By: Karina Masolova, karina@plainlanguagemedia.com
Licensed retail sales of corporate trademark/brand-based merchandise were up 2.6% worldwide in 2017, according to TLL’s Annual Licensing Business Survey. The U.S./Canada was responsible for nearly 80% of the total $36.8 billion in sales for that year, with territory sales up 2.5% from 2016 to reach $29.2 billion in 2017.
In terms of sheer dollar growth, the U.S./Canada outpaced the rest of the world 3:1 with an additional $710 million in licensed retail sales compared to $222 million internationally.
But the U.S./Canada was far from the fastest-growing region: that title went to Asia, which saw licensed retail sales jump 3.7% to reach $2.3 billion in 2017. Europe followed up with 2.9% growth to reach $4.4 billion in sales, and the Middle East & Africa observed 2.7% growth for a total of $182 million. Latin America saw somewhat stunted 1% growth in 2017, with sales ticking up to just $311 million.
Note: Numbers may not add up exactly due to rounding. | ||||||
(Figures in Millions) | ||||||
---|---|---|---|---|---|---|
Territory | Retail Sales, 2017 | Retail Sales, 2016 | Change, 2016-2017 | Market Share, 2017 | ||
U.S. & Canada | $29,155 | $28,445 | 2.5% | 79.3% | ||
Europe | $4,386 | $4,263 | 2.9% | 11.9% | ||
Asia | $2,254 | $2,173 | 3.7% | 6.1% | ||
Australia/New Zealand | $437 | $426 | 2.6% | 1.2% | ||
Latin America | $311 | $308 | 1.0% | 0.8% | ||
Middle East & Africa | $182 | $177 | 2.7% | 0.5% | ||
Other | $58 | $59 | -1.0% | 0.2% | ||
Total | $36,783 | $35,850 | 2.6% | 0.0% |
U.S./Canada Retail Sales by Sector
In the U.S./Canada, the largest sector of corporate trademark/brand licensing in 2017 was food/beverage at 27.9% of total licensed retail sales, or $8.1 billion. The next-largest sectors were restaurant brands (16.2%), automotive/motor vehicle (14.9%), and electronics/technology (11.9%).
The fastest-growing sub-property types in 2017 were food/beverage and electronics/technology with 2.8% growth. They were followed by electronic media (2.6%), automotive/motor vehicle (2.5%), and sporting goods (2.0%).
In terms of sheer dollar growth, food/beverage is also number one with a $223 million gain in 2017. Automotive/motor vehicle brands saw a $106 million boost and electronics/technology grew by $94 million, but all other sub-sectors TLL tracks observed under $50 million in dollar growth in 2017 compared to the previous year.
Note: Numbers may not add up exactly due to rounding. | ||||||
(Figures in Millions) | ||||||
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Property Type | Retail Sales, 2017 | Retail Sales, 2016 | Change, 2016-2017 | Share, 2017 | ||
Food/Beverage | $8,143 | $7,920 | 2.8% | 27.9% | ||
Restaurants | $4,732 | $4,685 | 1.0% | 16.2% | ||
Automotive/Motor Vehicle | $4,336 | $4,230 | 2.5% | 14.9% | ||
Electronics/Technology | $3,458 | $3,363 | 2.8% | 11.9% | ||
Hardware, Appliance & Tool | $1,335 | $1,331 | 0.3% | 4.6% | ||
Sporting Goods | $230 | $225 | 2.0% | 0.8% | ||
Home-Related | $1,433 | $1,426 | 0.5% | 4.9% | ||
Electronic Media | $855 | $833 | 2.6% | 2.9% | ||
Other | $3,478 | $3,360 | 3.5% | 11.9% | ||
Total Trademarks/Brands | $29,155 | $28,445 | 2.5% | 100.0% |
Representative Corporate Trademark/Brand Properties
The range of corporate brands with licensing programs is enormous. We break out some of the larger sub-groups, including automotive/vehicle, food/beverage, restaurants, sporting goods, hardware/appliance/tool, home-related, electronics/technology, and electronic media. Retail brands, diet/health brands, luggage brands, and additional brand-based properties are aggregated under “Other.” Large as this sector is, much licensing in this area is “invisible” and difficult to estimate.
Automotive/Vehicle: BMW, Cadillac, Caterpillar, Chevrolet, Chrysler, Corvette, Dodge, Ferrari, Ford Motor, Harley-Davidson, Hummer, Jaguar, Jeep, John Deere, Kawasaki, Mack Truck, Mercedes Benz, Mustang, Porsche, Winnebago.
Food/Beverage: Arm & Hammer, Betty Crocker, Blue Diamond, Budweiser, Campbell’s, Cheerios, Chiquita, Coca-Cola, Coors, Corona, Del Monte, Dr Pepper/Snapple, Godiva, Green Giant, Hershey, Jack Daniel’s, Jim Beam, Kahlua, Keurig, M&Ms, Miller, Mountain Dew, Nathan’s, Nestle, Oreo, Pepsi-Cola, Pillsbury, Reese’s, Special K, Sunkist, Sun-Maid, Welch’s.
Restaurants: Baja Fresh, Baskin-Robbins, Boston Market, Burger King, California Pizza Kitchen, P.F. Chang’s, Cinnabon, Claim Jumper, Dunkin Donuts, Fazoli’s, Jamba Juice, La Tasca, McDonald’s, Red Robin, Starbucks, Subway, Taco Bell, TGI Friday’s, White Castle.
Sporting goods: Body Glove, Browning, Coleman, Dunlop, Everlast, Polaris, Rawlings, RealTree, Remington, Smith & Wesson, Spalding, Wilson, Winchester, Under Armour.
Hardware/Appliance/Tools: Black & Decker, Craftsman, DeWalt, Honeywell, Maytag, Snap-On, Stanley, Sunbeam, Westinghouse, Whirlpool.
Home-related: Croscill, Farberware, Fiesta, Mikasa, Mr. Clean, Pfaltzgraff, Rubbermaid, Waverly, Woolite.
Electronics/Technology: AT&T, Apple, Emerson, GE, IBM, Phillips, Polaroid, RCA, Timex, Verizon, Westinghouse, Xerox.
Electronic media: Animal Planet, Discovery Channel, ESPN, HGTV, Food Network.
Other: American Kennel Club, American Tourister, Armor All, Dr. Scholl’s, Eveready, Jenny Craig, Linens ‘n Things, Samsonite, Scotts MiracleGro, Sharper Image, Toys ‘R’ Us, Weight Watchers.