Royaltie$, August 2009

PR SR T ST D U. S. POSTAGE P AI D LEBANO N J UNC TI ON, K Y PER MI T NO. 499

Volume 4, No. 8

August 2009

Features 22

BY

NANCY LOMBARDI

24 BY

Licensors Tap into Fashion’s Cycles

CHRIS ADAMS

26 BY

Growing Organically into Consumers’ Awareness

Apparel Licensing: Licensor Roundup

CHRIS ADAMS

Departments

OBSERVATIONS & OPINIONS

PAGE

4

THE TICKER

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6

REAL DEAL

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10

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12

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14

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16

GEOFF ROSENHAIN

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INDUSTRY OUTLOOK: NEW EUROPE

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20

YOU’RE HIRED!

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34

ROYALTIE$ CHALLENGE

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36

CALENDAR

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38

PAGE

39

ESSENCE

OF

ON

RADAR

THE

STYLE

ROYALTIE$ MARKETPLACE: GUMMY BEARS MAVERICKS

30 BY

Good Deeds, Good Brands

PAUL NARULA

IN THE

OF

MARKET:

EVENTS

ENDCAP

32 BY

Cause-Related Licensing: Licensor Roundup

PAUL NARULA

ON THIS PAGE: (left) a onesie by Organically Grown and Kids Headquarters and (right) a jacket from JH Designs’ Mars-licensed urbanwear line

ON THE COVER: Mighty Fine celebrates Peanuts’ 60th anniversary by integrating Charlie Brown, Snoopy, Woodstock, and friends into its MAGIC trade show campaign.

COVER BY DESIGN EDGE

www.aNbMedia.com PUBLISHED BY ANB MEDIA • Volume 3, Number 8

T

PUBLISHER ANDY KRINNER ANDY@ANBMEDIA.COM

by Andy Krinner

ASSOCIATE PUBLISHER BOB GLASER BOB@ANBMEDIA.COM

THE PASSING OF AN ICON his past month we lost a monumental personality. I believe this was a person who could have changed the world if he had set his mind to it. He was an innovator and was able to move masses of people with his distinctive voice. I, for one, can be counted in his legion of fans. More than once, I’ve been mesmerized by his performances as I’ve found myself unable to move away from my TV when he appeared. Of course, I am talking about Billy Mays! What? You thought it was someone else?

That’s right, Billy Mays! Billy Mays was one of the best salesmen I have ever seen. Usually “As Seen On TV” items come and go, but Billy’s marketing was largely responsible for making Oxi-Clean and Orange-Glo well-known and trusted consumer brands. In fact, Discovery recently began a reality series that chronicled Billy’s life as well as that of his partner Anthony “Sully” Sullivan called Pitchmen. It was fascinating to see how simple ideas and concepts were developed, manufactured, and delivered to market by Mays and TeleBrands, a

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worldwide marketer of direct-toconsumer products.

Mays started his career as a boardwalk barker who sold a variety of gadgets and gizmos in Atlantic City, NJ. He then moved on to the state fair circuit selling Shammys, the precursor to today’s ShamWow. His big voice and charisma made him the ideal spokesperson for anything from Awesome Augers to the Dual Saw. One of the more interesting aspects of Pitchmen was that Billy would never try to sell something he didn’t believe in. But if the product was as advertised, he would get behind it with little doubt about his ability to sell it.

Perhaps retailers today should look to Billy Mays as an inspiration. His company took risks on items that weren’t necessarily mainstream and through hard work and a never-ending sales pitch, it made money. There isn’t always a formula for selling consumer goods. Sometimes risk is a necessary evil. But put a dedicated sales team, who believe in what they are selling, behind that risk and magic can happen.

ADVERTISING MANAGER AMY LAND AMY@ANBMEDIA.COM CONTROLLER MARY GROGAN MARY@ANBMEDIA.COM EDITOR IN CHIEF JIM SILVER JIM@ANBMEDIA.COM EDITORIAL DIRECTOR NANCY LOMBARDI NANCY@ANBMEDIA.COM MANAGING EDITOR CHRIS ADAMS CHRISA@ANBMEDIA.COM EDITOR AT LARGE CHRISTOPHER BYRNE CHRISB@ANBMEDIA.COM ASSISTANT EDITOR LAURIE LEAHEY LAURIE@ANBMEDIA.COM ASSISTANT EDITOR PAUL NARULA PAUL@ANBMEDIA.COM WEB MASTER ERIK KIECKHAFER ERIK@ANBMEDIA.COM WEB CONTENT MANAGER BRENDAN SANABRIA BRENDAN@ANBMEDIA.COM CONTRIBUTOR MATT NUCCIO MATT@DESIGNEDGE.NET HONG KONG REPRESENTATIVE TONY LEE SMART REGENT PRODUCTIONS LTD., 66–72 STANLEY STREET, ROOM 603, KAI TAK COMMERCIAL BUILDING, CENTRAL HONG KONG PHONE: 2815 0166 • FAX: 2815 6911 • SREGENT@NETVIGATOR.COM

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ROYALTIE$ is published 12 times a year by aNb Media, Inc. Copyright 2009 aNb Media, 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 photocopy, recording, or any information storage and retrieval system, without written permission from the publisher. Printed in the U.S.A. ROYALTIE$ is a registered trademark of aNb Media, Inc. Opinions and comments expressed in this publication by editors, contributing writers, or solicited or unsolicited documents are not necessarily those of ROYALTIE$ management.

A RECAP

OF

INDUSTRY HEADLINES

FREMANTLEMEDIA ENTERPRISES ANNOUNCES FIRST-LOOK DEAL WITH LIQUID COMICS

FremantleMedia Enterprises (FME) announced it has signed a first-look deal with Liquid Comics, the company formerly known as Virgin Comics. The deal gives FME first-look rights on new IP created by Liquid Comics for development through FME’s international business operations including television distribution, home entertainment, and licensing, the latter of which comprises consumer products, online and mobile content, sponsorship, and live events.

Liquid Comics uses the medium of graphic novel publishing to develop properties for television, theatrical live-action films, animation, and video games, and has previously created original stories with acclaimed creators including John Woo, Shekhar Kapur, Deepak Chopra, Guy Ritchie, Dave Stewart, Jonathan Mostow, Edward Burns, Nicolas Cage, and others.

FME has already selected two original properties that will be the first projects the companies will work together on for multi-platform media. The first property, Ani-Max, will be developed as an animated show for kids and focuses on a 12-year-old boy who gains the super power to absorb the abilities and physical characteristics of any animal he touches.

The second property, tentatively entitled First Family, will be developed as a scripted drama and focuses on the teenage children of a newly elected American President as they navigate a place where power peddling, exerting influence, and political maneuvering reign supreme—high school. Both graphic novels are currently in development at Liquid for a late 2009 or early 2010 release.

DISNEY UNVEILS FALL TWEEN FASHIONS

ON YOUTUBE

Ani-Max

Disney unveiled all new tween fashion lines inspired by Disney Channel shows JONAS and the Emmy-nominated Wizards of Waverly Place with the launch of a virtual fashion show video on the official Disney Consumer Products YouTube channel, Disney Living. Tween models wearing the latest back-to-school looks walked the runway as they showed off the styles that hit retailers such as JC Penney, Kmart, Sears, Wal-Mart, Target, and DisneyStore.com starting last month.

Showcasing new fashion lines inspired by the latest trends, the JONAS collection has an academic angle for a preppy collegiate look that is reminiscent of this cast’s singular style. Skinny pants combined with button-down shirts and tailored vests create preppy outfits that take East Coast sophistication and throw in a rocker twist. The Wizards of Waverly Place collection takes Alex Russo’s bohemian style and adds a twist for a “boho chic” look that is comfortable and casual. Key looks are tunic-length border print tops, updated peasant blouses, distressed miniskirts, fitted skimmers, and skinny denim. Prints and graphics contrast with a peacock feather motif.

SPIN MASTER NAMED MASTER TOY LICENSEE

FOR

THE LAST AIRBENDER

Spin Master has signed a deal with Nickelodeon and Viacom Consumer Products (NVCP) to be the master global toy licensee for Nickelodeon Movies and Paramount Pictures’ forthcoming theatrical release of the The Last Airbender.

Directed by M. Night Shyamalan, and based on Nickelodeon’s award-winning animated hit TV series Avatar: The Last Airbender, the feature film is slated to hit theaters in the U.S. July 2, 2010. The licensing deal between Spin Master and NVCP will produce a comprehensive line of products including action figures, vehicles, playsets, and more.

