Connecting a well-known brand to a popular product to help boost sales and generate revenue has escalated the market for brand licensing and is expected to grow exponentially

Covid-19 Impact & Market Status

The research provides an in-depth look at the business dynamics and new investment strategies being used by business leaders across nations and regions to address the severe difficulties and financial instabilities that have evolved in the aftermath of the epidemic.

The research focuses on some of the most effective industry tactics and practices used by businesses in both domestic and international markets. Covid-19 has expanded rapidly since its emergence in 2019, prompting the World Health Organization to declare it a worldwide pandemic and an emergency.

The growing need for digitization in the face of the pandemic, in order to comply with the government's social distancing legislation, is projected to drive demand for brand licensing technology in the future years. The COVID-19 epidemic has wreaked havoc on people's health, financial situations, and social systems in a number of countries. COVID-19 has had a significant influence on trademark licencing in a variety of ways, including directly altering production and demand, disrupting supply chains and marketplaces, and having a financial impact on businesses and financial markets.

The impact on upstream, downstream, and midstream businesses has been devastating since the start of the global crisis. The research provides a ready-to-use strategy for dealing with such crises and guiding the global brand licensing industry toward sustainable development and methodical advancement.

Inquisitive business operators will find adequate business transformation suggestions in this study, which are critical to maintaining strong rivalry in the pandemic and post-pandemic period worldwide Brand licensing market.

Brand Licensing Market by type has the biggest market and is expected to grow at the highest rate

The market type for brand licensing is predicted to develop at the fastest rate from 2018 to 2028. Popular games and personalities are being added at regular intervals, guaranteeing that companies do not miss out on this market. Mattel recently collaborated with WWE to offer their fans toys that will bring the sport home and let them create their own action. Content with a multimedia component Mattel Toys, the parent company of popular brands like Barbie and Hot Wheels, is a major player in the global toy and allied licencing sector, having partnered with a slew of licensees and licensors. Angry Birds, one of the most successful digital IPs, has grown into one of the largest licencing programmes, with 500 (or more) items across ten categories available in 1,500 (or more) stores and leading MBOs, as well as on all major portals. Masstige refers to the establishment of product lines in the beauty, eyewear, and fragrance sectors that allow a luxury brand to apply premium pricing to a commodity, such as lipstick or perfume . Masstige product lines are one of the most successful ways for corporations to reach a much larger market by utilising the aspirational and exclusivity characteristics of their brands. To gain access to these markets, fashion labels do not develop their own manufacturing plants; instead, they enter into licencing arrangements with companies that specialize in creating these products to their specifications. Licensees who function as third-party providers of manufacturing services include companies like Luxottica and L'Oreal.

Brand Licensing  Market by Application to be the fastest growing segment

In fields like fashion, sports and fitness, media and entertainment, back-to-school, and so on, the brand licencing market has been flourishing. This is the area where multinational brands must make their impression. In 2016, 32 international brands went online and 22 global brands opened physical locations. As a business model, the majority of them rely on brand licencing. Character-inspired products has seen great development among fashion brands, retailers, and licensees and this is merely the beginning of a long-term trend that is here to stay. Character commercialization can be traced back to Walt Disney, who used his characters for secondary economic exploitation by producing items based on their works. Today, with the inclusion of a wide range of characters, character merchandise has exploded all around the world. However, finding the proper partner who can help grow the business is critical if companies want to succeed in this market. Brand owners that want to market their brand may seek to work with established fashion houses or start-ups. Fashion has a unique following in that it may be hyper-specific (think sneakerheads) or wide (think fashionistas) (women who wear dresses). Companies can find success for both the licenced collaboration and their core brand with proper planning and brand licensing.

North America to Sweep the Largest Revenue Followed by Europe and APAC

From 2018 to 2028, the North America market is predicted to develop at the fastest rate during the forecast period.

North America will have the biggest share of the market In terms of revenue and its market will be boosted by rising demand for merchandise of famous brands such as Walt Disney, Pokemon, etc. These demands will provide a boost to the brand licensing market. Some of the leading global licensing companies are Meredith Corporation, The Walt Disney Company, PVH Corp., Authentic Brands Group, WarnerMedia, and others. The top five manufacturers in the world control around 45 percent of the market. With a market share of almost 57 percent, North America is the largest market, followed by Europe and Asia-Pacific, which each have a market share of over 36 percent. As the study shows, The United States and Canada continue to be the top consumers of licenced items. Because these countries have vast populations and stable economies, brand owners are enticed to launch new items in the region every year due to disposable incomes and demand. Brand owners in Canada and the US may find it simpler to create and launch goods in their home markets, where they already have a presence and contacts. However, emerging areas such as Latin America, Northern Asia, and Southern Asia/Pacific all show significant growth during the forecast period. Emerging markets that competitors have not penetrated or are unwilling to immerse themselves in may be a viable choice for brand owners and manufacturers looking to break out of the crowded North American arena. Emerging markets may be more receptive to new products, value certain aesthetics, or require distinctive items in ways that larger markets may not.

The ability to use a brand for licencing which can offer cash and brand exposure to all parties involved has resulted in companies to adopt for brand licenses across various industries which is driving the brand licensing market

A licencing agreement allows a corporation (a licensee) to rent a brand from a brand owner to sell a product or service (a licensor). The licensee is responsible for producing, promoting, and distributing the product, while the licensor receives royalties for its brand.

