
All American Licensing signed GeoWorld USA, the brand owners of Dr. Steve Hunters, to assist in the launch of an expanded product line and development of its new animated series. Currently, GeoWorld has a significant publishing and toy business overseas, and views the U.S. as part of its growth strategy for the new year. Dr. Steve Hunters is currently being developed and will feature Dr. Piccini “live” from archeological dig sites followed by the adventures of an animated Dr. Piccini and his friends and family, who travel back in time to discover dinosaurs, gems, bugs, and new animals from around the world. The Dr. Steve Hunters toys are available at various toy, online, and specialty retailers in the U.S., such as Toys “R” Us, CVS, and Amazon. In addition, actress Anne Heche retained All American Licensing to expand her Tickle Time by Anne Heche brand. The brand expanded from a spectrum of mineral, all-natural sunblocks for kids to a comprehensive line of children’s products. The actress and her partner, James Tupper, plan to broaden their Tickle Time brand to include HBC and other children’s and household products, and is seeking partners for educational toys, children’s apparel, and furniture.
PYROPAINTER
Pyropainter photographs real, moving fire, and digitally manipulates it into a number of illustrations. Pyropainter’s art appears in galleries worldwide, and will extend into apparel. Pyropainter seeks to expand into T-shirts, hoodies, and other articles of clothing. Additionally, he is working on an original story for his graphic novel to be illustrated with real fire.
THE LICENSING GROUP
The Licensing Group is representing family entertainment network Driver Digital’s Cool School suite of programs, which will be introduced at this year’s Licensing Expo and offered for licensing for the first time. The Cool School YouTube children’s channel is comprised of shows that use a mix of live-action and animation, resulting in engaging and playful programs for kids ages 4 to 8. The Cool School channel is comprised of three shows that are licensed as one entity: StoryTime with Ms. Booksy, Crafty Carol, and The Adventures of Drew Pendous and His Mighty Pen Ultimate. Also new to The Licensing Group is artist Cecile Hubene’s Celebration Portfolio. Hubene is best known for her kaleidoscopic watercolor-on-paper paintings and acrylic works. Cecile’s works hang in galleries throughout Europe and the U.S., and many of her paintings can be found in distinguished private and corporate collections for Paris, Aspen, Napa Valley, and Rome. In the past, numerous pieces from Cecile’s portfolio have been licensed for use on calendars, clothing, footwear, and card and notebook lines. The Licensing Group continues as the exclusive worldwide agent for SPD Brands’ lifestyle properties: Flight Patterns; Malibu Life, the aspirational brand that embodies the lifestyle of this legendary and glamorous California beachfront community; XO USA, a social expression brand based on top American destinations and XO International, applicable to countries worldwide; and the children’s property Heart Girl, a happy, adorable, whimsical, and capricious character with a heart-shaped face.
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Molang
LICENSING WORKS!
Licensing Works! expands its latest preschool-to-teen property, Molang. Scholastic will introduce its publishing program for the brand this fall. Beginning with 8 x 8 sticker storybooks, Scholastic will expand the line in 2018 with board books, readers, and novelty books available to all national retailers, independents, special market channels, and through Scholastic Reading Club and Scholastic Book Fairs. In addition to Scholastic, Bioworld is joining the program with a line of teen-targeted apparel and sleepwear. In addition, North American DVD partner NCircle will release its first Molang product for this fall timed with other key Molang licensee product releases. Previously announced U.S. licensees include master toy licensee Jazwares for figures, plush, and play sets, releasing in stores in the fall; master bedding licensee Jay Franco for bed and bath linen; master children’s apparel licensee Children’s Apparel Network for toddler, boy, and girl apparel ranges, outerwear, and swimwear; Komar for sleepwear; Intimo for girls underwear; Berkshire Fashions for headwear and cold weather accessories; Accessory Innovations for bags, cases, luggage, and small leather goods; and Riley Blake for fabric, embellishments, and fabric kit products. Licensing Works! is actively seeking partners for interactive games, consumables, HBA, footwear, party goods, stationery, back-to-school supplies, board games and puzzles, costumes, watches, hair accessories, gifts, ride-ons, live touring shows, and promotions. In Europe, TOMY has been appointed master toy licensee and will also cover Australia and New Zealand with a wide range of figurines, plush, and play sets. Flammarion has launched a first collection of five Molang books worldwide in the French language accompanied by a special Molang display in both book stores and specialty stores in a cross promotion with French broadcaster Piwi +, including an onair competition and a social media campaign. In addition, Millimages has signed a partnership with the Charles de Gaulle and Orly Paris airports. From now through April 2018, young travelers will be entertained in all kids’ areas by Molang and Piu Piu, with episodes playing on tablets that also include the Molang game application.