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THE BALL

IS IN THE

SUPREME COURT

IN

NFL LICENSING CASE

According to a report in the Boston Herald, Reebok International’s 10-year exclusive licensing deal with the National Football League (NFL) will be challenged in front of the U.S. Supreme Court. The lower-court ruling that will be reviewed said that the NFL and its 32 teams didn’t violate federal antitrust laws when Reebok was signed on as the sole licensee of NFL clothing and footwear. The case was brought to court by former NFL hat licensee American Needle. The lower court decision that is being challenged ruled that the league and its teams were a single entity exempt from antitrust laws because they collectively produce NFL games.

Prior to 2001, American Needle, Nike, Apex, Champion, Russell, Puma, Logo Athletic, Starter, and Reebok’s parent company Adidas were among the licensees. American Needle had been manufacturing NFL hats for more than 20 years.

TARGET ENTERTAINMENT TO LICENSE BRIT CHICKS

Target Entertainment Group has been appointed by UK-based owner, product developer, and licensor Brand Champions Ltd. to represent the worldwide licensing rights to Brit Chicks, the girls’ fashion/lifestyle brand.

Brit Chicks is a brand with a core target age group of girls ages 7 and up. The property centers around Eva, Mica, and Honey, a girl group sensation who are about to take the online world by storm. In October, the Brit Chicks social networking website www.britchicks.com will launch where girls can make friends, chat, and share adventures in a safe, friendly, and glamorous virtual world. The Brit Chicks will be on hand to welcome and guide new members through every step of the experience.

As music is a key element of the brand, original songs by the Brit Chicks will be available to download from the Brit Chicks website and iTunes. A compilation CD is also planned.

MCFARLANE AND DISNEY BOOK GROUP TO PUBLISH PRINCE

Brit Chicks

OF

PERSIA GRAPHIC NOVEL

Disney Book Group announced the Prince of Persia graphic novel anthology, the first-ever graphic novel written by the creator of Prince of Persia, Jordan Mechner. Todd McFarlane (Spawn, Spider-Man) created exclusive art to be featured on the cover, and interior art will include some of the most talented names in comics. The 128-page graphic novel, a full-color action-adventure anthology featuring six original stories, is a prequel to Prince of Persia: The Sands of Time, the feature film to be released by Walt Disney Pictures and Jerry Bruckheimer Films on May 28, 2010. The Prince of Persia graphic novel anthology will publish in April 2010 simultaneously in hardcover and paperback with a 125,000 first print run.

BABYFIRST SIGNS DEAL WITH TRADEMARX

BabyFirstTV, the U.S.-based 24/7 commercial-free educational channel for babies, toddlers, and parents, has licensed its signature characters to Trademarx Wallcoverings. Trademarx is slated to develop and distribute the BabyFirst line of children’s wall decals and borders to leading home centers, department stores and other major retail outlets throughout the country.

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TM & © Cartoon Network 2009. © Sega Toys/Spin Master Bakugan™ is a trademark of Spin Master Ltd. All rights reserved. Nelvana™ Nelvana Limited. Corus™ Corus Entertainment Inc.

STRONG OPPORTUNITIES! Our properties are taking over the market and Cartoon Network is now the #1 choice for boys. And we continue to dominate youth culture with strong brands and excellent licensing opportunities. So put our strengths to work for you.

For more information, e-mail us at licensinginfo@cartoonnetwork.com

BURGER KING CORP.

AND

CRUNCH PAK

In a deal brokered by Broad Street Licensing Group, Burger King Corp. has signed Crunch Pak as its newest licensee for packaged foods. Crunch Pak will bring Burger King’s BK Kids Meal Fresh Apple Fries to supermarkets nationwide. The product will be available in single-serving packets and larger packages with multiple servings. Retailers will place BK Fresh Apple Fries with other produce.

MARVEL AND HALLMARK

Marvel has announced a licensing agreement with Hallmark Cards, covering the social expressions category with products such as greeting cards and party goods. Hallmark has been awarded the rights for the U.S. and Canada to produce and market social expression products featuring lights, sounds, and personalization. These products will be based on the classic comic book look of Marvel’s characters, as well as products inspired by films and animated series.

DISCOVERY COMMUNICATIONS AND MULTIPLE LICENSEES

Discovery Communications has granted Jay at Play International the license to produce plush products inspired by the Animal Planet brand for distribution in the U.S. and Canada. The line of plush will launch in spring 2010. In addition, Discovery Communications has signed Kurt S. Adler to produce holiday decorations and products for the Animal Planet brand. The line will include Christmas stockings, music boxes, nutcrackers, and more. Both deals were brokered by Animal Planet’s licensing agent, The Joester Loria Group. A portion of the proceeds from both lines will benefit principal partners of R.O.A.R. (Reach Out. Act. Respond.), the network’s national campaign for animal rights.

CHORION AND MULTIPLE LICENSEES

Chorion has signed a number of new licensing deals for The World of Eric Carle in the U.S. and Europe. Crayola will begin a collaboration with a large-format coloring book. JEM will produce tees for juniors and children. Zoobies will bring three-in-one plush, pillow, and blanket products to the Eric Carle characters. Carson-Dellosa will create classroom products. In addition, LeapFrog Enterprises will produce the Panda Bear, Panda Bear, What Do You See? book for its Tag Junior system for 2–4 year olds.

ANCHOR BAY ENTERTAINMENT AND MULTIPLE LICENSEES

Anchor Bay Entertainment has signed a number of new food licensees for Wow! Wow! Wubbzy! Minute Rice will be running a promotion featuring a $3 mail-in rebate for DVDs, as will Darling Clementines and OnCor Frozen Foods. The companies will feature characters from Wow! Wow! Wubbzy! on their packaging. Joy Cone Company will offer free plush in the mail to anyone who purchases certain Joy products and a Wubbzy DVD. Jolly Time Pop Corn will also give away free product to people who purchase a Wubbzy DVD.

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PAUL FRANK AND CLEK

Paul Frank Industries has partnered with Clek to create a new line of special-edition booster seats.

These new booster seats, created by Clek, will feature the Paul Frank brand’s designs and sensibilities, as well as the iconic Paul Frank characters. Clek will be creating new Clakjackets for its Oobr and Olli booster seats that feature Julius the Monkey and Skurvy. All seats feature Crypton Super Fabrics, which protect the seats from spills and are anti-microbial.

PGA OF AMERICA AND TURNER SPORTS

The PGA of America and Turner Sports have extended their broadcasting and interactive media agreements covering the PGA Championship, PGA Grand Slam, and website PGA.com, through 2019. The agreement will also expand to include licensing, with Turner’s Cartoon Network Enterprises (CNE) serving as PGA’s licensing agent for the youth marketplace. The two companies will also collaborate on new media and consumer marketing initiatives to increase awareness and brand recognition of the PGA.

CULINARY INSTITUTE OF AMERICA AND ROBINSON HOME PRODUCTS

The Culinary Institute of America (CIA) has announced, through its licensing agent the Broad Street Licensing Group, that it will be expanding its partnership with Robinson Home Products for cookware. The new products, part of The Culinary Institute of America’s Masters Cookware Collection from Robinson, will include new block knife sets, gift sets, and promotions. The line contains more than 100 SKUs of CIA-branded cookware and kitchen goods. Sales from the CIA Masters Collection benefit the Culinary Institute of America Scholarship Fund.

LAVISH RIGHTS AND NEWMAN INTERNATIONAL

Lavish Rights, a company that specializes in the creation, development, management, and exploitation of character-led intellectual property assets, has signed Newman International in an agency deal for Australia and New Zealand. Newman International will be representing Lavish Rights’ new character brand Bob & Peski, which will launch in the UK later this year. The Bob & Peski brand is an art and design brand aimed at young girls and women and will be seeking licensees in categories such as greeting cards, stationery, giftware, and apparel. A brand awareness campaign will be launched this fall. This new deal comes shortly after Lavish Rights’ deal with Stella Projects to represent Pet Poets Club in Australia and New Zealand.

LAURA ASHLEY AND TRIMCRAFT

Laura Ashley has granted the licensing rights for scrapbooking products, including printed paper, coordinating embellishments, and tools, to Trimcraft. This fall, the Laura Ashley collection will be available at select craft and mass retailers. It will feature a selection of contemporary and classic prints.

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Two-Faced Jewelry

Showtime Networks, Inc., and its licensing agency 360ep have announced that Udi Behr, chief designer for Love Peace and Hope, has been selected to design a collection of jewelry and watches for fans of the Showtime series Dexter. The “two-faced jewelry collection,” which will include doublesided rings, pendants, bracelets, earrings, and watches for men and women, is inspired by the two lives of the show’s main character, Dexter Morgan. Love Peace and Hope will create jewelry with two distinct designs, allowing the wearer to express their different personalities. Each unique piece of jewelry will also be crafted to be worn for both day and night. The Dexter jewelry will be available at www.lovepeaceandhope.com.

