Pyramid International’s Martin Withers on believing that consumers will continue to shop loved characters and franchises and being mindful of our value proposition.
With inflation now at over 10%, energy costs and food bills sky rocketing, the cost of living crisis is intensifying.
LicensingSource.net asked a selection of licensees what impact this is likely to have on the licensing industry, as well as what positives the sector has in its favour in the run up to Q4.
Today: Martin Withers, sales director, Pyramid International.
“Clearly everyone is going to be worried about rising prices and looming huge energy bills. It must have an impact on what people have available to spend. I think the industry needs to be mindful that this will hit a larger proportion of the population than other crises/recessions and the previously more comfortable middle section of wage earners is the one that arguably will be the most impacted and squeezed.
Retailers may be tempted to look more at generic offerings to save some costs, but I firmly believe consumers will shop loved characters and franchises that make them feel good and part of a tribe. A generic butterfly design just doesn’t cut it vs being part of the Hellfire Club from Stranger Things.
I think we all need to be mindful of our value proposition. Birthdays and gift events will still happen, but consumers will be looking for something that delivers something meaningful without it costing the earth. Pyramid is well placed with a wide blend of price points across our categories so we have something for everyone.
We have lots of newness coming which will bring excitement to retail shelves and we have worked closely with key retailers to be part of some major Q4 activations which will tempt consumers to spend those gifting £pounds with us. I’m sure the licensing content will keep coming and there is so much to be excited about from gaming, movies, streaming and nostalgia brands which people look to in times of trouble. I’m feeling positive!”
This feature originally appeared in the autumn 2022 edition of Licensing Source Book. To read the full publication, click on this link.
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