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When Stealing Licensed Products is Encouraged

The Wall Street Journal’s Sarah Rose has a great story today on luxury hotels and how they’ve created their own branded personal care items in order to lure discerning customers. By “discerning customers,” we mean thieves.

Rose explains that the W chain of hotels uses Bliss soaps, shampoos, and lotions to lure customers. She explores the habits of other hotel chains including Hilton Hotels and Resorts, Ritz Carlton, and Kimpton Hotel & Restaurant Group. Many of the agreements involve licensing between hotel beauty product suppliers and luxury brands.

UK Judge Rules Against Lucasfilm

The designer of the original Storm Trooper helmets for the Star Wars franchise has won a legal battle in the United Kingdom that will allow him to continue selling the helmets there, BBC news reports.

Andrew Ainsworth of London is not allowed to sell the helmets in the U.S. due to American copyright law, but British Supreme Court judges accepted Ainsworth’s argument that the helmets were not artistic works but functional ones, and therefore not subject to the same copyright protection as works of art. The court ruled that three-dimensional creations are not considered sculptures, limiting their copyright protection in the United Kingdom to 15 years.

Retail Sales Up, But Profits, Not So Much

Reuters reports that U.S. retailers will report a nearly 3 percent increase in sales from last year, but that an increase in sales of discount merchandise has kept margins razor-thin.

The article posits that the large number of sales is designed to clear store shelves before the back-to-school season—but it is unclear whether BTS items will command full price.

As we’ve written before, licensed goods should fare pretty well during BTS season, regardless of overall sales numbers.

—Bryan Joiner

New Licensing Director for NBCUniversal; Purina Gear Comes to Walmart

NBCUniversal Television Consumer Products Group has brought Kerry O’Donnell on board as the director of global licensing. She will focus on sales and product development for NBC and USA Network properties.

O’Donnell previously served as director of merchandising and licensing for ABC Entertainment Group, where she managed consumer products and licensing for properties including Lost, Grey’s Anatomy, Dancing with the Stars, and Wipeout. O’Donnell led financial analysis, deal recommendations, and contract negotiations for license opportunities, including e-commerce, video games, books, action figures, trading cards, toys, greeting cards, and apparel, according to NBCUniversal’s announcement.

Purina Pet Gear Products Launch at Walmart

Under a license with Nestle Purina PetCare Company to use the Purina brand, the oneCARE Company’s line of Purina Pet Gear products is now available in Walmart stores throughout the United States. The new line, which includes training pads and household cleaners, can be seen in its entirety at its recently launched Facebook page.

Harry Potter Film Boosts Orders of Kymera Magic Wand

Sales for the Kymera Magic Wand, by the Dragon’s Den, have increased 350 percent since the July 15 release of Harry Potter and the Deathly Hallows: Part 2, according to the UK’s ToyNews. Developed in the UK, the Kymera Magic Wand is a motion-sensitive, button-less universal remote control for iPods and TVs, using high-tech gesture recognition and a standard infrared signal.

M!KE Licensing Signs Licensee for Yak Pak Bedding

M!KE Licensing appointed Cody Direct as the exclusive licensee for Yak Pak bedding. The Yak Pak domestics lifestyle collection will consist of decorative bedding, blankets, throws, indoor slumber bags, sheeting in all thread counts and fabric constructions, soft storage, novelty pillows/cushions, and accent rugs, according to the release.

M!KE Licensing is seeking licensees for Yak Pak in categories including party paper goods, eyewear, pajamas/underwear, fleece, hosiery, and sporting goods.

—Melissa Tinklepaugh

Full Coverage of Comic-Con; Walmart and NHL News

Comic-Con International has brought franchises including Voltron, Captain America, and Star Trek, to the estimated 125,000 comic fans gathered in San Diego July 21-24, while toymakers have embraced the opportunity to funnel exclusive licensed merchandise to collectors.

Toy companies like Mattel and Hasbro offer exclusive merchandise presented in unique packaging that committed collectors would appreciate, according to Gregory Schmidt’s New York Times article about toymakers at Comic-Con. “Packaging is not just something to hold the figure,” said Frank Varela, an art director for Mattel, in the article. “Packaging enhances the experience of having the toy. It harkens to nostalgia for the fan boys.”

Along with Swamp Thing and Voltron toys, Mattel comes to Comic-Con with a 20-inch replica of the Stay-Puft Marshamallow Man from Ghostbusters, with a city diorama and packaged inside a box resembling a suitcase. Mattel also brings two Hot Wheels vehicles, including the DeLorean from Back to the Future with a movie diorama.