Accessory Innovations Goes to the Circus

CopCorp Licensing signed Accessory Innovations as one of the newest licensees for the Ringling Bros. and Barnum & Bailey family entertainment brand. Accessory Innovations has been granted the rights to produce and sell Ringling Bros. bags including backpacks, plush bags, handbags, messenger bags, totes, luggage, lunch totes with water bottles, and wallets for all ages and genders.

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Hello Kitty Makes a Splash

Sanrio, Inc., announced an agreement with Age Group, Ltd., to produce Hello Kitty swimwear. Age Group currently holds the license for juniors’ sleepwear, underwear, and lingerie and will expand to girls’swimwear 4–14, junior and contemporary swimwear, and cover-ups.

The girls’ 4–14 line (shown) showcases electric brights, soft pastels, and prints in a range of swimsuit styles. Coverups include dresses, tanks, shorts, and hoodies. The girls’ collection is priced from $18–$36.

The contemporary and juniors collections are accented with ruffles, sequins, studs, and crochet knits in modern silhouettes. Coverups emphasize style with mix-and-match pieces, smocked dresses, rompers, oversized tanks, skirts, and hoodies. Price points are from $24–$78.

The collections will be available in November/December 2010 at department stores and better specialty stores.

From Range to Runway

Classic Media signed new consumer products partners for The Lone Ranger’s 75th anniversary. Now & Zen will create mens’ and women’s T-shirts inspired by the classic character. The Lone Ranger apparel will be available at department and specialty stores.

New products, new deals, and new trends this month in the licensing industry.

It’s a Slam Dunk for 2K Sports

2K Sports announced that the NBA 2K10: Anniversary Edition is planned for release in North America this fall for the Xbox 360, PlayStation 3, PlayStation 2, PSP, and Wii. Developed by Visual Concepts, it will come packaged in a specially designed 2K Sports locker configured for game storage, and include exclusive items featuring 2009 NBA Finals MVP Kobe Bryant of the Los Angeles Lakers, along with a special commemorative video looking back on 10 years of the NBA 2K franchise and its past cover athletes.

As part of a limited-edition offering of only 30,000 copies, each will be individually numbered for authenticity. Ten fans will have the opportunity to find an autographed Kobe Bryant print, which will be hidden and randomly packaged.

Gamers with an Xbox Live and PlayStation Network membership will be able to enjoy privileges including exclusive access to an online lobby known as the Gold Room where celebrities and other VIP members will go to play, and only players with the Anniversary Edition will be allowed to enter.

Marvel Signs Jarden

Marvel Entertainment, Inc., announced a wide-ranging licensing agreement with Jarden Corporation for the sporting goods category.

The agreement encompasses several of Jarden’s brands, including Rawlings for playground balls, sports balls, sports sets, and other sports equipment; Shakespeare Fishing for children’s fishing equipment; Coleman for outdoor camping gear; Stearns for children’s and adult personal flotation devices and towables; and the United States Playing Card Company for playing cards and puzzles.

Jarden has been awarded the rights to develop products featuring Marvel characters and sub brands. Products will be available at massmarket retailers and specialty stores, including sporting goods stores.

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Creating a Sharper Image for Men Through Jewelry

The Sharper Image recently announced that it has entered into a licensing agreement with Jacmel Jewelry, Inc. The New York-based company will have rights to design, manufacture, and distribute men’s jewelry under The Sharper Image brand name.

The Sharper Image men’s jewelry in stainless steel, and other materials, will consist of cuff links, rings, necklaces, bracelets, and other men’s jewelry accessories with a technological twist. Three collections will be offered through national department stores, TV home shopping, e-commerce, and catalogs by the fourth quarter.

Shake it Like a Polaroid Picture

PLR IP Holdings, LLC (www.polaroid.com) recently announced the completion of an exclusive five-year licensing agreement with the Summit Global Group to produce and distribute Polaroid-branded digital still cameras, digital video cameras, digital photo frames, and Polaroid PoGo mobile products worldwide. The partnership is expected to generate over $1.3 billion in retail sales beginning in 2009.

Summit Global has been a trusted partner to the Polaroid brand for more than eight years and, recently, added several former Polaroid Corporation employees to its staff, bringing continuity to the venture.

The agreement further develops and validates the strength of the Polaroid brand, and supports PLR IP Holdings’ strategic objective to diversify product category growth in established and emerging markets.

Let Homer Simpson Be Your Guide

Now Homer Simpson can help you get to your destination in North America or Europe. TomTom has joined forces with Locutio Voice Technologies and Twentieth Century Fox Licensing & Merchandising (Fox L&M) to bring the original voice of Homer Simpson (voiced by Dan Castellaneta) to all TomTom devices via download. TomTom users can go to www.tomtom.com/simpsons and download the voice for $12.95.

On the road, Homer’s hilarious, encouraging, and sometimes unusual advice will ensure that drivers will not only reach their destination on time, but have a lot of fun along the way. With an insatiable appetite as his motivation, Homer adds his own words of wisdom for TomTom drivers such as, “Take the third right. We might find an ice cream truck! Mmm…ice cream.”

Exercise Your Mind and Body

Gaiam, Inc., distributor of lifestyle media and fitness accessories, announced that it will produce a series of mind and body fitness DVDs with Trudie Styler, the actress, producer, environmental campaigner, and wife of Sting.

She will be joined in DVD workouts that combine elements of yoga, Pilates, and ballet with traditional exercises by celebrity fitness trainer James D’Silva, who trained as a ballet dancer in his native Goa. He specializes in workout regimes to increase flexibility, strengthen and tone muscles, and improve posture.

The programs will be filmed on location at Il Palagio, the Tuscan villa Styler shares with her husband Sting, and will feature music from Sting’s No. 1 classical album of 2006, Songs from the Labyrinth, plus extensive bonus material.

The first two DVDs will launch in October, the third in December. Two more DVDs and a myofascial release kit is scheduled for 2010. Each DVD will reflect elements of Styler and Sting’s philosophy on eco-friendly living.

Bonus material will include a tour of Il Palagio’s kitchen and gardens. More than 70 percent of the food at Il Palagio comes from the estate. A percentage of profits will go toward the Unicef Ecuador Water Project, which provides rainwater collection and filtration tanks to communities in the Ecuador rainforest where toxic waste from oil production has contaminated the natural water supply.

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G

STREET PLAYERS MERCHANDISING’S

by Paul Narula

ummy worms, gummy fruit, even gummy hamburgers—there are an incredible amount of gelatin-based chewy candies that bear the “gummy” appellation. But the original gummy candy is almost universally recognized as the classic and common gummy bear. Children and adults have been snacking on this confection for years, in one form or another, and gummy bears continue to be popular and recognizable.

The first gummy bears were created in Germany,

by Hans Riegel of Bonn. Hans later started the confectionary company Haribo, which still produces gummy candies, including gummy bears.

However, it does not own the trademark to the gummy bears or to the Gummy Bear brand of products that is hitting shelves this fall. Street Players Merchandising, has owned the Gummy Bear trademark since 2004. It is based on the Haribo candy yet the companies have no connection and no royalties will be exchanged.

Street Players believes that the classic appeal and popularity of the Gummy Bear brand and the candy category can be developed into a strong licensing program that focuses on the universal appeal, instant recognition, and widespread consumer awareness of the Gummy Bear brand. The variety of colors that the candy comes in allows for many interpretations in licensed products. The company believes that now is a good time for the expansion of the Gummy Bear brand, since consumers are looking for colorful, fun, and upbeat products.

The company has already set up a dedicated website for the Gummy Bear brand at mygum-

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Fast Facts ° More than 50,000 stores in the U.S. carry

mybears.com, where consumers can use interactive coloring books, play games, download wallpaper, and more. The latest news about Gummy Bears will be on the site, as well as links to vendors where consumers can buy Gummy Bear products and store locators. Street Players will be aiming the brand at teens, tweens, and adults with a classic candy feel, but will also market products for the young set of children, ages 3–9.

Street Players initiated its launch efforts with a front page story in the New York Times this past March and has been working with media, licensees, and retailers to build awareness and create demand for Gummy Bear product. The licensing program hit full stride this month, in time for the back-to-school season. JCPenney selected Gummy Bear licensed products as a featured product line to raise funds and awareness to support its commitment to afterschool programs. Toys “R” Us has established a Totally Me section that features Gummy Bear product designed for tweens. Retail arrangements with Kmart and Wal-Mart have been made for future plush products.

Street Players has secured a number of licensees, including Jerry Leigh for apparel, Idea Nuova for room décor, and more. The company expects to add more licensees to its roster soon.