A licensee gains access to the logos and trademarks linked with the brands after licence branding. As a result of their affiliation with the brand, the licensee's products receive marketing significance. Establishing a brand from the ground up, it takes years of hard effort, a large sum of money, and a lot of luck. Brand licencing is a quick approach to get instant access to all of the beneficial aspects of a brand. It also allows businesses to set themselves apart from their competition and communicate product features to customers.

Companies can'rent' a well-known brand and use it on their products through brand licencing. Connecting a well-known brand to a popular product can help boost sales and generate additional cash. Brand licencing tackles many of the difficulties that the retail business faces today, in addition to offering extra revenue opportunities. Companies will gain a competitive edge by licencing a brand. Allow creative in-store activations to engage new and existing customers. Brand licensing will also limit the inventory risk by allowing to capitalize on the success of a well-known brand.

Everyone, from large corporations to tiny businesses, uses licencing as a marketing and brand extension tool. All categories, including entertainment, sports, heritage, and corporate brands, can be combined into a licenced product to boost brand exposure in customers' daily lives.

Licensing allows a brand to expand into new categories, departments of a business, or even new locations. Brand licencing allows companies to expand their existing fan base and enter new business categories without having to invest heavily in new manufacturing methods. It allows retailers and manufacturers to stand out from the competition by offering customers the trendiest goods while also increasing sales. It allows a brand to expand into new categories, departments of a business, or even new locations. It lets retailers and manufacturers stand out from the competition and provide consumers with the hottest brands while also driving sales. It also allows brand owners to grow their present fan base and expand into other companies without having to invest heavily in new manufacturing processes.

The ability to use a brand for licencing or licence out a valued brand can offer cash and brand exposure to all parties involved, from "Pokemon" action figures to NFTs incorporating Crayola. Brand owners, merchants, and manufacturers all benefit from the licencing sector.

The global Brand Licensing market is expected to grow at a CAGR of 5.37 percent from US$ 281.3 billion in 2020 to US$ 413.0 billion in 2028.

In a number of nations, the COVID-19 epidemic has wrecked havoc on people's health, financial conditions, and social structures. COVID-19 has had a significant influence on trademark licencing in a variety of ways, including directly altering production and demand, disrupting supply chains and marketplaces, and having a financial impact on businesses and financial markets.

The Walt Disney Company, Meredith Corporation, PVH Corp., Iconix Brand Group, and Authentic Brands Group are some of the leading companies in the global brand licencing market. Major Ralph Lauren, General Motors, League Baseball League, WarnerMedia, Ferrari, Mattel, Procter & Gamble, Ford Motor Company, The Hershey Company, BBC Worldwide, PGA Tour, National The Pokémon Company International, Hockey League, WWE, Universal Brand Development.

Brand licensing has been recognized as a technique of engaging and bonding with consumers in this era of the digital revolution and retail transformation, asking them to participate with a brand rather than shoving a brand at them. Licensing allows consumers to interact with a broader selection of brand-aligned products. However, a well-structured licencing programme is critical. Several big companies, including Black & Decker, Coca-Cola, Baileys, Energizer, Polaroid, Procter & Gamble, Westinghouse, and Weight Watchers, have launched successful licencing programmes.

Latest Innovation in the Global Brand licensing Market: A snapshot

• In 2020, NickelodeonSpongeBob collaborated with Marlou Breuls to create a unique, authentic and creative collaboration between fashion designer Marlou Breuls and SpongeBob SquarePants in a crafted, heritage and sustainable story
• In 2020, in the year Barbie celebrates her 60th birthday, Original ICON Collection' Barbie by Filippo Laterza for Original Marines & Barbie collaborates with Patrizia Pepe to produce a 15-piece junior capsule collection inspired by the brand's 'You Can Be Anything' slogan.
• At Brand Licensing Europe in October 2021, four of the world's most well-known legacy brands took part in a new themed display. The V&A, Van Gogh Museum, Natural History Museum, and Style Library (with Morris & Co.) were all included in the first BLE Heritage X Interiors Collab. The activation took place in BLE's Companies & Lifestyle Zone, and it highlighted these brands' outstanding licencing programmes, with an emphasis on their expansion into luxury interiors.

Brand Licensing Market Scope

Key Segments of the Brand Licensing Market

Market Type Overview, 2018-2028 (USD Billion)

• Apparels
• Toys
• Accessories
• Home decoration
• Software or video games
• Food and Beverage
• Others
   

Market Application Overview, 2018-2028 (USD Billion)

• Entertainment
• Corporate Trademarks or Brand
• Fashion
• Sports
• Others
   

Regional Overview, 2018-2028 (USD Billion)

• North America
  • United States
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Russia
  • Nordic
  • Rest of Europe
• Asia-Pacific
  • China
  • Japan
  • South Korea
  • Southeast Asia
  • India
  • Australia
• Rest of Asia-Pacific
  • Latin America
  • Mexico
  • Brazil
• Middle East & Africa
  • Turkey
  • Saudi Arabia
  • UAE
  • Rest of Middle East & Africa