SYNCHRONOCITY
Synchronicity signed multiple partnerships for Sean Danconia’s SupaPop Studios and his SupaPop universe, which combines gaming, comics, anime, cinema, and music. Rollman Entertainment signed animation development deals for two SupaPop characters, Suzy Sixty-6 and J.Soul 7. Manga Entertainment/Animatsu are also on board to develop SupaPop’s Bebe Bardo and Loli Pop together in an upcoming animated series. Additional licensees for SupaPop include Hot Properties! for buttons, stickers, magnets, can coolers, and key chains; Mighty Fine for apparel; Loungefly for bags and accessories; BareTree Media for emojis and digital stickers; Facer for smart watch apps; NeonMob for digital trading cards; Modify for watches; Floor 84 for apps; Eye5 Toys for collector figures; Sweet! for chocolate bars and candy; and The Mutinu for accessories. SupaPop chocolate bars, apparel, and prints can be found at Sweet! on Hollywood Boulevard. The TootsieRoll Candy Brands return to Licensing Expo. This year marks the third season of the Tootsie Roll Candy Brands hot chocolate and flavored Cocoa Packets, which are available in all 50 states and Canada. F84 is launching a Tootsie Pop app and BareTree Media developed digital stickers on Viber and EmojiTap. Joining more than 50 Tootsie licensees are A Classic Time Watch Co. for watches; A&A Global for redemption and vending charms, high bounce balls, and inflatables; Ad Brands for women’s, juniors’, and girls’ daywear; Amav for a working Blow Pop Factory; HueVee for decorated LED light bulbs; Just for Laughs for pet toys, hand sanitizers, and candy-shaped pillows; Riley Blake for fabric-by-the-yard; Spooler/HDLV-USA for T-shirts and sublimated leggings and socks; and Textiss/Crazy Boxers for boxers. New Jersey Turnpike (NJT) and Garden State Parkway (GSP) merchandise hit the roadway with shirts, mugs, magnets, totes, key chains, and more bearing NJT and GSP roadway and exit signs to be available at HMS Host rest stops and online. Triumph Plant’s Garden State Parkway Wildflower Seeds Mixes will let people produce their own wildflower fields that grow along the GSP. Additional NJT and GSP licensees include Changes and New York Popular for apparel, TransitGifts.com for the webstore, Brand Jose for lip balm and sunscreen, and Underground Signs for replica exit signs and decals.
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THE BRAND LIAISON
The Brand Liaison introduces licensing for celebrity, entrepreneur, and award-winning hospitality expert Jon Taffer, best known for his TV show, Bar Rescue. Licensing opportunities for the Jon Taffer brand will include tabletop and barware, food preparation, spirits, mixers, publishing, and more.
BENTON ARTS
Benton Arts seeks licensees across all categories for new Jim Benton books. Quite A Mountain: A Fable for All Ages, published by Andrews McMeel, is a journey of self-discovery, as well as a look at the ups and downs of different friendships, featuring art and gentle humor. In Scholastic’s Victor Shmud, Total Expert, there’s no telling what trouble Victor will get into with his confidence, imagination, and trusty duck sidekick Dumpylumps. Lucky for him, he has a knack for getting himself out of trouble, too. When he finds himself at the center of an intergalactic conflict, the only way out is his top-secret kitchen concoction, his teacher Mrs. Nozzleburp, and the help of his friend, Patti. The Handbook, published by Scholastic, follows a trio investigating a hidden box found in Jack’s garage when mysterious goings-on begin to occur in the neighborhood. In it, they find the Secret Parent’s Handbook and with it, all the means to subvert the irrational rules and petty tyranny of their home lives. No more clean rooms, vegetables, brushed hair, or washed hands—just video games and junk food.
