A symbiotic relationship between licensor and licensee that results in efficiencies in the marketplace. Licensing permeates the retail marketplace as evidenced by the billions of dollars in annual retail sales of licensed goods.
By utilizing a licensing to enter into a new product category, the licensor benefits by avoiding the costs associated with the establishment of production facilities. In addition, the licensor gains the benefits of the licensee’s industry specific expertise in an otherwise unfamiliar product category niche, including experience and knowledge regarding the most effective approaches to the issues of:
- Product design and attributes
- Manufacturing processes
- Retail relationships
- Cost structures
- Sales processes
- Market competition analysis
- Brand competition analysis at the specific product level
- Product voids in the market
- Shelf space opportunities
- Merchandising needs
- Customers/Retail buyers
- Consumers/End-user purchasers
The licensee benefits from the existing brand awareness that has been built upon the foundation of prior advertising and marketing expenses incurred by a licensor.
For more than 25 years, CONSOR has assisted brand owners with expansion into new markets and product categories through both direct-to-retail licensing and traditional manufacturer licensing. Brand owners have benefited from not only increased revenues, but also increased brand awareness.
CONSOR also assists manufactures in identifying brands for licensing opportunities and assisting in the negotiation of license agreements. Our extensive experience has helped many licensees avoid common mistakes made by new licensees.