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Video Games/Interactive/Online

Royalty Profile for Video games/Interactive/Online-based Licensed Merchandise

 

Sector value, U.S. & Canada, 2017: $0.63 billion

Proportion of retail sales of licensed merchandise, U.S. & Canada, 2017: 0.6%

Average royalty, U.S. & Canada, 2018: 9.70%

Royalty range, U.S. & Canada, 2018: 4%–18%

Average royalty, U.S. & Canada, (10 years) 2009–2018: 9.72%

Analysis

Licensing programs based on classic interactive games such as Super Mario, Sonic the Hedgehog, Tetris, Halo, and World of Warcraft have been around for years, and they are as strong as ever in today’s licensing landscape.

Meanwhile esports, mobile, YouTube, virtual world, and other newer interactive sectors are emerging. One example is Angry Birds, which faded in popularity after 2013 and rose up once more for 2016. Massive online multi-player games like Fortnite and Minecraft—which have strong pop culture influence—
are dominating the category in recent years.

Interactive properties have made their way to television or film. In these cases, there may be separate licensing programs for the TV and interactive-based portions of the property, with different royalty structures for each.


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