ITV STUDIOS GLOBAL ENTERTAINMENT
ITV Studios Global Entertainment (ITVS GE) will showcase its portfolio of ITV-owned and third-party properties. The TV series Thunderbirds Are Go continues to expand its global footprint and has aired in more than 40 markets. Recent collaborations for the show include Bernard Matthews’ turkey nuggets in the shape of the Thunderbird vehicles, and a new range of adventurewear for kids with outdoor retailer Regatta. The launch of the mobile game Parker’s Driving Challenge reached more than 2 million downloads within the first few weeks and was featured in Top 5 charts in multiple markets. ITVS GE adds Robozuna, a Netflix Original animated series in which 14-year-old Ariston and his homemade robot sidekick Mangle attempt to free their oppressed nation from an evil empire. Robozuna will debut on Netflix worldwide next year, and in the UK after its premiere on CITV, with licensing opportunities to follow the broadcast. This year, there will also be a new interpretation of Watership Down. The four-part, CGI-animated mini-series is a reimagining of Richard Adams’ 1972 novel and a co-production between the BBC and Netflix. The series will feature the vocal talents of James McAvoy, John Boyega, Sir Ben Kingsley, Olivia Colman, Nicholas Hoult, Miles Jupp, Freddie Fox, Anne-Marie Duff, and Gemma Arterton, and will be written by Bafta-nominated Tom Bidwell. ITVS GE seeks licensees for the series. ITVS GE will also showcase opportunities for Gerry Anderson’s Supermarionation brands, including the original Thunderbirds, Stingray, Fireball XL5, and Captain Scarlet, which celebrates its 50th anniversary this year. To celebrate the anniversary, ITVS GE will launch a range of limited-edition anniversary products. Thunderbirds was recently in the UK media in a major marketing and TVC campaign starring Parker and Lady Penelope for Halifax bank. The TV ad premiered to 6 million UK viewers during Ant & Dec’s Saturday Night Takeaway in March. The campaign continues in branch, online, and with posters at more than 1,700 sites nationwide. The ITVS GE team will also showcase British drama series such as Poldark and Victoria, following ratings success in multiple territories. Additionally, ITVS GE is a full-service licensing agent in the UK for a roster of third-party brands, including Oddbods, Super 4, and Village People. Thunderbirds Are Go
Summer 2017
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THE CURRIER AND IVES FOUNDATION
The Currier and Ives Foundation signed two licensees to kick off the launch of the brand’s holiday licensing program. McSteven’s Inc. will introduce hot cocoa gift sets for this holiday season and International Greetings USA will produce gift bags, gift tags, and boxed notecards for next holiday season. The Currier and Ives brand is steeped in Americana and features homestead scenes from the 19th century. Founded in 1857, the archives contain more than 7,500 images, all of which depict American life during the 1800s. Additional categories available for licensing include home decorative accessories, dinnerware, glassware, table linens, woven throws and pillows, candles, holiday-themed merchandise, and framed prints.
NELVANA
Dark Horse Comics, the largest independent publisher of comics, signed a multi-year deal for comics and graphic novels for Mysticons. The deal, under Nelvana, has Dark Horse distributing a range of comics and graphic novels throughout the U.S., Canada, and the Americas. The first release is planned for next spring.
DC Super Hero Fine Art
ART BRAND STUDIOS
Art Brand Studios licenses the artwork of Marjolein Bastin, Eric Dowdle, Thomas Kinkade, and Thomas Kinkade Studios. Thomas Kinkade’s images depict gardens, cottages, estates, cityscapes, plein air, holiday scenery, and commemorative American landmarks. Thomas Kinkade Studio Artists paint in the Thomas Kinkade style with attention to detail and an appreciation of the way a picture can tell a great story. In partnership with Warner Bros. Consumer Products, Art Brand Studios will launch the DC Super Hero Fine Art program by Thomas Kinkade Studios. Marjolein Bastin’s artwork draws inspiration from nature. Marjolein Bastin offers collectors a reminder to allow nature to be a source of serenity, energy, and healing. Eric Dowdle is the newest addition to Art Brand Studios’ artists. Dowdle developed a fascination with folk art as a way to bring together values, such as his love of family, country, and humor. Dowdle’s portfolio includes works from his travels and can be seen on the second season of Painting the Town with Eric Dowdle, distributed worldwide on the BYUtv network. Art Brand Studios’ expansion plans include partnerships with talent while leveraging its roster of licensees and network of art galleries. It is pursuing licensing partnerships in home décor categories such as bedding and dishware, as well as apparel, seasonal, gift, and collectibles for artist properties.
