In today's consumerist society, people are continually bombarded with branded product, and yet few stop to think that most of it is manufactured under license.
For those new to licensing, here is a brief explanation of how it works...
Brand Licensing involves leveraging the positive associations of an entity. The entity can take many forms - entertainment (think 'Twilight'), fashion (Ralph Lauren), sports (FIFA), celebrities (Martha Stewart), art (Andy Warhol) or brand trademarks (Coca Cola) - which is the largest category. The Licensee leases the right to use elements of the brand property (it's name, likeness, logo, graphic, saying, signature, character, or a combination) on their product, service or promotion, for a defined time period within an agreed territory. For example a bedding manufacturer might obtain a license from Mattel to produce Barbie duvets in the UK for the three years. In exchange, the manufacturer (the Licensee) will pay Mattel (the Licensor) an agreed percentage of revenues generated on each sale.
Licensing is an inherently creative business. It's all about envisioning opportunity and creating value, whether it be as:
- A Licensor - developing a brand opportunity
- An Agent - identifying a new product category or co-branding partnership
- A Licensee - designing and producing merchandise
If you would like to explore Licensing with Dissero Brands, please contact us