de kracht van licenties
DESCRIPTION
Een merklicentie is de toestemming van de merkhouder aan anderen om zijn merk in een bepaald gebied onder bepaalde voorwaarden te gebruiken, in de meeste gevallen tegen een afgesproken financiële vergoeding.TRANSCRIPT
Ronald Crawford
‘Verlies uw merk niet uit het oog!’
30 september 2010
Structuring a Licensing Strategy
Licensing objectives
To generate additional consumer touch points for the trademarks
To increase trademark awareness beyond the traditional aisle
To compliment and enhance key marketing messages
To create additional income from licensing activity
Develop new consumers
How do you decide what products to develop?
Work from core brand values
Brainstorm, then be sensible
Match with consumer perceptions
Sequential and logical extension from the core
Develop new customers
Few great leaps
Dart board approach
Consumer must understand the link between the core brand and the licensed product
Can’t lead – must follow
Commercial realities
Can only license what consumers are prepared to buy and retailers are prepared to sell
Major retailers control significant share of the market
Distinguish between approach to ‘giveaway point of sale material’ and potential licensed product, e.g. Arsenal bags
Products and launches
Market positioning:
Price/Quality Specification
Volume
Inferior PQS, unbranded high volume, price driven
Branded mainstream, good volumes, accessible prices, added value, superior specifications
Prestige brands, low volumes, high margins, low consumer accessibility, overspecified
Financial benefits
Royalty revenue goes straight to bottom line:
No capital costs of manufacture
No stock costs
Overheads largely confined to salaries and legal fees
Choosing the right partner (1)
Ability to achieve required positioning
Product development capability
Distribution capability
Marketing capability
Financial security
Shared vision
Enthusiasm
Choosing the right partner (2)
The right partner is not always the No. 1 or No. 2 in the market. The best partners work on a win-win basis
For example Danilo for Calendars
Appropriate distribution channel
Mirror positioning of core brand
Extend through examining distribution of new product type
Alternative distribution – internet – mail order
Legal support: Enable licensing strategy
Partnership between Legal Team, Internal Licensing Team and Novagraaf
Risk analysis: Focus - key brand/market combinations
Co-existence Agreements
Database management
Reporting tools
Overcoming obstacles
License Agreement Process
Deal proposal received
from Licensee and
reviewed/signed by
Licensing Team/Novagraaf
Deal proposal received
and signed off
by Marketing
Deal proposal received
and signed off
by Senior Management
Novagraaf draft
Contract agreement and
send to licensee
for review
Contract signed by allNamed parties
Licensing agreement (1)
Key elements of negotiation
The Rights – Trademark and/or other imagery licensed
Licensed Articles – Avoid defensive licensing, i.e. licence only for products licensee will produce
Term – normally 3-5 years. Dependant on required investment by Licensee
Licensing agreement (2)
Territory – only for countries where Licensee has distribution
Advance – dependant on forecast
Royalty – dependant upon margin Varies from 3% (high volume, low margin business) to 10% - wholesale value
Policing the agreement
Key control mechanisms
Contract:
o Sign off on all artwork, packaging, point of sale
o Approval of location if, e.g. restaurant
o Choosing the right Licensee with shared vision for brand and developing an effective business relationship with Licensee is the key to success:
• Control of parallel imports
• Income reports – when to audit
Control Measures
Brand Guidelines for Licensees
All licensees are briefed on Social Responsibility and agree to support this initiative
Licensees adhere to anti-counterfeiting strategy
All products are compliant with the Code of Conduct and the Corporate Social Responsibility guidelines
Regular audits of Supply Chain
Regular licensing income audits
Summary
How we can help?
Licensing strategy
Commercial practicalities
Choice of Licensing Partner
Audit support to manage licensing income
Legal support to help shape and implement strategy
Case Study - Arsenal
Mission Statement:
Generating, Capturing and Delivering the most valuable ideas while maintaining the true essence of Arsenal.
Original Licensing Strategy (1)
Develop new relevant product ranges and product areas
Increase distribution in the UK
Develop key international markets
Maximise the value of brand on licensed product
Original Licensing Strategy (2)
Develop new relevant product ranges and product areas
Increase distribution in the UK
Develop key international markets
Maximise the value of brand on licensed product
Achieved
Original Licensing Strategy (3)
Arsenal’s position as one of the world most recognized brands presents a strong opportunity in football related licensed products
Football market fragmented with no umbrella or dominant brand even though Manchester United have a major foothold
Arsenal’s position as global football brand provides a natural link to toys, clothing, books & ultimately sports performance products
Link Arsenal’s brand position with product innovation, product quality and good design via the best licensees globally
The Opportunity
Biggest market for licensing is North America
Brand values solid but not driving desire to purchase
Need to develop younger, softer & more emotive values and a stronger bond with consumers outside the UK whilst reinforcing existing brand values
Maintain look and feel of the Arsenal’s product
How can the Arsenal’s success be translated for a consumers outside of Football?
Brand Challenge
Current and Future Earnings
Conclusion
Licensing is a more complex business than it appears
A coordinated approach is required, encompassing:
o Research
o Selection of correct partner companies
o Strong control/inspiration of product
o Integrated retail initiatives
o Implementation
o Centralized PR and promotional support
o Co-ordinated international rollout and
Novagraaf IP Management and Consulting Services