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JEWEL BRANDING & LICENSING
Jewel Branding & Licensing is the exclusive licensing agent for the Scandinavian heritage brand and retailer Finlayson in North America. The prints are available for licensing in categories including home textiles, stationery, accessories, fashion, and gift. Rongrong DeVoe’s categories available for licensing include Mia Charro stationery apparel, fashion accessories, cosmetics, stationery, gift, tabletop, home textiles, and luggage. Mia Charro’s designs have been licensed for products including greeting cards, stationery, calendars, home décor, handbags, and prints. Jewel Branding seeks licensees in all categories. Home and lifestyle brand heirloomed features aprons, table linens, ceramics, wooden tabletop pieces, and home textiles, available in specialty shops nationwide. Categories available for licensing include gift, stationery, tabletop, and craft. New York Botanical Garden (NYBG) partnered with Frontgat to offer reprints from the Rare Book and Folio Collection in the Botanical Garden’s LuEsther T. Mertz Library. Additionally, Clarkson Potter signed for stationery and journals, Pomegranate for puzzles and stationery, and Willow Creek Press for calendars. Other categories include apparel, home textiles, food and beverage, and gardening products. As the exclusive agent for Hang Ten home categories in North America, Jewel Branding secured master licensee CHF, which will introduce core bedding and bath items. Jewel Branding seeks additional partners for tabletop, housewares, furniture, lighting, and home décor. Interior designer Nikki Chu launched the social media campaign #designerbeddingmakeover, featuring videos of Chu making over bedrooms for celebrity clients. Categories available for licensing include furniture, bath, home décor accessories, tabletop, fabric, and lighting. Antik Batik expands, with products available at Bergdorf Goodman, Barney’s, Neiman Marcus, Nordstrom, Net-a-porter, Fred Segal, and Shopbop. Categories available include footwear, jewelry, eyewear, fragrance, children’s apparel, home furnishings, and tabletop. Vans launched Bouffants & Broken Hearts’ (B&BH) Kendra Dandy x Vans collaboration, with Dandy’s art on apparel, footwear, and accessories. Trimcraft launched Kendra’s Kiss & Makeup crafting collection, and Kendra’s Maker’s Collective bedding launched online at Bed Bath & Beyond and Macy’s. Categories available include apparel, fashion accessories, cosmetics, stationery, and home décor. Poetic Wanderlust by Tracy Porter is available at Nordstrom’s, Neiman Marcus, Bloomingdale’s, Bed Bath & Beyond, Dillard’s, and Macy’s. Categories available for licensing include apparel, footwear, fashion accessories, and health and beauty. Additional brands available for licensing opportunities include Catalina Estrada’s collection, Clairebella, Rachael Hale, Shell Rummel’s collection, Collier Campbell design house, and Valerie McKeehan’s Lily & Val.
THE BUFFALO WORKS
Kathy Ireland Worldwide (kiWW) selected The Buffalo Works, a full-service licensing agency, and Larson-Juhl to create a collection of branded art and wall décor for the home. The Buffalo Works will work with kiWW to curate, develop, and market the art program, partnering with Larson-Juhl as the exclusive supplier. The Buffalo Works also recently formed a partnership with Art Brands Studios to secure selective new and diverse licensing partners for properties such as Thomas Kinkade and Marjolein Bastin. The Buffalo Works will tap product categories for these artists—in which their work is not currently licensed—to assist in building their brands in the marketplace. The art licensing division of The Buffalo Works expanded significantly with recent additions of artists such as Steven Brown, who has amassed more than 270,000 followers on Facebook and other social media channels. Tiffani Taylor launched a refreshed lifestyle collection that is modern, but classically rooted in tradition. Other artists in the Buffalo Works’ portfolio include Paul Brent, At Peace, Gapchinska, Kevin Daniel, Cory Carlson, Tom Antonishak, Debbie Arambula, and Nancy Wernserbach. “Francie & Josie McZoo”
Summer 2017
CREATIVE LICENSING CORP. Creative Licensing Corp. will showcase a slate of films, including Bill and Ted’s Excellent Adventure, Evil Dead 2, Halloween, First Blood, The Terminator, Terminator 2, and This is Spinal Tap. New to Creative Licensing, the Revolution Studios library includes Black Hawk Down, Rent, White Chicks, and XXX. Creative Licensing seeks worldwide partners in all categories, with a focus on live events. New licensing partners include William Hill for a Bill and Ted’s online slot machine, currently available; GameCo for a Terminator 2 casino game; and Space Goat for a The Terminator board game.