Gummy Bear candy.

° The original name for the Gummy Bear is Gummibär, which means “rubber bear” in German.

° Haribo, maker of Gummy Bear candy, is a shortened version of the name of the inventor of Gummy Bears, Hans Riegel of Bon— Ha(ns) Ri(egel), Bo(nn).

° The primary ingredient in Gummy Bears is gelatin.

° Licensing industry veterans Jonathan Breiter and Jennifer Zivic are spearheading this project.

IDEA NUOVA

Idea Nuova’s room dÊcor line will feature a variety of Gummy Bear products, including pillows, bedsheets, lamps, and more. Shown here are the Gummy Bear Cuddle Pillows, which are available in 30-inch and smaller sizes.

H.E.R.

H.E.R. has created a line of Gummy Bear jewelry. The jewelry is designed to showcase the classic Gummy Bear shape with charm bracelets, necklaces, earrings, and more featuring Gummy Bears of all shapes, sizes, and colors.

JERRY LEIGH

FAST FORWARD

Fast Forward will produce a line of Gummy Bear handbags.

Each bag resembles the face of a Gummy Bear, showing the clear face in front, with a pattern on the back. Fast Forward will also be producing Gummy Bear stationery.

Street Players Merchandising has teamed-up with apparel maker Jerry Leigh to produce a full line of Gummy Bear clothing, featuring brand images and images of the Gummy Bear candy product. The line will include T-shirts, fleece tops, bottoms, and more.

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W

by Laurie Leahey

hen Geoff Rosenhain felt the entrepreneurial fire burning, he knew it was time for a career change. For more than 10 years, Rosenhain worked at his family’s business, Creata, where he most recently served as COO. Creata, a global marketing services agency, is hired by Fortune 500 companies, such as McDonald’s, Kellogg’s, Coca-Cola, and Procter & Gamble, to build brands through promotions, games and sweepstakes, premiums, and other below-the-line marketing activities. Licensing was a cornerstone to these activities by partnering with sporting events, such as the Olympics and World Cup, and the occasional music artist. “I’d been associated with the licensing industry for many years but viewed it from the perspective of the major promotional partners,” Rosenhain says. But that vantage point wasn’t enough for him. He wanted to look at licensing from a different perspective and so he formed Gator Group. “Starting something from nothing is inspiring,” Rosenhain says.

Fueling that inspiration is his appreciation for the licensing industry. “Licensing allows brand owners to focus on what they do best and at the same time tap into the resources of other companies where they are experts,” Rosenhain says. “This allows for rapid growth with less capital requirements. Few companies are big enough to be leaders in all facets of their business.

Licensing helps to overcome this.”

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GEOFF ROSENHAIN, FOUNDER

AND

CEO, GATOR GROUP

Gator Group officially debuted in April 2009 with headquarters in Dana Point, Calif., and offices in Los Angeles, Paris, and Hong Kong. Rosenhain says the company’s name is meant to be striking and memorable, as well as thought provoking.

“Alligators are some of the oldest and wisest animals and we feel the name captures the collective in-depth experience and knowledge of our team,” he says. Already, Gator Group represents fashion brand Paul Frank Industries and socially responsible soft toy line Tales 4 Tomorrow. The company’s client roster will include a range of lifestyle, corporate, and entertainment brands. “Our primary focus is to build a tight group of clients’ brands into a worldwide success,” Rosenhain says.

Rosenhain believes in the diversity of skills within an organization because this brings a healthy difference of ideas in approaching the industry. Gator Group employees bring more than 100 years of combined brand management experience. Its executive team is comprised of people from Wall Street, Nike, Mattel, and even a brewery, as well as traditional licensing personnel.

Together, Gator Group employees offer a range of services to clients, such as brand positioning, licensing strategy development, product development, marketing support, and public relations, to name a few. “Our knowl-

edge of manufacturing certainly stands out [from other licensing agencies], which allows us to better appreciate the challenges licensees face and service licensors with strategically important product that doesn’t naturally fit the licensing model,” Rosenhain says. “The second point of difference is our ability to work with very brand-sensitive companies, like fashion brands, where a poorly executed licensed product can quickly force the brand out of vogue.”

Gator Group is focused on its current properties, including the newly acquired Emily the Strange, for which Gator Group is global licensing agent, and Paul Frank Industries, which recently announced a licensing agreement with American Greetings for social expressions products. Rosenhain says Gator Group’s growth and success will be based on its clients’ success, not the number of brands the company represents. “Future representation or acquisition [of brands] will be very selective and strategic,” he says.

While Gator Group may be new to the licensing industry, Rosenhain and his team are veterans who hope to help established brands find innovative brand extensions and new brands gain broader consumer awareness, even during tough times. “Despite the economic climate, I think the future is bright for the industry,” he says.

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Opening Up to New Europe

by Christopher Byrne

ow would you like to reach an untapped market of more than 400 million consumers? That, according to Zeljko Krnjak, show and conference director of a new trade show called Licensing Factory: New Europe, is the market awaiting licensors and licensees in the swiftly emerging markets known as New Europe.

Comprised of more than 36 countries and regions in Eastern Europe and the surrounding area, it includes Albania, Armenia, Estonia, Greece, Hungary, Israel, Lithuania, Poland, Russia, Slovakia, Turkey, and Ukraine, to name a few. This region has seen growing consumer power, a dynamic retail environment, and a burgeoning interest in all kinds of licensing. From entertainment to technology, to brands, an increasingly sophisticated consumer is looking for both regional and global brands.

Krnjak points out that as the market is expanding, an open-market mentality and competitive environment has combined with a new understanding of quality both in terms of products and brands and a consumer who is willing to pay for it.

The evolution of the market is creating more opportunity as business models shift from franchising to licensing, which many believe offers broader opportunity for diverse offerings that will cater to the diverse tastes throughout the region. Krnjak adds that the current market is highly entrepreneurial, which he says has fostered a great deal of enthusiasm for the potential of

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broader-based licensing opportunities.

Still, establishing a licensing program in this territory is not so easy as simply setting up shop and trying to sign up licensees. There are diverse and sometimes complicated issues facing companies that want to do business in this region. On a very basic level, understanding the various laws of each country can be complicated, particularly in light of the fact that in many cases related to franchising, for instance, the European Union is leaving legislation up to the individual countries.

There are diverse retail structures in different countries and there are different business practices surrounding licensing. As Krnjak says, “Understanding the differences between practices in the ‘developed licensing world’ and New Europe is critical for anyone who wants to take advantage of this market.”

Even given the various challenges to be mastered, the opportunities are enormous. To help foster understanding, identify, and exploit many of these new opportunities, a new licensing event has been announced for this September in Rovinj, Croatia.

Taking place from September 22–25, Licensing Factory: New Europe has been conceived as both a showcase and a summit bringing together some of the most experienced representatives of licensing, retailing, product development, and other disciplines to share information and gain a greater understanding of how to do business in this fertile region.

In particular, understanding how to do business in Russia will be a key topic of

LICENSING FACTORY: NEW EUROPE TAKES PLACE SEPTEMBER 22–25 IN ROVINJ, CROATIA. FOR MORE INFORMATION ON ATTENDING AND EXHIBITING AT THE SHOW AS WELL AS A CONFERENCE SCHEDULE VISIT WWW.LICENSINGFACTORY.COM.

discussion. Through presentations and inperson meetings with key Russian retailers and officials, the organizers hope to be able to open new lines of communication and understanding about most effective business practices for the country. The event’s organizers say that based on their research with Russian businesses, there is a perception that Western companies “don’t get it” and they hope that this conference will be educational and profitable for all attendees. They also say that the Russian consumer is very brand aware and that the country offers tremendous potential for expanded licensing programs.

According to Krnjak, the conference will take place in a renovated tobacco factory located in Rovinj. The “nest of stone” in the Adriatic Sea is one of the relatively undiscovered jewels of the region, which has a colorful history and has inspired such writers as Jules Verne, James Joyce, and Yevgeny Yevtushenko.

More information on attending and exhibiting at the show as well as a conference schedule can be found at www.licensingfactory.com.

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Ronnen Harary, Chairman & CEO Anton Rabie, President & CEO Ronnen Harary, Chairman & CEO Ben Varadi, Executive Vice President Anton Rabie, President & CEO Spin Master Ltd. Ben Varadi, Executive Vice President Jonathan Finlay, M.D. Spin Master Ltd.

