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The Licensing Lookout

Start Licensing’s Ian Downes ponders on the roll out strategy of Star Wars licensed products this week.

It has been interesting watching the roll out of Star Wars licensed products – it is probably the licensing programme of the moment with the broadest sweep of licensed products in terms of categories covered and diversity of ranges.

Some critics have suggested that some products are pushing the boundaries too far and that there isn’t room in the market for them; I guess time will tell on this point. But it is a brand with a very loyal fan base and a brand that engages retailers. It is a big brand with a big following.

I suspect the truth is that there is a mixed strategy at work in regards the Star Wars rollout – mixing money making ideas with a commitment to innovation, coupled with new business opportunities that allow Disney to explore new product horizons.

For example recently launched Star Wars ‘character’ coffee presses could open up opportunities for other Disney owned properties. Star Wars is a great calling card. We shouldn’t despair at this. This could create opportunities for other licensors and agents as well: a successful Star Wars campaign may create a community of new licensees for the industry.

metalearth

With this thought in mind some Star Wars product that caught my eye this week was a range of 3D Metal Model Kits. They are developed by a US company Metal Earth and seem to be distributed in the UK by Professor Puzzle. Nicely presented in a shelf ready counter top box the kits included R2 -D2 and the Millennium Falcon. They are neatly presented to encourage gifting and pick up purchase.

I thought this was a novel way of using the Star Wars licence combining crafting with gifting – the finished product looked good and I’m sure would hold appeal to fans and collectors. A finished model was incorporated in the display – a clever thing to do helping to guide and inspire consumers. I spotted the range in a department store within the gift department – I suspect the use of the Star Wars licence persuaded the retail buyer to take this range over a generic range. A win for licensing I think.

The only small negative was that the product is restricted to 14+, I guess because of small or sharp parts. It’s a shame as it means younger fans and crafters won’t be getting this as a Christmas gift – maybe there is a junior version available in the toy department.

bbpudding

I was also interested to see that soon to be ex-Bake Off judge Mary Berry had a couple of chilled desserts on sale in Waitrose. These include one dessert that Mary describes as My Mother’s Bread & Butter Pudding. The packaging was crisp, clean and clear utilising Mary’s photo, name and signature well.

Personality licensing and branding seems to be in growth in the FMCG area – it is an interesting trend to follow and one that I hope some ‘quality control’ is exerted over. Mary Berry seems to me to be a strong ‘brand’ to use in the chilled dessert category and entirely appropriate.

If this type of licensing usage grows, as I think it will, I do hope that licensees are careful in the choice of personalities and their application. It will be important to match personality with product in an authentic way and to take a long-term view with product roll out.

ppsocks

Licensing is all about adding value to products and with this thought in mind it is interesting to see that retailers and licensees are now adding even more value to licensed products by literally ‘adding product’ to product. Sainsbury’s apparel department is currently featuring a Paw Patrol pyjama set with a pair of socks added to the PJ set and a Me To You pyjama set with a ‘free’ night case added to the product. These added extras undoubtedly create more consumer interest and hopefully purchase.

I guess suppliers need to be mindful of protecting margins and in the medium-term not raising consumer’s expectations that this will be the norm in the future. The plus side is that these products stand out against generic products and take a functional product more readily into the gifting category. It also offers retailers a way of creating a point of difference in a competitive market.

I think the consumers will also see this as real ‘added value’ which in a shopping age where ‘value for money’ is important this is a good direction for licensing to travel. Both product sets worked well on shelf and the added value component was communicated well.

busstop

The Mr Men Little Miss partnership with Transport for London has now arrived at bus stops with one of the Little Miss being used to encourage bus travellers to have their ticket ready. This partnership has been very visible in London and has sparked a deal with Paperchase for TFL/Mr Men Little Miss stationery. This is real cause and effect: the effort put into the partnership has had a return in product terms. I expect to see more rights owners looking at new and novel ways of engaging with consumers and retailers to achieve stand out for their properties.

With this in mind, I think it is important that the return on investment is always kept at the forefront of these activities and negotiations. I think this example is a good one which has a retail range at its heart. It is a good case study. It is a good model to have in mind when brokering these kind of deals. The campaign has certainly brightened up my journey and I am sure has reignited a lot of people’s love of the Mr Men Little Miss brand, but it has also had a commercial return for the brand owner.

Not sure it is a licence deal or a PR driven promotional deal, but I thought the link between Mail Boxes Etc and the Storks movie was a good one. Window displays in branches encourage consumers to have parcels ‘delivered by Storks’. A simple but effective promotional link and good to see a new ‘retailer’ on board with film promotions and licensing. New business development is going to be even more important in coming months I think.

One learning I have taken out of BLE is to redouble my new business efforts: it is clear that the centre of licensing is crowded, but there is an appetite for licensing among new companies and sectors. The latter just take a little longer to be persuaded.

Hopefully the new deals and categories that big brands like Star Wars are developing may help the industry as a whole. To make sure Star Wars is an effective recruiting sergeant for Licensing PLC it is our civic duty to all buy a coffee pot this weekend! It will at least be a talking point at dinner parties in the future.

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

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