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Sporting Goods

Royalty Profile for Licensed Sporting Goods

 

Sector value, U.S. & Canada, 2017: $2.99 billion

Proportion of retail sales of licensed merchandise, U.S. & Canada, 2017: 2.7%

Average royalty, U.S. & Canada, 2018: 9.80%

Royalty range, U.S. & Canada, 2018: 4%–15%

Average royalty, U.S. & Canada, (10 years) 2009–2018: 9.84%

Analysis

Art licensing has moved into this sector via snowboards and skateboards, but much of the business revolves around sports licenses, some corporate brands (primarily as extensions of existing sporting goods brands into complementary products) and a smattering of entertainment properties.

Yoga, pilates, cycling, barre, and other “lifestyle fitness” movements are also involved in the lighter end of sporting goods with personal mats, balance balls, light weights, and other items. Cross-licensing between a sports league and a character, with each drawing a lower royalty than it would alone, is also increasingly popular.

Average royalties in this product category have been steady at just under ten percent since mid-decade.


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