Terminator 2 casino game
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WIT STORIES
s e i r o WITSt
The Licensing Book chats with six licensing industry entrepreneurs about productivity, challenges, and how they got into the licensing industry. JOAN PACKARD LUKS Founder/Principal, The Serenta Group & The ThinkTank Emporium WIT Member: 15 years What route did you take to get into the licensing industry? My route to licensing was purely by accident. Years ago, I accepted a job to handle licensing at Colorforms, the original classic vinyl stick-on activity sets. I honestly did not know what licensing was all about, but I learned quickly thanks to my mentor, Joshua Kislevitz. After years on the licensee side of the business, I took a leap of faith and became an independent licensing agent. I realized my interests gravitated toward children’s properties, and I look for intellectual properties that have the potential to be developed across various media and consumer products. Tell us a great story about one of the brands you’ve worked with. The brands I work with are usually start-ups and I work with my clients not just as an agent, but also as their licensing coach to introduce them to the world of licensing and teach them “Licensing 101.” The properties I am currently working with are original and unique. I am very excited to represent three new properties from the UK: Super Geek Heroes, Arty Mouse, and Tiny Tusks targeting the preschool to kindergarten set; ME! Humanity, a fabulous social media brand launched in South America; NAWI, the dinos for good, teaches kids to be eco-friendly and turn their “junk into treasures;” and Purple and Nine, a tween brand focusing on STEM. Each is refreshingly original, and this makes it exciting for me to present to potential licensing partners.
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What are the challenges that face the licensing industry today? The licensing industry is a competitive one. Both licensees and retailers want the properties with strong brand awareness to ensure sell-through. Thus, there are brands today with which my kids grew up. I sometimes wonder, though, where is the vision and imagination for companies to work with a new property and help to nurture it? Tell us about a hurdle you faced and how you got over it. The hurdle I face goes with the challenge of presenting newer brands. How do I get over it? I do not give up. I believe in the properties I represent and persevere. A favorite anonymous quote of mine stays with me: “The door of opportunity won’t open unless you do some pushing.” I keep pushing. What are your top tips for someone wishing to get into the licensing industry? Network, network, network. Love what you are doing. Be patient. What’s your favorite productivity tip? Every day is a new beginning. Get up and keep going.
LISA SHAMUS President, Lisa Shamus and Associates WIT Member: Six years What route did you take to get into the licensing industry? I worked in children’s fashion for a company that held various designer licenses. I
was intrigued by the idea and applied to The Walt Disney Co., and started my licensing career in 1991. Tell us a great story about one of the brands you’ve worked with. My favorite success story was taking the license for the movie Ted. Who in their right mind would take a license for a line of R-rated plush/toy merchandise? I saw beyond the barriers (which were considerable), and built a line of toys for this incredibly successful movie. We broke with tradition and built this megahit without the tried-and-true toy mass merchants. My proven success with unique and nice properties such as South Park and Marvel Comics enabled us to create a totally unique, and wildly successful toy line for Ted. What are the challenges that face the licensing industry today? The biggest challenge today is distribution and retail partners. It is also the greatest opportunity. With so many ways to reach consumers, the smartest licensors and licensees will know where their customers are and how to most efficiently reach them. Tell us about a hurdle you faced and how you got over it. The biggest hurdle I ever faced was taking a license that was a disaster. One learns that not everything is always a home run. And, sometimes, what you think will at least be a single is a total strikeout. What are your top tips for someone wishing to get into the licensing industry? If you want to be in licensing, you need to be an out-of-the-box thinker. You need to be confident enough to try a different model, find unique partners, and believe in what you are buying or selling.
