Royalties on licensed goods in the U.S. and Canada in 2015 started a second decade of long-term stability, once again showing little or no movement. The average royalty in 2015 was 8.73% compared to 8.68% in 2014, a change of just 0.6%. Since 2005, the average royalty rate across property types and product categories has been in the 8.6% to 8.8% range. More than half (59%) of … [Read more...] about Average Royalty Rates, Guarantees & Advances in the U.S. & Canada Climb Thanks to Entertainment
Royalties
Licensed Sales Fuel Explosive Growth at Sequential Brands
By Glenn S. Demby, Esq. Sequential Brands had showed third quarter (Q3) sales for the ages, more than doubling year-over-year revenues from $10 million to $23 million. Because Sequential's business model centers on acquiring and then licensing out brands, almost all of this money is royalty income. Here's a performance breakdown based on CEO Yehuda Shmidman's conference call … [Read more...] about Licensed Sales Fuel Explosive Growth at Sequential Brands
Licensed Sales of Music Goods Hit Low Note in 2014
After five consecutive years of growth, retail sales of licensed goods based on music properties in the U.S. and Canada declined 2.5% to $2.5 billion in 2014, according to The Licensing Letter's Annual Licensing Business Survey. The dip in sales of music licensed goods may be both an effect and a reflection of the larger trends shaping the different aspects of the music … [Read more...] about Licensed Sales of Music Goods Hit Low Note in 2014
Average Royalty Rates in U.S. & Canada Steady for Decade; Entertainment Fees Climb, Guarantees & Advances Flat
Royalties on licensed retail goods in U.S. and Canada in 2014 represented the picture of longterm stability, capping a decade-long trend of little to no movement. The average royalty in 2014 was 8.68%, compared to 8.67% in 2013, a change of just 0.01%. Since 2005, the average royalty rate across property types and product categories has been in the 8.6% to 8.8% range. More … [Read more...] about Average Royalty Rates in U.S. & Canada Steady for Decade; Entertainment Fees Climb, Guarantees & Advances Flat
Iconix: Owning (and Licensing) is Believing
Iconix has $750 million in go-forward guaranteed minimum royalties for 2015, excluding renewals, the company reported in the course of its analysts’ call following release of its third-quarter 2014 results. The company has renewed four major DTR agreements under the same terms as the prior deals: Danskin Now (Walmart), Mudd (Kohl’s), Material Girl (Macy’s), and Fieldcrest … [Read more...] about Iconix: Owning (and Licensing) is Believing