Hasbro brings a Star Wars set that includes 12 action figures in a box designed to look like the Death Star. The company will also display Ultimate Optimus Prime, Marvel Universe Sentinel, Transformers, G.I. Joe, My Little Pony, and the new Kre-O brand, which is making its Comic-Con debut with 12 building sets featuring Transformers characters.

Despite the current temperatures this week (96º in NYC), Comic-Con isn’t always so hot for film studios.

Comic-Con attendees can generate negative buzz that hurts a film, said Tim Palen, Lionsgate’s president for theatrical marketing, in an AdAge.com article by Andrew Hampp.

“If the fans don’t think something is cool, they will let you know—instantly, and passionately,” Palen told Ad Age. “So if you come to Comic-Con, you’d better have the goods, because there are other opportunities to launch, and it’s very hard to recover from bad Comic-Con buzz.”

Mid-sized studios Lionsgate and Relativity Media are presenting at least four movies each, showing screenings or selected content from their upcoming releases, while Warner Bros., Disney, and DreamWorks stayed home this year.

Relativity announced at Comic-Con that it has optioned the feature film rights for Voltron from World Event Productions. The studio will adapt the live-action big screen version from the 1984 animated series Voltron: Defender of the Universe. Comic-Con is big for Voltron this year, as the franchise made it Comic-Con panel debut Thursday with a presentation of new and classic Voltron content.

Dissenting from the worry of other big studios, Sony has a panel for 2012’s The Amazing Spider-Man movie and is advertising the Ghost Rider sequel. Comic-Con also scored participation from Summit Entertainment with a panel for The Twilight Saga: Breaking Dawn, Universal with a Cowboys and Aliens premiere, and Paramount with a Captain America: The First Avenger screening and a panel for The Adventures of Tintin. Audience members of Captain America will receive RealD 3D Collector’s custom red, white, and blue Captain America glasses, a limited-edition poster, and a grand prize package of Captain America merchandise and other Marvel items given away to an audience member at each screening.

Television properties have a presence at Comic-Con as well. Nickelodeon, Toynami, and vinyl toy brand Unkl partnered to create co-branded SpongeBob SquarePants urban vinyl toys, modeled after Unkl’s UniPo figures, available this fall. Toynami unveiled working prototypes of the first wave of figures at Comic-Con, which will include SpongeBob SquarePants, Patrick, Squidward, Mr. Krabs, and The Flying Dutchman. Nickelodeon Consumer Products also unveiled a new lineup of toys from Jazwares for Fanboy and Chum Chum, available in August from Toys “R” Us.

CBS has come to the convention with exclusive sneak peeks, signings, and limited-edition products based on its television brands, including Star Trek, CSI, NCIS, Dexter, Charmed, Cheers, and The Twilight Zone. Since these TV properties have been long-established and don’t face the same need movies have to garner buzz and then box office sales, TV shows seem to cater to the collector in a similar way as the toy companies. CBS attends Comic-Con to reach its audience directly, said Liz Kalodner, executive vice president and general manager of CBS Consumer Products. “By offering these exclusive items we can reward our greatest fans with products that can’t be found anywhere else.”

—Melissa Tinklepaugh

Walmart Will Share Sales Data

Big news from the retail front, where Walmart has agreed to share sales data with research organizations through Nielson & Co.

Walmart previously kept sales data to itself, leading research firms to use consumer panel data and advanced modeling to estimate the mega-retailer’s packaged-good sales totals.

Nielsen’s Niffer Frighetto told Advertising Age‘s Jack Neff that sales data will be available in a “few months,” and that the data will cover sales from U.S. Walmart stores, Neighborhood Markets, and Sam’s Club, and will include some historical data.

NHL Announces A Good Number of Deals

The National Hockey League, of which the Boston Bruins are champions, announced 23 new licensees at its annual licensing and trade show Wednesday and Thursday.

New licensees include A&E Group for outerwear; Coveroo for cell phone covers; and Levelwear for apparel and outerwear in Canada. Franklin Sports also signed a renewal agreement for its two-decade partnership to create NHL Street Hockey Gear.

Did we mention that the Bruins won the Stanley Cup?

—Bryan Joiner

Top News for July 19: Back-to-School is Earlier, Target gets Funky, J-Lo and Marc Antony are Still On (Kind of)

An article by New York Times reporter Stuart Elliott confirmed what any parent or consumer of press releases knows: back-to-school is starting earlier as retailers adjust to the rules of the new economy. Under these rules, consumers seem to make fewer trips to stores, so retailers have every incentive to get them to come to their store or find them online. Walmart announced today that it is slashing prices on back-to-school and back-to-college items, going as far to specifically note that Toy Story and Cars licensed backpack/lunch sets would be available on Walmart.com.