Director, Neural Tumors Program—Childrens Hospital Los Angeles Professor of Pediatrics—Keck School of Medicine, Jonathan Finlay, M.D. University of Southern California

Director, Neural Tumors Program—Childrens Hospital Los Angeles Professor of Pediatrics—Keck School of Medicine, University of Southern California

Thursday, October 22, 2009 Beverly Hills Hotel Thursday, October 22, 2009 Melina Beverly HillsKanikaredes Hotel

Melina Kanikaredes

Evening Host

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GROWING ORGANICALLY

by Nancy Lombardi

INTO

CONSUMERS’ AWARENESS

he “green” movement has certainly reached its tipping point. Macy’s, Buy Buy Baby, Lord & Taylor, and Dillard’s.

Just about anyone who makes anything is throwing the word The infant product is made from brushed jersey and terry “green” around these days. But one can tell that this is a move- velour 100 percent certified organic cotton, according to Julia ment that is here to stay and can make a real difference especially now Stein. The three-piece sets consist of baby gowns, body suits, that Wal-Mart is implementing numerous sustainability efforts from jackets, pants, blankets, and hats priced from $20–$38. every angle of its business—from how In addition, Organically Grown it runs its internal operations to how it plans to launch a toddler apparel protransports goods to what it expects gram, organic infant bedding and room from suppliers during the manufacturdécor, cosmetics, skin care, and houseing process and packaging of goods. hold cleaners in spring 2010.

But in order to reach this current What sets this company apart is Organically Grown has infant tipping point, the movement had to the use of organic cotton. The apparel with Kids Headquarters, start somewhere. It started, as most Steins explain that it is grown peswhich is shown here. The company has also signed Crown Craft for movements do, with small companies ticide-free without the use of genetblankets, home décor, and making a difference and it’s been evolvically modified seeds. “There is a bedding. Lotta Luv has been ing over the past 30 years, perhaps more. direct connection between what we signed for lip balm and cosmetics. Mashon.com And while a lot has been done, there is wear and the effect we each have has been signed for still a lot of progress yet to be made. on our planet,” says Julia Stein. customizable e-cards as well as customizable That brings us to a company called If everyone in the world switched clothing to be created Organically Grown Group. The founders from conventional cotton to organic online by the consumer. of this company have been part of what I’ll call an cotton, we would stop 170 million “Earth-first” way of living for more than 20 years. It startpounds of toxic chemicals from being ed with eating organic foods to take better care of themselves. It then poured into our environment every year, according to Bob Stein. morphed into how goods are made and manufactured and how that This awareness is picking up steam through today’s moms. “The impacts workers as well as the environment. organic revolution is happening online,” says Bob Stein.

Organically Grown Group consists of five partners: Julia and Bob Julia Stein adds that “we did a viral marketing campaign with Stein and Moira and Larry Brandt, along with Rohit Poddar. It is a com- Facebook, Twitter, and YouTube because moms were the natural propany that says it is dedicated to the creation and distribution of afford- gression in organic. They get it. They know how important it is for their able-lifestyle, worker-friendly, organic products for the entire family. babies. We started contacting blogs and gave them product for reviews The name Organically Grown was actually a fashion lifestyle brand and giveaways. We attended several baby consumer shows,” she says. in the 1970s and 1980s. The company had annual sales of $100 million, This awareness with moms will allow Organically Grown to move and Larry Brandt was its first salesperson, according to Bob Stein. into toddler apparel and then into the juniors’ apparel market.

In the early 1990s, it was purchased by TJX Corp., which operIt will also allow the company to further its message, which is ates Marshalls and TJ Maxx. Then in 2007, the partners acquired all affordable, fashionable, worker-friendly products for the whole of TJX’s rights of the Organically Grown marks. They launched a family, according to Bob Stein. company of their own using the Organically Grown name with an “We’ve got to take baby steps,” says Julia Stein. “Each day we Earth- and worker-first message. could do a little bit to move ourselves forward.” And she explains In the fall of 2008, the Organically Grown Baby product line that moving the company forward will strengthen the movement, in launched with its first licensee, Kids Headquarters. The line is sold at turn benefitting the planet and all its inhabitants.

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T

by Chris Adams he fashion world is fickle. What is in is in and burns as bright and hot as a thousand suns. Once that once-fashionable garb falls from vogue, it is beyond dead in the hearts, eyes, and minds of the fashionista set.

This constant churning from chic to relic is what propels the fashion industry. It keeps consumers returning to stores to stay on top of the latest trends and it commands manufacturers to keep an eye on the streets—the cauldron that cooks up the latest fashions.

“The street is always a great indicator of what is fashion trending,” says Sara Scargall, marketing director at Mighty Fine. “We look to see how the youth are mixing and matching up their personal style.”

Sometimes the street refers to the corner of Broadway and Prince in New York City’s fashionable SoHo district and sometimes “the street” refers to the wide array of online outlets, such as the popular The Sartorialist website (http://thesartorialist.blogspot.com/), that capture looks, trends, and fashions in an array of international cities.

With the internet providing easy and instant access to an array of styles spanning the globe, the fashion world has become increasingly eclectic. As a fashionista knows how to blend the array of looks that are hip at a given time, this diversity has also influenced the way licensing is being translated into apparel.

“Over the past few years, lots of different influences have been in play for any given season,” says Debra Joester, president and CEO of The Joester Loria Group. “This allows property owners to align their programs with directions that best suit their brands.”

In the licensing arena, licensors not only have to keep abreast of what fashions are trending hot, but also apparel categories that are selling. “A while ago, we saw an emerging trend in lounge pants and urban wear and now we’re offering these items and seeing growth,” says John Capizzi, general manager, licensing, Mars Retail Group.

For the licensing-based segment of the apparel industry, the MAGIC apparel trade show is an invaluable tool to staying on top of trends, signing licensees, and sourcing clothing. The next semi-

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JH Design Group is the urbanwear licensee for Mars Retail Group’s M&M’s, Skittles, and Starburst brands.

annual MAGIC show will be held August 31–September 2 at the Las Vegas Convention Center.

“MAGIC plays a huge role in the fashion world—it is the main stage for showing our newest collections,” says Vered Nisim, vicepresident of JH Design Group. “It is attended by the top retailers as well as the media.”

In addition to showing new licensed collections, the role that MAGIC plays in the mechanics of the licensed apparel industry cannot be underestimated. It is a place for licensors to meet new licensees and manufacturers. “I have been attending MAGIC for more than 20 years and I have never left the show without meet-

HYP manufactures scarves, tank tops, and denim for the Pink Cookie junior lifestyle program, which is managed by CopCorp Licensing.

ing a company I hadn’t met before,” says Rob Stone, president of Stone America Licensing.

As the fashion world has been forced to evolve because of the weak economy (as was evidenced by the large decrease in designers showing in the tents at New York’s Fashion Week in February), so too has the inner workings of licensing, designing, and selling licensed apparel. Increasing competition and decreasing shelf space has forced licensors to tattoo the word “strategic” onto their brains.

“You can’t do straight licensing 101 deals with apparel companies anymore,” says Stone America’s Stone. “Apparel companies are very scared these days to make financial commitments with minimum guarantees. We, as an agency, have to figure out what we can do to get everyone on board; the way to do that is for us to pull everything together.”

Stone says that his agency begins the process of developing a licensed apparel line by digging deep and pulling out the key elements of the brand. Once the key elements are extracted (for example, for the Norman Rockwell estate, which Stone America represents, classic Americana was the result), then those attributes are applied to the apparel industry (for Norman Rockwell, L.L. Bean, Eddie Bauer, and Ralph Lauren come to mind). These are used as starting points in expanding the key elements into an array of apparel concepts.

Not only has the economy affected the mechanics of the licensed apparel industry, its effects reach far beyond that realm.

Manufacturers have noted that it is increasingly challenging to launch full collections in a market where retailers have cut back on the number of products they carry on their racks.

“A number of categories from outerwear to more expensive wardrobe staples that can be recycled for another season are down, as is footwear,” says The Joester Loria Group’s Joester. “Less expensive impulse items including T-shirts have continued to perform well for us and our licensees.”

Sure, there are challenges out there in the apparel marketplace.

Everyone from high-end fashion houses to the most populist of manufacturers has to be mindful of the times we’re living in. While clothing is a necessity (at least if one wants to avoid public nudity charges), today’s consumers aren’t necessarily buying a new collection for every seasonal shift in styles. Purchases are more strategic and are often spurred by an item’s ability to spice up and spruce up staples that already reside in a consumer’s closet.

Of course, this slowdown certainly hasn’t stopped the cyclical reinvention of fashions and trends from continuing. Consumers still want to look good, cool, and fashionable and are still buying apparel.

Some of the latest trends to emerge in licensed and nonlicensed apparel will be on display at MAGIC in Las Vegas.

ROYALTIE$ AUGUST 2009

25

by Chris Adams

The fashion cycle churns round and round constantly bringing new looks into vogue while other looks fall by the wayside. Fueled by the international access provided by the internet, todayʼs fashion landscape includes a very diverse range of styles. On the following pages are some examples of the latest products set to hit the market.

