the pitfalls of brand licensing
DESCRIPTION
Wouldn't it be great to avoid these common pitfalls that often plague licensing programs? If we only knew, we could have saved all that time, money and hassle. Instead, we walk into the same mistakes everyone else makes. The biggest cost to an organization when this happens is often not the time or the money. Rather, it is the loss of momentum and commitment to the licensing program. What was supposed to have had a positive return on investment now has a neutral or possibly a negative one. This can often lead to an untenable situation with contractual strings attached. The following slides are an abridged section from our webinar series “How to Build Your Brand Licensing Dynasty” To purchase the complete webinar and series with audio visit www.BrandLicensingExpert.comTRANSCRIPT
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The Pitfalls of Brand Licensing
The following slides are an abridged section from our webinar series
“How to Build Your Brand Licensing Dynasty” To purchase the complete webinar and series with audio
visit www.BrandLicensingExpert.com
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Brand Licensing Pitfalls1. Biting off more than you can chew• Provide sales projections that are realistic
numbers versus “best case scenario” numbers• Projections are used to:– Develop minimum sales targets and royalties– Ultimately develop the contract agreement
• A licensee could get into trouble agreeing to “any” terms to get a license
• If a licensee fails to meet sales targets, the licensee could be in breach of the contract
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Brand Licensing Pitfalls4. Licensee DO’s• Custom design the attributes
of the brand into your product• Treat the licensed category as
if it were your own• Follow the brand’s style guides
carefully• Develop a licensed product
you would be proud to retail
4. Licensee DON’Ts
Logo Slap
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Brand Licensing Pitfalls6. Not knowing the contract• Educate those beyond the ones who negotiated the
contract (typically CEO, CFO) on the contract terms– Sales– Marketing– Product Development– Design
• Unknowledgeable can unknowingly strain the licensing relationship and ultimately resulting in termination of the contract
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This has been a snippet from our webinar series “How to Build Your Brand Licensing Dynasty”
To purchase the complete series with audio visit www.BrandLicensingExpert.com