Elliott’s report mentions retailers, including Kmart, boasting “Christmas in July” sales, which dovetails with a reporter in yesterday’s Times by Stephanie Clifford which found grocery chains offering bulk deals to consumers in order to maximize in-store revenue. Clifford said grocery chain executives found that “in this economy, with people visiting stores less frequently, spending less per trip and sticking to their shopping lists more closely, the competition to offer more compelling deals is stronger than ever.” And that’s for food!

In this context, it makes sense that Walmart would offer its licensed back-to-school product cheap online while advertising cheap in-store goods. It’s easy to justify the purchase of a Toy Story or Cars item for slightly more money than a generic item when you’re at home, and haven’t spent the time or money to go to the store. Once a consumer is in the store, the inclination to buy generic could take over—the idea of saving a lot of money all at once is appealing, as grocers have discovered.

A Dow Jones Newswires article by Karen Talley hinted that retailers walk a knife-edge while trying to entice consumers to spend money for back-to-school items when those same consumers are used to dirt-cheap promotions around BTS time. In the article, Kit Yarrow, a professor of psychology at Golden Gate University, says that “Parents are going to be shocked and disappointed by the price of goods. They’re going to make sure their kids are outfitted, but won’t go beyond their budgets like they have in the past.

Of course, the entire licensing industry is predicated on the notion that parents will, in fact, go beyond their budgets, if only a little bit. And there’s proof that it’s happening, even now, with Mattel’s Cars 2 merchandise sales pushing company earnings up 56 percent from Q2 last year, which is proof that consumers are rational even in tough times: Even while cutting back on food, it’s worth spending the extra few dollars on a Mater backpack. Retailers might take a hit on BTS merchandise sales, and consumers might spend less, but the best licensors will remain resilient as always.

Target’s Funky New Partnership

Target has teamed with the Hamilton Wood & Type museum of Two Rivers, Wisc., for an apparel line.

Wait… what?

According to an article in The Atlantic by Steven Heller, Target’s Michael Alexin “fell in love” with the museum after seeing a film about it, and set out to create a partnership. The campaign is based around the tagline “Cool Never Fades” and is banking that consumers will know and love old typography enough to see it as a funky retro brand. The line debuted last week, and is perfect for, as Alexin says (wait for it)… Target’s back-to-school collection.

J-Lo and Marc Anthony: Off, but Still On at Kohl’s

Horrors! Jennifer Lopez and Marc Anthony may have split, but their clothing line at Kohl’s will move ahead as scheduled.

In a Daily Mail article by Tamara Abraham, LF USA’s Rick Darling (LIMA 2011 keynote speaker) says that the launch will remain unaffected. “‘We have two separate agreements with Jennifer and Marc and always intended to have separate lines. [Their split] doesn’t impact the agreements in any way.” LF USA sublicenses the brands to Kohl’s.

You may rest easy.

LIMA Elects Six New Reps to Board of Directors

The International Licensing Industry Merchandisers’ Association has added six members to its Board of Directors.

Joining the LIMA Board are:

• Susie Lecker, SVP of Fisher-Price Friends, FP Brands
• Marty Malysz, President, Dependable Solutions, Inc.
• Carla Peyton, SVP, Licensed Consumer Products – The Americas, BBC Worldwide America
• Jennifer Richmond, Managing Director, Richmond Management Group
• James Slifer, VP, Business Development – The Joester Loria Group
• Cheryl Stoebenau, President, CAS Marketing

Leaving the board are Spin Master’s Adam Beder; Making Connections’ Rick Mallow; Marketing on Demand’s Stu Seltzer; Mattel’s Holly Stein; Strand IP’s Robert Strand; and Konami Digital Entertainment’s Careen Yapp.

—Bryan Joiner

Conan the Barbarian Named One of 11 Films to Boost 2011

Paradox Entertainment Inc. and its subsidiary Conan Properties International LLC announced that their upcoming film Conan the Barbarian was named one of USA Today’s 11 Films to Lift 2011.

Starring Jason Momoa, Stephen Lang, Ron Perlman, Rachel Nichols and Rose McGowan, the film will be released August 19 in both 2-D and 3-D via Lionsgate.

In the realm of licensing, several companies have signed on to create product based on the film, as well as classic Conan merchandise.