Apparel licensees for Mars Retail Group include Choko Design (powersports outerwear including jackets, bib pants, and helmets), JH Design (for urbanwear including jackets, hoodies, and shirts), Summit Resources (apparel for men, women, children, and infant/toddler, as well as headwear, bags, and accessories), and Kids with Character for outerwear and denim sets. Shown is a children’s T-shirt by Summit.

Mighty Fine will be introducing new juniors’, men’s, and toddlers’ items at MAGIC. For the Public Library line, Hello Kitty will be featured on the Native Kitty boyfriend tee (shown). In addition, Mighty Fine celebrates Peanuts’ 60th anniversary with a wide range of apparel for juniors and men.

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ROYALTIE$ AUGUST 2009

Following the successful I Love the ’80s promotion from Paramount Home Entertainment, Paramount Licensing licensees are introducing an apparel collection based around the films that were part of the promotion. Licensees include Fifth Sun (for Up in Smoke, Footloose, and Flashdance), Forever Famous (Top Gun), and Changes (Top Gun).

Character Vision and The Richlin Group announced that they have signed an agreement to represent the art of renowned American artist Patrick Nagel. In addition to this announcement, the agencies also revealed that Chaser will be the master apparel licensee for the property.

CopCorp client Pink Cookie is featured in a fashion-forward line from HYP. The junior lifestyle brand offers an expanding variety of trend-conscious design elements that let young women mix and match pieces. The line includes scarves, tank tops, and denim (shown).

Two Jim Benton properties are featured on apparel. Jokobo cartoons are featured on T-shirts from Blackjack, while It’s Happy Bunny continues its success at retail with Tshirts from Jerry Leigh.

In addition, Ringling Bros. and Barnum & Bailey-licensed T-shirts are available from Giant.

Philip Chemla, the man behind Ed Hardy Shoes and Christian Audigier Shoes, has signed a multi-year licensing deal with the U.S. Army. Chemla’s company, Philip Simon Footwear Group, will design, develop, manufacture, and distribute fashion and athletic footwear, as well as bags, under the U.S. Army trademark.

The Joester Loria Group is expanding on the Animal Planet apparel for boys, men, and juniors, which launched this past spring. Trau & Loevner has developed a number of distinct graphic designs that range from tribal designs to original animal art. Sara Max will launch sleepwear and other categories beginning in 2010.

Retail placement continues to expand for the Jeep and Pepsi properties. The renewed interest in retro graphics at retail has provided new opportunities for the properties.

American Greetings Properties continues to expand Care Bears worldwide and is gearing up for a major relaunch in fall 2010.

The Care Bears apparel business is performing well with products from licensees including Junk Food (Tshirt is shown) and Wish Licensing. The lineup focuses on vintage style and retro tees aimed at teens and young adults. American Greetings is seeking additional apparel licensees for the property.

ROYALTIE$ AUGUST 2009

27

CBS Consumer Products launched an exclusive clothing and accessory line at Wal-Mart based on America’s Next Top Model. The line introduces fashion-forward clothing, bags, hats, fragrances, and room décor designed for juniors and young women.

Stone America plans to take the apparel for client David & Goliath away from its character-only focus to turn it into more of a fashion-focused line aimed at girls ages 14–25.

Stone America is planning to introduce the Est. 1231 Oxford University Collegiate Collection at MAGIC. The agency is in negotiations with one of the male leads from Gossip Girl to be the spokesman for the preppy brand.

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In conjunction with the release of Alvin and The Chipmunks: The Squeakquel, Fox licensees Mad Engine (Tshirts and sweatshirts, which are shown), AME (apparel), and Isaac Morris (boys’ and girls’ sportswear) will bring apparel products to market. In addition, an array of Ice Age: Dawn of the Dinosaurs apparel from licensees including C-Life, AME, Handcraft, Planet Sox, and Fast Forward is on shelves.

JEM will offer a variety of fashion silhouettes including tunics, tees, tanks, dresses, sweatshirts, and boyfriend tees featuring an array of specialty printing techniques, washes, and embellishments. Properties include the classic G.I. JOE, John Lennon, and Time/Life images (JFK is shown).

Shown is the Farm Girl Mill Script Jr. Sherpa Zip Hooded Sweat and the Farm Girl Squeezed Jr. Premium Tee. The company is seeking additional apparel licensees for both the Farm Girl and Farm Boy brands in categories including footwear.

Awake is offering a range of licensed apparel for properties such as the World of Eric Carle (shown), and Peanuts, in addition to the Awake Couture and Awake by OS lines.

Freeze introduces new T-shirts featuring popular HIT Entertainment characters Thomas & Friends and Barney. Shown is a comic-style recreation of Thomas, Percy, and James on a distressed soft ink screen print. Also featuring Thomas is a long sleeved T-shirt that features Thomas’s “Right on Time” credo.

Capitalizing on Barney’s 20-year history, Freeze is offering adult Barney T-shirts. The men’s shirt evokes vintage style and says “I’m Your Imaginary Friend” under a picture of Barney.

The women’s tee features a definition for the word “fun” along with a playful image of Barney.

Kitson, the renowned celebrity boutique and inspiration for Kitson LA Accessories is parlaying its retail cache by expanding its licensing program for 2009. Lucas Design International (LDI) has acquired the master accessories license for the Los Angeles-based retailer to manufacture items including jewelry, watches, bags, hats, and belts. The line made its debut at MAGIC in February. The domestic rollout continues with the debut of costume jewelry, watches, and bags for the upcoming fall and holiday retail seasons.

ROYALTIE$ AUGUST 2009

29

S

GOOD DEEDS, GOOD BRANDS

by Paul Narula

aving the world isn’t easy. While superheroes and action movie stars can do it on a daily basis, your average man or woman on the street is less likely to have the opportunity to pull off such a dramatic stunt. But there are numerous ways in which everyone can do a small part of the job, and a number of non-profit organizations and charities exist to shoulder that burden.

Donations are always welcome, but many companies need more than just handouts, especially when the need to get their message out to more people arises. That is where the concept of cause-related licensing steps in.

Licensing for Good

A licensing program can bring a great many advantages to a non-profit organization or a cause. Naturally, the increased revenue is a boon to the cause and helps further the organization. “One or two licensing deals can make a huge difference in dealing with top priority threats,” says Randi Goodman, principle of Synergy Licensing, which represents the Save The Earth brand. Synergy has signed Save The Earth to a new deal with Signorelli for fashion tops to bring attention to the rising problem of ocean acidification.

Revenue generated from licensing programs is occasionally very useful when compared to revenue generated by fund-raising and donation drives, as it can be considered “undesignated revenue” which can be put to use for any reason needed within the organization immediately, rather than being funneled directly to a particular project.

In addition, today’s economy has made peo-

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ple extra-careful about spending their money. Beanstalk Group, which represents the World Where there might have been generous dona- Wildlife Fund (WWF). Licensing contracts tions previously, consumers simply don’t have like the WWF’s with apparel retailer Forever as much money to give as they once did. 21, for apparel featuring animal imagery, can Buying a licensed product allows consumers to draw more support to a charitable organizadonate when they could not. tion, even if it is already well-known.

Beyond the revenue boosts, a licensing program grants a cause or organization a Doing Good Is Good for You For a licensee, the benefits of working with boost in visibility in the public eye.

Sometimes, the average consumer might be a cause-related brand are numerous. As with unaware of an organization, or even if they any type of licensing, it allows the licensee to are aware of it, don’t know a great deal about expand the market for its products to a new conit or how to go about aiding that specific sumer base, as supporters of the cause are likecause. A strong licensing program gets the ly to purchase cause-branded goods. This is especially true of large organicause-related brand out zations or well-known there to the consumer, causes, such as the Susan informing them about G. Komen for the Cure, it through the licensed which supports breast product. The ASPCA, cancer research. The for example, is organization states that launching a new the disease can affect line of products one-in-eight women in aimed towards the U.S., and that there are children, called over 2.5 million breast ASPCA Kids, that The ASPCA Kids branding program will expose a cancer survivors in the will bring the organew audience to the ASPCA’s message U.S. alone. These are grim nization’s message facts to look at, but they do mean that a brand to a younger generation.

The Metis Group has brought Smokey such as Susan G. Komen will resonate very Bear back into the public’s eye with deals strongly with a large consumer base. “It goes with apparel companies such as Lucky beyond rational brand loyalty,” says Karen Brand Jeans and a licensed museum exhibit White, director, corporate relations at Susan G. Komen for the Cure. “It grants emotional brand with the Betty Brinn Children’s Museum.