Summer 2017
What’s your favorite productivity tip? Respond to every email once you open it. I call it “one and done.” Don’t touch any email or piece of mail twice. If you don’t have the time to do it now, don’t open it. ALITA FRIEDMAN CEO, Alita’s Brand Bar WIT Member: 11 years What route did you take to get into the licensing industry? I started my career as a CPA with a Big 8 Accounting Firm working on entertainment and manufacturing accounts. Fast forward 15 years later, I took on an incredible opportunity to build out the Uglydoll toy brand with the creators and financial founders. Once we had manufactured an incredible line of toys and solidified terrific retailers, a super fan and collector following, and an entertainment strategy, we entered into the world of brand licensing. Today I’m extremely passionate about driving revenue through creative extension strategies for both new and existing brands. Tell us a great story about one of the brands you’ve worked with. One of my best stories started when Gene Simmons walked into our Licensing Show booth, requesting to collaborate and create a line of KISS Uglydoll merchandise. More than two years later, I saw him with his band backstage at their concert and personally handed them the dolls. I wanted to “rock and roll all night” and I sure did! What are the challenges that face the licensing industry today? Today’s retail competitive landscape is tougher and more challenging than ever. Fewer physical retail stores means less shelf space for all of the new products being pitched. The drop-in store traffic is weakening sales, and consumers aren’t buying as much as they used to, while profit margins keep shrinking. These are tough times for most. Every aspect of the brand cycle must operate effectively in order to win at licensing. You need to have a strong, trusted brand with a substantial following and staying
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power, accompanied by a well-funded comprehensive marketing plan, and partners who are willing to take a risk. It’s very difficult and expensive to maintain all of these aspects, especially for emerging brands. Despite these challenges, the research still shows that people like to buy branded merchandise and will pay more for it. Creativity, collaborations, brand experiences, and consumer engagement can address some of these challenges. Tell us about a hurdle you faced and how you got over it. Trying to balance a career, family, and household is always going to be a hurdle. Every new school year, the challenge was maintaining a leadership position while figuring out what help was needed to run the household and family schedules. Support from family, friends, and co-workers was always appreciated. What are your top tips for someone wishing to get into the licensing industry? I’d suggest working in an industry that you’re passionate about, read the trades, and attend Licensing Expo or other trade shows to really get an opportunity to network. Then investigate either working within an organization that owns or licenses brands in or out. Licensing is really just one aspect of the brand’s revenue and product lifecycle. The most important tip is working with brands you’re passionate about. What’s your favorite productivity tip? I find a morning routine maintains productivity—a workout, quick review of the news, then I’m ready to work. Apps and cloud storage are important to keep productive digitally. I’ve been able to eliminate about 90 percent of all paper, whereas I used to print, file, and save everything. JOAN GRASSO VP-Licensing, North America, eOne Family WIT Member: Five years What route did you take to get into the licensing industry? I was a marketing major and landed at a
division of Mattel working on licensed toy brands. I was so interested in the industry so I made a transition to the licensing side of the business about halfway through my career. Tell us a great story about one of the brands you’ve worked with. Peppa Pig is one of the most fascinating brands I have worked on. It is an unusual property in that it is successful in every territory where we have a program around the world which not many other brands can say. When first launched in the U.S., the program was small and was not as strong as some of the competition. It was hard to get anyone’s attention or close licensing deals in an effort to build the program. About three years in, we received stronger broadcast support, which had a direct correlation to strong sales results. We began to see the property build slowly over time. Needless to say, the property is now one of the largest preschool brands in the market and continues to perform well at retail. It just goes to show that a little patience and a lot of perseverance go a long way in this business. What are the challenges that face the licensing industry today? There is so much new content being launched in an already crowded space, even though there are more options for broadcast placement now. But to make things even more challenging, we continue to see the retail landscape erode. You have to be creative and have forward thinking in your approach to building your brands in order to overcome these obstacles. Tell us about a hurdle you faced and how you got over it. I come across hurdles every day in my current role. The best way to overcome any obstacle is to weigh out your options, choose
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WIT STORIES allowed me to experience those favorites on another level.
what you believe to be the best course of action, and follow through on that. If you remain focused, you will be able to attain your desired goal. What are your top tips for someone wishing to get into the licensing industry? Network and speak to as many people as you can about what is happening in the market. I’ve learned so much about the current state of our industry just by talking to colleagues and business partners. Making connections and staying in touch with your contacts is crucial to being successful in any business. What’s your favorite productivity tip? Check email only two or three times a day. Otherwise, you will become a slave to it and never tackle those big projects, which are most critical to creating a successful brand or property.
JADYN ROSARIO Director of Licensing, Percy 3DMedia, Inc. WIT Member: Two years What route did you take to get into the licensing industry? It was something I stumbled upon unexpectedly while working in marketing for a previous employer, and I fell in love with it immediately. Tell us a great story about one of the brands you’ve worked with. I have been lucky to work with a lot of amazing brands, and would be remiss to not call out each of them. Partnering with the companies that helped shape my childhood has
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Tell us about a hurdle you faced and how you got over it. Perhaps it is the nature of the digital world now, but I think what has been most challenging is breaking barriers between digital and traditional consumer product models. Accessibility to key decision makers and clear communication from the very beginning are crucial in helping push across the finish line. What are your top tips for someone wishing to get into the licensing industry? Network, network, network. There is so much value in face-to-face interaction. Attend as many events in person as you can, be open and willing to learn, be honest, and don’t be afraid to ask questions. This industry is full of experts who are more than willing to provide guidance or make a connection. Licensing Expo is hands-down my favorite show of the year, and invaluable to anyone who wants to be active in the industry. What’s your favorite productivity tip?. I like to keep an attainable list of tasks to tackle in the morning, and save a majority of emails for later in the morning or early afternoon. There will always be a fire or two, but having a focused list of what you need to accomplish for the day will be less overwhelming. JANICE ROSS Business Development and Head of Global Licensing, American Greetings Entertainment WIT Member: Four years What route did you take to get into the licensing industry? I started my career in the entertainment industry as a development executive and quickly discovered a passion for commercializing great storytelling and content. I pursued my passion further in the promotions, marketing, and licensing industry where I was able to successfully utilize my diverse but complimentary business background.