Licensees include Albion Film Swords (custom weaponry and armor; worldwide), Dark Horse Comics (comics and graphic novels print and digital; worldwide); Double Barrel (motion comics co-production; worldwide) Museum Replicas/Atlanta Cutlery (weaponry and armor; worldwide), Penguin (novelization of the screenplay; worldwide), Rittenhouse (collectible trading cards; North America, Australia, New Zealand, United Kingdom), Rizzoli (2011 wall calendar; worldwide) and Rubie’s Costume (costumes, masks and costume accessories; worldwide)

Other films with major licensing efforts that made the list include Rango, Rio, Scream 4, Cars 2, Cowboys and Aliens and The Smurfs.

Skechers’ New Global Licensing Initiative

Skechers Entertainment, a division of global footwear company Skechers USA, Inc., is leveraging the popularity of its original branded content and characters with a global licensing campaign.

Among the initial properties driving this new initiative is Zevo-3, the first originally produced animated television series from Skechers Entertainment, which premiered on Nicktoons in October 2010. Additionally, the direct-to-DVD movie Twinkle Toes, which is currently in production, will be among the other key properties leading the licensing roll-out. Skechers Entertainment will develop licensing partnerships in all categories including apparel, interactive, toys, games, accessories, food & beverage, stationery, gifts, arts & crafts, publishing, personal care, dress up & role play, home, novelty, seasonal and back to school.

Universal and Walmart Team for Movie Promotion

Universal Pictures and Walmart have announced a retail program tied to the upcoming live action/CG-animated comedy Hop, which hits theaters April 1.

The Story
Hop is a comedy about E.B. (voiced by Russell Brand), the teenage son of the Easter Bunny. On the eve of taking over the family business, E.B. leaves for Hollywood in pursuit of his dream of becoming a drummer. He encounters Fred (James Marsden), an out-of-work slacker with his own goals, who accidentally hits E.B. with his car. Feigning injury, E.B. manipulates Fred into providing him shelter, and Fred finds himself with the world’s worst houseguest.

The Program
Walmart customers can build Hop-themed Easter baskets, and visit the movie-inspired “Candy Factory,” with 100 exclusive licensed products, including candy, toys, activities and apparel from Garan, Topsville, Hershey’s, Frankford, Bakery Craft, Create a Treat, Keystone Bakeries, Kool-Aid, Country Time Lemonade, Kraft Mac & Cheese, Velveeta Shells & Cheese, Funrise, Dalmation Press and Townley.

The program begins tomorrow at more than 3,000 Walmart stores.

Walmart will also offer Hop-themed video games for the Nintendo DS, DSi and 3DS, greeting cards and children’s books.

Mandela Foundation to Launch Clothing Line

According to a recent report by the Associated Press, The Nelson Mandela Foundation is putting its stamp on South Africa’s textile clothing industry with the launch of an international clothing line. The foundation’s objective with the line is to sustain its charities while also helping the country’s textile clothing industry.

The line, titled “46664,” after Mandela’s prisoner number at Robben Island Prison, will debut in August at its own store in Johannesburg, as well as department stores and online. The line will include sportswear for men, African-influenced women’s wear and couture garments.

No matter how admirable the intent, however, some detractors find the line to be too expensive: A T-shirt will cost 180 rand ($26), while a man’s collard shirt will cost about 600 rand ($86)—lofty price tags for a country with a minimum wage that is fewer than $200.

Come August,  sales will determine whether charity or price won out.

eBay Releases Top-Shopped Items List

Most of us don’t have tons of money tucked under the mattress to pull out for the latest techno gadget or trendy fashion accessory. When you just can’t part with the Benjamins even for the most coveted item, you can always find an answer through eBay. According to a recent article in the Los Angeles Times, the online auction site has released its top-shopped items in 2010 list.

According to the list, compiled by analyzing sales and search data across categories to identify the year’s major moments and movements, the top shopped and pop culture obsessions of 2010 include:

1. iPhone 4

2. Barbie

3. Military jackets

4. Hot Wheels

5. iPad

6. World Cup

7. The Beatles

8. Silly Bandz

9. Alice in Wonderland

10. New Orleans Saints

11. Marc Jacobs

12. LeBron James

Top shopped in style and fashion obsessions include:

1. Military jackets

2. Plaid

3. 1950s

4. Neon

5. Marc Jacobs

6. Feathers

7. Faux fur

8. Tory Burch

9. Ankle boots

10. Leopard print

It appears The Licensing Book and eBay are in sync when it comes to pop culture obsessions—we included Silly Bandz in our Year in Review—although we aren’t too sure about feathers and fake fur.

Mackenzie Allison

Walmart Launches Toyland

Through December 19, Walmart’s Toyland is in nearly all stores nationwide, with savings on thousands of toys.  With the addition of Toyland, Walmart now has the largest square-footage dedicated to toys among all retailers and features many of the year’s hottest toys.

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