“A licensing program can put a non-profit loyalty for many of our consumers.” This can into a sphere where you might not normally create strong licensing partnerships, such as see them,” says Nicole Desir, associate vice- Yoplait’s yogurt lid program, which has been president of brand management at The supporting Susan G. Komen for the Cure for

more than 10 years. The foundation is continuing to build on its core licensing relationships and hopes to create a drive for its programs on levels beyond just licensing and create integrated corporate relationships. An example would be the PinkTogether program with General Mills, which not only features pink cereal boxes, but an extensive website at PinkTogether.com for survivors to share their stories and learn more.

In addition, a licensee can gain a significant boost in it own image with a strong and wellsupported licensing program for a cause. A licensee can establish themselves in a positive light if a licensing program with a cause-related brand is successful and receives a great deal of public attention. “Our licensees know that Smokey Bear is hip and timely, but also that their program is helping fund education,” says Libby Kavouloukis, owner and managing member of the Metis Group, which represents the Smokey Bear and Woodsy Owl brands for the U.S. Forest Service. A new crop of Smokey Bear PSAs, telling kids to “Get Their Smokey On,” combined with a presence on Facebook, MySpace, and YouTube, has kept the brand upto-date, without changing its message.

Sharon Summer, senior vice-president at MODA International. MODA has a new nonprofit brand of its own in America’s VetDogs, for which it is actively developing a licensing program, as well as continuing the expansion of its National Trust for Historic Preservation and The Henry Ford brands.

There is always the “feel good” factor of making a cause-related purchase, but there are other attractions to these licenses. Many brands can lend credibility to the licensed product.

“Consumers aren’t looking just for value, but for values,” says Phoebe Campbell, president of Campbell Associates, which represents the American Red Cross and the ASPCA. This type of credibility and trust from a consumer, similar to what is often seen in corporate brand licensing, can spell the difference between the decision to purchase a licensed or non-licensed product. For example, the Red Cross has a large licensing program devoted to emergency and survival products, such as emergency radios from Eton and the first aid kits available at WalMart, which it will continue to develop. The organization is also expanding its licensing pro-

The Consumer Draw

As of late, many cause-related brands have experienced an upswing. Those interviewed for this article noted that they had seen new organizations entering the licensing marketplace and that licensing opened up many new opportunities for them. “The number of entries of nonprofit organizations to the retail space in recent years has been an enormous sea-change,” says

MODA International will be expanding the America’s VetDogs brand through licensing.

gram to include senior care products, still in development, where it feels the Red Cross brand name can be trusted.

In 2008, Cone LLC, a strategy and communications agency and part of the Omnicom Group, conducted a study at the Fuqua School of Business at Duke University that further illustrates how strong an affect cause-related licensing can have on a consumer’s decisions.

The first phase of the study, which simulated shopping in a convenience store, exposed a random sample of 182 participants from 18–62 years old to two different types of advertising.

One group saw a cause-related message for a brand, while the other saw a generic corporate advertisement. Consumers were tested with four different types of products—shampoo, toothpaste, chips, and light bulbs. In the shampoo test, Cone saw that 47 percent of the participants who saw the cause-related advertisement chose the intended product out of a shelf of options, as opposed to 27 percent of those who saw an ad for the same product without a cause-related message incorporated, with a similar increase shown for toothpaste.

Cone’s study and the experiences of those interviewed for this article show that a causerelated brand can be a powerful force in the hands of the right licensee. There will always be causes to support and non-profit organizations seeking to get their message out there, and licensing can provide an excellent avenue to both. Cause-related brands have the potential to inspire consumer confidence and loyalty. And as a bonus, they help a licensor, a licensee, and a consumer get together and make the world a bit of a better place.

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CAUSE-RELATED LICENSING

by Paul Narula

When money is tight, donating to charity can seem an onerous task. But with cause-related licensing programs, giving money to a non-profit can be done while a consumer redecorates their home, expands their wardrobe, or pampers their pet. Here are some of the recent developments in world of cause-related licensing.

ASPCA

ASPCA launched a line of high-quality pet care goods with Wal-Mart. The ASPCA Collection was created with input from the ASPCA’s staff of experts. The line includes kennels, carriers, leashes, toys, and more.

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THE NATIONAL TRUST FOR HISTORIC PRESERVATION

Paint company Valspar has teamed up the National Trust for Historic Preservation to produce a new line of paint based on the colors and styles of famous landmarks and buildings across the U.S., such as Belle Reve Plantation, Montpelier, Lyndhurst, and the Lincoln Cottage. The National Trust will also continue to expand its program with Lowes for classic mouldings and home accessories.

THE HENRY FORD

The Henry Ford has signed Bell Ranger Apparel as a licensee for clothing and accessories, including fleece, headwear, bags, and more. The apparel company has created a line of items featuring imagery from The Henry Ford Photo Archive. Products are available at department, specialty, and sporting good stores.

AMERICAN RED CROSS

Eton continues to expand its line of American Red Cross-branded radios. The Solarlink FR360 features an AM/FM/NOAA radios.

It can be powered via cranking or solar power. The radios includes additional features, such as a flashlight and a cell phone charger, and is available in red or white.

SAVE THE EARTH

Save The Earth has teamed up with fashion design company Signorelli to create a new line of fashion tops. Signorelli has created a unique style for the Save the Earth brand and will apply it to a full line of women’s fashion tops.

The company will also be releasing a line of children’s and juniors’ fashion tops.

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JOY TASHJIAN MARKETING GROUP, LLC NAPOLITANO & CAVALLI, APPOINTMENTS

Joy Tashjian Marketing Group, LLC (JTMG) appointed Lisa Napolitano as director of sales and retail and Heather Cavalli as product development and administration coordinator.

Napolitano joins JTMG with an extensive background in strategic marketing, licensing, and retail business development within the consumer packaged goods industry. She Heather Cavalli brings more than 25 years experience with top companies, such as Disney Consumer Products, Master Foods, and Levi Strauss & Company.

Prior to joining JTMG, Cavalli worked for NBC Universal’s Business Affairs department, specifically in the licensing area.

She also has more than 10 years of experience working in law firms as a paralegal.

4KIDS ENTERTAINMENT, INC. NEW LICENSING AGENTS

4Kids Entertainment, Inc., appointed Exim Licensing Group and Tycoon Enterprises as licensing agents in Latin America and Mexico, respectively. The licensing agents will handle the majority of 4Kids’ properties including Chaotic, Teenage Mutant Ninja Turtles, Dinosaur King, Jim Henson Designs, Artlist Collection: The Dog, Artlist Collection: The Cat, Artlist Collection: The Pig, Monster Jam, RollBots, Viva Piñata, and YuGi-Oh!. Both companies have been responsible for launching a number of children’s entertainment licensing programs for 4Kids’ properties in Latin America, including the original YuGi-Oh! series, and will now expand this relationship further by taking on most of 4Kids’ new portfolio.

Tycoon Enterprises will develop and oversee all licensing programs in Mexico, and Exim Licensing will do so in Central and South America, Puerto Rico (Spanish only), and the Caribbean.

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HASBRO AND DISCOVERY COMMUNICATIONS

MARGARET LOESCH, PRESIDENT AND CEO, NETWORK

Hasbro, Inc., and Discovery Communications named Margaret Loesch as president and CEO of the companies’ multi-platform joint venture. The yet-to-be-named network is expected to premiere in fall 2010, reaching approximately 60 million U.S. households on what is currently Discovery Kids channel. Loesch will oversee all business and creative areas of the rebranded television channel and multi-platform media venture.

Loesch has held senior roles with a number of companies as both a creative and business executive. This includes tenures as executive vice-president of Hanna-Barbera Productions, president and CEO of Marvel Productions, and president of television, worldwide at the Jim Henson Group. In 1990, Loesch became the founding president and CEO of Fox Kids Network, Worldwide. In 1998, she was named the first president and CEO of Crown Media United States and its U.S. Hallmark Channel. She also serves on the board of trustees of Sesame Workshop and is on the advisory board of the Coalition for Quality Children’s Media.

U & ME MARKETING, INC.

SERGIO ZYMAN, CHAIRMAN OF THE BOARD

Sergio Zyman has been named chairman of the board of U & Me Marketing, Inc., a Delaware-based corporation with satellite offices in Canada. The company operates as a marketing and distribution company focused on leveraging highly popular brands into the food and beverage category.

Zyman has served in top marketing positions at The CocaCola Company, founded marketing strategy firm Zyman Group, and authored four books.

In May, U & Me Marketing launched its first beverage, Chaotic, in more than 5,300 supermarkets, gas stations, and convenience stores throughout Canada. This fall, the beverage is expected to hit U.S. retail shelves and plans are underway to roll out Chaotic internationally in 2010.

