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The bedrock of licensing… it’s this week’s Licensing Lookout

Start Licensing’s Ian Downes discusses why, while licensing thrives on the new, we shouldn’t forget deals and categories that are the bedrock of the industry.

Judging by the social media and LinkedIn posts I saw from Vegas, Licensing Expo was well received and succeeded in bringing the industry together. Naturally, a lot of new ideas and opportunities would have been discussed in Vegas – it is a great forum to launch new brands and to make new deals. Licensing thrives on the new, but we shouldn’t forget deals and licensing categories that are the bedrock of licensing.

My Looking Out this week reminded me of the importance of these licensing stalwarts. I love a leaflet and always pick up flyers featuring local attractions with my licensing hat on. I like to see what is going on in the ‘live licensing’ category, while also seeking out new ideas for locations to approach.

One of the leaflets I picked up this week was for Pettitts Animal Adventure Park in Norfolk. The leaflet featured a range of ‘special events for 2024’ – a range of costume appearances from characters such as Bluey, The Gruffalo, Peppa Pig and Hey Duggee. The events run from March through to October with a focus on weekends. Working with Rainbow Productions, Pettitts has crafted a calendar of appearances that will help them draw visitors in during the holiday period in an area that has a lot of venues competing to attract the same visitors. Costume appearances are a great example of an activity that helps keep licensed characters front of mind. Rainbow Productions is a licensee which is a consistent performer and does a great job of bringing ‘live licensing’ to the market. Locations like Pettitts have recognised that booking well known characters to make personal appearances is an efficient and effective way of adding value to their offer. It helps it stand out from the crowd. It knows it can trust Rainbow Productions to manage the events efficiently and also to help select characters.

LL4Another benefit of these kind of appearances is that they can bolster merchandise sales on site and in the local area. Brand owners are getting more efficient at making the most of these opportunities and acting in a coordinated way. I don’t have access to the figures, but am sure Rainbow Productions is helping a range of similar locations to Pettitts across the country – the combined coverage of these events is undoubtably substantial and overall makes a positive contribution to the visibility of licensing but can often go overlooked.

Similarly another category that is maybe a little unheralded in licensing is that of celebration cakes. Last week I found myself in the celebration cake aisle in a large Tesco store – think I turned right when I should have turned left. But I’m glad I did, as my wrong turn reminded me of the level of licensing activity in the category. First it is important to remember that this is a category where licensing competes with non licensed products including traditional products and ‘own brand’ ranges. We often forget that licensing isn’t the only option for retailers. Licensing has to deliver something different for retailers and add a new dynamic to the category. A part of this is the fact that licensed cakes, of course, deliver an audience – the motivation for buying a licensed celebration cake is clear – but licensing has also helped drive innovation in the category in terms of design, recipes, presentation and packaging. Featured brands on my visit included Stranger Things, Xbox, the England Team and Bluey.

LL3Xbox and England are good examples of innovation in design of cakes; both of these brands feature shaped cakes – a football shirt and Xbox controller respectively. Meanwhile, Stranger Things is a good example of a licence helping the category reach an older consumer age group, extending the category’s reach and engagement.

The category also featured confectionery brands such as Crunchie. This is a great example of how licensing can help brands further their reach and create new opportunities for consumers to experience the brand. It also builds brand presence in retail. In this case, a challenge will be ensuring the cake replicated the taste, flavour and eating experience of the core Crunchie brand. This is where category experts like Finsbury Foods have to be applauded for their success and tenacity within the category. Licensees like Finsbury Foods have helped establish licensing in the category and managed its presence over the long-term. They have helped licensing thrive in a competitive category by being prepared to invest in innovation, for example around cake shapes and also looking at other innovations such as on pack promotions. They are also capable of working with FMCG brands effectively to deliver an ‘on brand’ experience. Rather like Rainbow Productions, we probably forget the hard work that licensees like Finsbury Foods put in with retail buyers to manage a category. They are great ambassadors for the value and potential of licensing. It is also a reminder that in most categories product development can’t stand still just because it features a licence; licensing has to keep pace with other brands in terms of innovation, creativity and fresh thinking.

Licensing also has a role to play in specialist retailers including museum locations. I was reminded of this during a quick visit to the National Horseracing Museum in Newmarket. The gift shop featured two interesting and well sourced examples of licensed products. Firstly, it carried a noteworthy range of greeting cards featuring the iconic artwork of Norman Thelwell. The unique take on equestrianism is a great fit for the Museum and the Museum gift shop is an ideal retail location for the cards.

LL2The other example was a range of accessories from licensee Signare featuring the painting of Whistlejacket from the National Gallery. Painted by George Stubbs Whistlejacket was a 18th Century racehorse owned by the Marquess of Rockingham. It is a large scale painting that has a very distinct look to it. The painting would resonate with Museum visitors. Both of these ranges are great examples of well placed products and demonstrate insightful buying from the shop team. They are also reminders that licensing can work well in specialist channels, not least as well chosen brands fit well with retail outlets that are focused on a specific theme or location. Selling to multiple retailers can be time consuming and labour intensive, but it is a way of developing new sales channels.

A further example of ‘right product right place’ I saw this week was a clip strip of car air fresheners featuring Top Gear’s Stig in my local petrol station. A well designed product that used the chosen licence well. It was positioned prominently to encourage impulse purchase. It worked – I bought two Stigs!

LL1Finally, it is always nice to see something that puts a smile on your face and better still if it has a licensing element to it. This week I was walking in London making my way to the Distoy show in Victoria (as an aside Distoy is a great example of a trade show that is well curated. It provides a good opportunity to meet international partners). My walking route took me past the Peruvian Embassy. Rather charmingly, it had a Paddington Bear plush toy in the window accompanied by a poster saying ‘I Am Home’. I stopped to take a photograph. I wasn’t alone as others did the same and like me they were smiling at seeing Paddington was home. A very nice idea by the Peruvian Embassy and one that I am sure has been shared widely on social media. Will be adding ‘staring into Embassy windows’ to my Look Out duties over the coming weeks!

Hoping those that Vegas’d have rested up well and are now successfully ploughing through all those new opportunities. But hopefully not forgetting about the stalwart members of the licensing community who are the bedrock of many a licensing programme.

Ian Downes runs Start Licensing, an independent brand licensing agency. His X handle is @startlicensing and on Instagram he is @iandownesphotos – he would welcome your suggestions for what to look out for.

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