What is brand licensing strategy?
Licensing Program Strategy Brand licensing is an extremely successful and lucrative business strategy used across industries to broaden revenue sources and create brand awareness. Brands rely on third-parties to distribute products and reach markets they might not have access to.
How do I license my own brand?
How to license your brand
- Protect your intellectual property. Protecting your intellectual property (IP) is one of the most important factors behind licensing your brand.
- Do your research. Licensing your brand isn’t a one-and-done process.
- Set terms and restrictions.
What is the purpose of brand licensing?
Through a brand licensing agreement, the owner of a brand (trademark)- the licensor- can allow third parties- the licensees- to use their trademark on pre-defined products under certain conditions in return for a royalty payment.
What are the benefits of licensing your brand?
The benefits of brand licensing
- Enhances the brand image and grows the value of the brand.
- Increases awareness of the brand and its core products.
- Reinforces brand positioning and brand message.
- Attracts new consumers to the brand.
- Builds competitive advantage.
- Builds stronger relationships with customers.
What are examples of brand licensing?
An example of a brand licensing agreement includes Reese’s, who knew the large market for peanut-based chocolates, but instead of trying to create the products themselves, they licensed their brand to other manufacturers. They gave the license agreement to Betty Crocker, who had experience and expertise in the field.
How do you get officially licensed products?
First Steps
- Identify the owner of the trademarked merchandise you want to sell.
- Identify the demographics that will pay you money for the licensed merchandise.
- Obtain permission from the owner of the trademark to sell the goods.
What is brand licensing and examples?
What are the pros and cons of brand licensing?
Advantages and Drawbacks of Licensing Intellectual Property
- Income without overhead.
- Potentially better marketing.
- Enter foreign markets more easily.
- Diffuse conflicts.
- Risk of IP theft.
- No guarantee of revenue.
- Unintended competition.
- Risk of diminished reputation.
Can you resell a licensed product?
Generally, it’s not illegal to resell an item that you have legitimately purchased. Once you have purchased something at retail it is yours to do with as you choose. Manufacturers tend to have little or no control over a product past the first customer they sell to.
What are some examples of licensing?
Examples of licenses include a company using the design of a popular character, e.g. Mickey Mouse, on their products. Another example would be a clothing manufacturer like Life is Good licensing its designs and brand in a certain country to a local company.
What is an example of a licensed brand?
A good example is Toyota and Lexus; the Lexus brand was introduced by Toyota into the US market because in that market, the Toyota brand was viewed as a value brand. Another example is where a manufacturer will allow a store, such as Walmart or Sears, to have their name on their product.
Can I resell Disney products?
Copyright and trademark law says that you can’t make Disney items without a license. However, buying items, then reselling them is legal under the first-sale doctrine – you don’t need anyone’s permission.
What is an example of licensing?
Licensing agreements generate revenues, called royalties, earned by a company for allowing its copyrighted or patented material to be used by another company. Some examples of things that may be licensed include songs, sports team logos, intellectual property, software, and technology.
Can I sell Disney inspired products?
You cannot legally make and sell any product with Disney lyrics, quotes, or characters on it without permission from The Walt Disney World Company.