INTERNATIONAL LICENSING INDUSTRY MERCHANDISERS’ ASSOCIATION NEW BOARD OF DIRECTORS MEMBERS

The International Licensing Industry Merchandisers’ Association (LIMA) announced the election of three new members to the board of directors. The new directors were elected by a vote of the LIMA membership and their terms will run from July 1, 2009, through June 30, 2012.

Joining the LIMA board are Rick Van Brimmer, director, trademark and licensing services, The Ohio State University. Van Brimmer oversees Ohio State’s international licensing program. Sabine Eckhardt, managing director, MM MerchandisingMedia GmbH, heads one of Europe’s largest full-service licensing agencies, handling home entertainment, sports, and music licensing, among other categories. Glenn Hendricks, vice-president, business development, licensing and merchandising, SloaneVision Unlimited, heads dayto-day operations at the full-service licensing agency.

The three incoming members replace the following directors who have completed their terms: Christian Fortmann of Sonnenberg Fortmann, David Jacobs of HiHat Media, and Stephen Stanley of Jakks Pacific.

TRILOGY STUDIOS

BRITT MORRIS, TECHNICAL DIRECTOR

Trilogy Studios hired Britt Morris as technical director. He will spearhead the technical vision, design, and implementation of Trilogy Studios online initiatives. Prior to joining Trilogy Studios, Morris served as technical lead for Disney Interactive Studios, where he oversaw the technical design for all of the studio’s online projects. Morris worked closely with Disney Online and was the driving force behind the DGamer community platform on the Nintendo DS. Additionally, Morris served as chief of technology for bH Development LLC and director of engineering for Sega.

BENDER/HELPER IMPACT

MICHAEL HOPE, EXECUTIVE DIRECTOR, INTERACTIVE ENTERTAINMENT PRACTICE

Bender/Helper Impact hired Michael Hope as executive director of its interactive entertainment practice. Hope will drive public relations strategy and execution for the company’s extensive base of video game-related clients including 505 Games, Abandon Interactive, Freeverse, GameFly, Konami, Paramount Digital Entertainment, and Sony Online Entertainment.

Previously, Hope managed global public relations for Championship Gaming Series, overseeing PR staff at agencies from Europe, Asia, and the United States. In the agency world, Hope has worked at Beck Media & Marketing and mPRm Public Relations, managing corporate, consumer, and lifestyle public relations efforts for more than a dozen public, private, and VC-backed companies such as Amp’d Mobile, Cartoon Network, Dolby Laboratories, DMI Music, and SNOCAP.

SABAN CAPITAL GROUP

ELIE DEKEL, MANAGING DIRECTOR

Elie Dekel left Twentieth Century Fox Licensing & Merchandising to rejoin Haim Saban. Dekel joined the Saban Capital Group as managing director. Dekel spent 12 years working for Saban Entertainment and Fox Family Worldwide when Saban co-owned the company with News Corp. Dekel will work with Adam Chesnoff on licensing and merchandising opportunities.

HARPERCOLLINS CHILDREN’S BOOKS DAVID LINKER, EXECUTIVE EDITOR, HARPERFESTIVAL

David Linker joined HarperCollins Children’s Books as executive editor for HarperFestival. Linker will handle all movie and TV tie-in programs, superhero tie-in programs, and Fisher-Price, as well as supervising other Festival programs. Linker was previously editorial director at Innovative Kids. Prior to that, he was executive managing editor, Global Books at Disney Publishing.

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35

BASEBALL

Answers on page 38

Angels Astros Athletics Blue Jays Cardinals Cubs Dodgers

36

ROYALTIE$ AUGUST 2009

Giants Indians Mariners Marlins Mets Orioles Rangers

Rays Red Sox Rockies Tigers Twins White Sox Yankees

S EPTEMBER

13–16

ABC Kids Expo

theabcshow.com

Las Vegas Convention Center

Las Vegas

30–10/1

Brand Licensing Europe

brandlicensingeurope.com

The Grand Hall, Olympia

London

22–25

Licensing Factory

O CTOBER

licensingfactory.com

TDR Landmark

Rovinj, Croatia

5–9

MIPCOM

mipcom.com

Palais Des Festivals

Cannes, France

17–22

High Point Market

ihfc.com

International Home Furnishings Complex

High Point, NC

6–9

22–25 27–29

Fall Toy Preview iHobby Expo

toyassociation.org ihobbyexpo.com

Dubai International Character & Licensing Fair

character.ae

3–5

SEMA/AAPEX

26–27

Brand Licensing India

N OVEMBER

15–17

PLMA

JANUARY

7–10

11–14

International CES

Hong Kong Toys & Games Fair

FEBRUARY

14–17

American International Toy Fair

Dallas Market Center

Donald E. Stephens Convention Center

Dallas

Rosemont, IL

Dubai International Convention Centre

Dubai, UAE

aapexshow.com

Sands Expo Center

Las Vegas

licenseindia.com

Hotel Ashok

New Delhi, India

cesweb.org

Las Vegas Convention Center

Las Vegas

toyassociation.org

Jacob Javits Convention Center

New York City

plma.com

hktoyfair.com

Solution to Puzzle on Page 36

Donald E. Stephens Convention Center

Rosemont, IL

Hong Kong Convention & Exhibition Centre Wanchai, Hong Kong

Licensing Show 2010 June 8–10

Mandalay Bay Resort Las Vegas

38

ROYALTIE$ AUGUST 2009

by Christopher Byrne

POSTED

BELOW IS A SAMPLING OF WHAT

A MERICAN

SOURCE: VARIOUS • Prior to his death, Michael Jackson sold an estimated 750 million albums and released 13 No. 1 singles.

• In the first three days after his death, Jackson fans downloaded 2.5 million digital copies of his songs.

• In the first week after his death, 1.1 million CDs of Jackson’s music were sold in the U.S. • As of July 16, nine million copies of his recordings had been sold worldwide since his death.

• Amazon.com took more orders for Jackson CDs in the first 24 hours after his death than it had in the preceding 11 years, since the founding of the Amazon Music store.

• TouchTunes Jukeboxes reported nearly one million plays of Jackson songs in the week after his death.

• Tribute band “Who’s Bad” booked a national concert tour.

• Jackson’s Swarovski crystal-studded, spandex glove once valued at $15,000 is now estimated to bring in more than $200,000 at auction.

• Jackson’s custom Rolls Royce with gold interior designed by the singer has been valued at $160,000.

• At the time of his death, Jackson had already been paid an estimated $200–$300 million for his upcoming concert tour.

MICHAEL JACKSON POST-MORTEM STATS

SOURCE: BOXOFFICEMOJO.COM Movie • Gross • Weeks Out • Total to Date in the U.S. 1. Harry Potter and the Half-Blood Prince • $77.8 million • one week • $158 million 2. Ice Age: Dawn of the Dinosaurs • $17.6 million • three weeks • $151.9 million 3. Transformers: Revenge of the Fallen • $13.1 million • four weeks • $363.8 million 4. Brüno • $8.32 million • two weeks • $49.5 million 5. The Proposal • $8.31 million • five weeks • $128.1 million

U.S. BOX OFFICE, WEEK

OF JULY

17, 2009

CONSUMERS ARE INTERESTED IN THIS MONTH .

6. The Hangover • $8.1 million • five weeks • $235.7 million 7. Public Enemies • $7.8 million • three weeks • $79.7 million 8. Up • $3.2 million • eight weeks • $279.6 million 9. My Sister’s Keeper • $2.83 million • four weeks • $41.5 million 10. I Love You, Beth Cooper • $2.8 million • two weeks • $10.4 million

BEST-SELLING VIDEO GAMES ON JULY 21, 2009

AND

ACCESSORIES

SOURCE: AMAZON.COM 1. Wii Sports Resort by Nintendo 2. Wii Motion Plus by Nintendo 3. MadWorld by Sega of America 4. Wii Fit by Nintendo 5. Wii by Nintendo 6. Wii Remote Controller by Nintendo 7. Wii Nunchuk Controller by Nintendo 8. Call of Duty: Modern Warfare 2 Prestige Edition

by Activision 9. EA Sports Active by Electronic Arts 10. Mario Kart Wii with Wii Wheel by Nintendo SOURCE: GAMEHOUSE GAMES 1. Super TextTwist Online 2. Monkey Trouble 2 Online 3. Leelo’s Talent Agency Online 4. Posh Boutique Online 5. Little Shop—Memories Online 6. Uno Undercover Online 7. Pageant Princess Online 8. Candy Shot Online 9. TextTwist2 Online 10. PJ Pride Pet Detective Online

TOP ONLINE GAMES, JULY 2009

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