I’ve been so fortunate to work on Care Bears, not only because it’s a beloved evergreen brand, but I also genuinely believe in the brand’s message of sharing and caring. It’s exciting to see how today Care Bears are resonating with adults who grew up with the brand, and making new connections with another generation of kids. I recently experienced this during North American International Toy Fair when we took a costumed character through the streets of New York City for a photo shoot to celebrate the brand’s 35th anniversary. People of all ages couldn’t resist giving our life-size Cheer Bear a hug. It was clear that today, more than ever, the Care Bears’ emotional connection and message of caring has never been stronger! What are the challenges that face the licensing industry today? It continues to be a challenge to get licensed product on shelves at retail and then breaking through the clutter. Brand owners need to channel that challenge into an opportunity with innovative consumer offerings from branded pop-up shops and creative collaborations to unique capsule collections available at less conventional locations, such as museums and airports. Tell us about a hurdle you faced and how you got over it. We were recently challenged with getting product into a specialty retailer. We worked with a group of our licensees on a product presentation that gave this retailer an exclusive and highly unique capsule collection, which in the end got us the distribution. What are your top tips for someone wishing to get into the licensing industry? Learn about the industry through licensing trade publications so you’re knowledgeable about the business. Next, connect with organizations like WIT to find a mentor. It’s so important to build a network of individuals who can help at each stage of your career. What’s your favorite productivity tip? I’m a big fan of Evernote—it allows me to track and search my meeting notes for easy follow up. ••••
Tell us a great story about one of the brands you’ve worked with.
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OF COUNSEL
NAVIGATING 3-D PRINTING AND IP LICENSING by HOWARD N. ARONSON, managing director, Lackenbach Siegel LLC RUMORED TO BE “DISRUPTIVE” TECHNOLOGY that would make enforcement of intellectual property rights difficult—if not impossible—3-D printing has turned out to be a tempest in a teapot. Estimated annual losses of hundreds of billions of dollars in intellectual property worldwide in the next 10 years are looking more dubious. But the long-term implications of 3-D printing for owners of valuable intellectual property (IP) are unclear. For owners of IP, licensing may be a way to take control of at least some aspects of this phenomenon. WHY SELL HARDWARE WHEN YOU CAN SELL SOFTWARE? For companies that already license their products— whether protected by trademark, copyright, patent, or trade secret law—licensing digital files of products rather than the products themselves may prove to be more profitable. These companies could become sellers, or licensors, of data, instead of makers and sellers of things. In other words, manufacturers may find it more profitable to license or sell digital files as 3-D printing spreads, including customized data files for products, rather than to mass produce products themselves. Only non-functional objects and their digital files can be protected, however. Just as copyright law does not protect a useful article alone under the functionality doctrine, neither does copyright law protect digital files for 3-D printing of such functional objects. Only the separable non-functional and original elements of a resulting product could be protected. But, a digital file of a copyrighted work likely could be protected. ON THE OTHER HAND—WHY PAY FOR IT WHEN YOU CAN PRINT IT YOURSELF? Customers may attempt to work around IP protections through IP theft—3-D printing of products that are substitutes for the manufacturer’s products. To protect themselves against IP theft, companies must find a way to make their licensed products worthwhile
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for customers, and more valuable than making their own on a 3-D printer, or obtaining unauthorized 3-D-printed copies of the products. With 3-D printing, IP owners “To protect face the daunting task of pursuing individual infringers— themselves against often customers of at least some IP theft, companies of the manufacturers’ products— as in the music industry’s ill-fated must find a way to attempts to shut down teenage make their licensed file-sharers. Attracting customers with products worthwhile value-added opportunities to for customers, and acquire 3-D-printed products legally may be the only practical more valuable than alternative to enforcement for making their own IP owners. Not only is it difficult to on a 3-D printer, enforce IP rights against indior obtaining viduals’ home 3-D printing, but there may also be few potential unauthorized commercial licensees. 3-D printer 3-D-printed copies manufacturers and sellers have little incentive to pay for licenses of the products.” because it is unlikely they could be held liable for contributory infringement. That’s because 3-D printers, unlike the peer-to-peer file-sharing program for computers in the MGM v. Grokster case, are capable of substantial non-infringing uses and thus are protected from liability for contributor infringement under current law. But potential licensees could include fabricators and distributors. As the parties that actually “print” and sell the IP-protected products, they could be held liable for infringement, and therefore have an incentive to license the works. Such fabricators and distributors may be willing to license software that would design, scan, and manufacture products, handle security and authentication of products, and perform other services such as digital rights and managing files.
