Character Brand Licensing
June 16, 2008
Click here to download a PDF of complete LIMA coverage.
BUNNIES, BEARS AND DINOSAURS have moved a massive amount of product over the years, to be sure, but success in this category isn't about "character slapping" any more. There's been an evolution in the field that requires property owners and licensees to ramp up their game to please retail and snag consumers. Mass and specialty stores demand well-rounded product lines with solid hooks for promotion. When a licensee delivers, it can mean traffic-stoppers like the Hello Kitty shop at Macy's flagship store in Manhattan and significant shelf space for Disney Princesses.
"Our category has grown up," said Henry Stupp, president of NTD Apparel USA, whose work on Hello Kitty girls' apparel has made him a 2008 LIMA finalist. "We have to produce sophisticated and fresh fashions to convince retail that they deserve space on the floor."
That means staying close to current trends like rhinestones, preppy plaids, denim and bold graphics that reflect what's happening in the broader fashion world of tweens and teens. The book-based Little Miss, for example, came out with retro-cool T-shirts that drew in famous fans like Paris and Britney, quickly trickling down to younger demos.
"It's how you interpret the character based on what's happening in the market at the moment," said Justin Watson, marketing director at Mighty Fine, whose Disney Couture line is also in the running for an award.
This year, leading character brands got "interpreted" across product lines as diverse as men's clothes, girls' accessories, books, dolls and maternity outfits. Specialty staple It's Happy Bunny, for one, went mass, adding seasonal product, maternity, baby and men's lines for the first time, significantly expanding the wise-cracking rabbit's impact. The character, which has been honored by LIMA in the past as an art license but became a character brand with the addition of publishing a few years back, found ways to snark-up greeting cards, bedding, baby bibs and holiday sweatshirts.
"You have to have a point of departure that makes you desirable," said Carole Postal, whose CopCorp Licensing represents J.K. Benton's simple but durable bunny. "We have this naughty little bunny who says funny things."
Interest in character licensing-from retailers and consumers- is cyclical and, as recently as a few years ago, it was definitely in a valley. Some say it still is, though Disney has shaken the market with Hannah Montana and the High School Musical franchise. Still, there's yet to be "the next Pokemon," said Debra Joester, president and CEO of Joester Loria Group.
That's where some classic properties like Care Bears come in, making sure retail has consistent sales and fans have familiar yet fresh choices. Shepherded by Joester's company, the 25th anniversary of the cuddly characters featured the first regular TV series in decades and a special white plush bear with Swarovski crystal eyes. A relaunch of the Web site, release of a "lost episode" from the '80s and Macy's Thanksgiving Day Parade boosted the program.
"You need multiple touchpoints to reach people in different ways," said Joester. "They have to engage with the property" to move the bottom line on merchandise.
That's why there's new entertainment in the form of DVDs and themed product every year for another classic, Strawberry Shortcake, a girl favorite whose roots are also in the '80s but which has become a $2 billion brand in the past five years.
"You constantly have to re-energize your brand," said Lisa Streff, vp of domestic consumer products for DIC Entertainment, home of Strawberry Shortcake. "Little girls are growing up faster than ever, and you have to be smarter in your storytelling, design and development. It's an advantage to be an evergreen, but you have to be contemporary too."
For more LIMA coverage:
A note from Charles M. Riotto, LIMA President
2008 LIMA Finalists
Character Brand Licensing
Corporate Brand Licensing
Film, TV and Entertainment Brand Licensing
Sports and Sports-Themed Entertainment Licensing
Licensed Promotions
Art Brand Licensing
Retailer Licensing Programs