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OF COUNSEL THE REAL THING The assurance of brand identity, product quality, and speed of service, along with protection from legal liability, should provide sufficient incentive for business customers and end users to pay a premium for a licensed product rather than seek out a counterfeit. The power of a brand name may remain great, in spite of the ability to 3-D print an imitation. For the toy industry in particular, performance and safety—often a matter of federal regulation—may be especially important for “The fundamental business customers and the end user. Sports equipment, advantage machinery, and other products with which safety is paramount of licensing may also be profitable areas remains that the for licensing. In the end—or at least in licensor retains the middle—it may turn out ownership, that consumers are willing to pay a premium for the usually making it genuine brand, instead of a easier to reverse counterfeit.
the transfer of rights if the licensee fails to perform its end of the bargain.”
I WANT IT MY WAY One way to add value to companies’ digital files for products is through providing software that can be used to customize products. The processes for that customization may be protectable as a trade secret, and, in some cases, by copyright. Companies thus could profit from licensing the software and processes for such customization and some have already taken this or similar routes in licensing. In the toy market, companies have begun to license their copyrightable toy designs for 3-D printing, so that toys can be printed on 3-D printers and also so that licensees and customers can create customized versions of the products. Whether this licensing can continue to be profitable for companies is uncertain. After all, with 3-D printing, making knock-offs can still be cheaper and easier than licensing rights or purchasing the genuine articles. KINDS OF LICENSES The 3-D printing license would most often take the form of an unrestricted non-exclusive license. Under such agreements, the licensing designer of the digital file grants unlimited rights in the digital data file. Typically, digital files would be uploaded to a library. Subscribers to the library would then receive unlimited rights to download and 3-D print the design. Open source licensing has become another popular
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approach—though this generates no profit for the IP holder. Under open source licensing, the design is provided at no charge to users, subject to restrictions on how the users must give credit to the designer, and how the users may or may not profit from the sale of the underlying object to be printed. Over time, whether by choice or necessity, certain promotional toys or promotional “swag” may fall into this open source licensing category as well. THE NUTS AND BOLTS The fundamental advantage of licensing remains that the licensor retains ownership, usually making it easier to reverse the transfer of rights if the licensee fails to perform its end of the bargain. If your company does choose to pursue licensing agreements in the 3-D printing arena, remember that the principles of IP licensing still apply. Your IP counsel will advise you on how to structure an agreement that protects your rights. DRESS UP With regard to trademark licensing in particular, which will be the subject of many toy-related 3-D printing license agreements, it is imperative that the licensor understands that unrestricted use of a licensed mark without control by the owner can result, under U.S. law, in the loss of trademark rights by abandonment or cancellation. Agreements that fail to address the licensor’s ability to practice quality control are referred to as “Naked Licenses”—“naked” because they do not include the necessary quality control language. Examples of appropriate language are licenses that require licensees to submit drawings or prototypes of products to be marked in connection with the trademark licensed, and further require the licensee to periodically submit production samples of such products. Licensors usually retain the right to approve or disapprove of the quality of the overall product, its design, and the manner in which its trademark is used on or in connection with the product. Licensees are forbidden from marketing products that have not been approved. In fact, quality control provisions are valued so highly by licensors that these terms are rarely negotiated points in license contracts. ••••
Howard N. Aronson has for the past 30 years provided legal counsel to toy industry companies. He is the managing partner of Lackenbach Siegel LLP, an intellectual property law firm recognized for its nine decades of handling toy company issues. Grateful acknowledgement is extended to Eileen DeVries, Counsel at Lackenbach Siegel. Contact Aronson at HAronson@ LSLLP.com or (914)-723-4300.
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Contact: Jonathan Samet: jsamet@adventurepub.com – (212) 575.4510 x. 2321 Laurie Schacht: thetoyinsidermom@gmail.com – (212) 575.4510 x. 2320