A mushy morning

Spent this morning tasting mushy peas and now feel slightly pea-ky! However, will definitely celebrate signing of new brand who Golden Goose now proudly represent globally.

'Traction' is the term i use to describe successful business relationships and you can only have traction when people keep their word and trust each other. It's hard to find partners in business who recognise these qualities and stick by them but once you do, there's no limit to what can be achieved.

Museum of Brand Licensing

Visited the Museum of Brands last weekend. A delightful little museum tucked away in a mews off Notting Hill. The wonder of seeing ex-brands that have faded away as market forces apply is a branding ecologists nightmare. All those once loved names etched into the collective consciousness now just a fragment of packaging. Extinction is the only result for company's ignoring change. Brands that once owned massive shares of the ink or boot-blacking market are now just part of the fabric of history.


http://www.museumofbrands.com

here we go ahead

Here we are again. Playing the waiting game. Licensing is to speed what treacle is to pouring. In the time it takes for a contract to be prepared and signed one could easily learn to be a concert pianist, or build a small outhouse. Typically for a relatively small business, we risk being stuck somewhere between fast and famine.

Spring Fair

I don't recommend going to Spring Fair with a bad cold because it's not exactly the best place to recuperate. Spent the next day in bed processing the highs and lows of the day.

High was seeing some of the products on display that were previously only a fantasy in my little head.

Low was the 5.5 journey back. Not to mention the 1.5 hours doing 7 miles in the car park.

What I learnt: some licensors are working overtime to deliver value for royalty. One I spoke to conducts direct meetings with retailers designing products to their specification and then passing these approved designs to their licensees. These then appear as new product.

The same licensor also prepares a range pack incorporating all the licensees in small quantities, and manages the sell-in rather than counting on licensees with 50 brands who are desperate to sell in bulk.

I also learnt never to drive back from Birmingham but that's another story.

At Tesco's

Just got back from shopping at Tesco's for the first time in ages. Can't believe the power of private label. It's almost 10 minutes before you can see any other brand apart from the retail superpower. In fact, tesco's home produce sections are almost the only unbranded sections left on the planet. Amazing how things change. No wonder retailers are so keen to start with fresh produce!

How did we let ourselves be sucked into this vortex of reduced choice? Instead of more brands on the shelves there are less and less. How can we have real choice if own brand is super-dominant? It seems to me as if brands stand for less and less in this day and age. Whereas there used to be things like a carefully managed brand vision, with some sort of raison d'etre, we're now in an age where a brand only exists to generate cash and fleece the public. if it does succeed in standing for something then someone (usually a fund) comes in and buys the owners out for £30M... I had a meeting today with one family run company who have resisted something like 161 takeover offers they don't sell because they're located in a remote corner of the UK and if they did sell, their 8,500 employees would be fired, destroying the local economy they sustain.

Branding used to have a noble purpose as well as generating income. Clearly, these days it's only a rare minority that can resist the temptation to stand for nothing beyond making a healthy profit or being bought out by a private equity firm.

Exclusively brands, exclusively postponed

Can't believe that dark forces within the industry have forced Andrew Levy's Exclusively Brands to postpone. It's a shame when more established players conspire to keep innovation and energy from impinging on their market share with sheer muscle. This is exactly the sort of behaviour the supermarkets are criticised for.....

another idea

This business and this industry is about to break through to another level. Part of the reason, as we said at our talk in October, is the growth of private label which makes supermarkets into godzilla sized mega-licensors. As a supermarket you can 'license' out your brand onto anything. Tesco finest is on around 800 product all of which are guaranteed distribution and, with very little need for marketing, deliver quality that is comparable to the best branded competitor. Not only that but the market information Tesco gets from all its branded and unbranded suppliers is enough to tell it how and where to innovate. Talk about licensor heaven!

The only way for existing brands to compete is:
1) ask the customer where and how your brand should be extended
2) specify in as much detail the potential new product
3) seek out like minded licensees prepared to take on private label
4) develop and market the new product's point of difference
5) develop existing and create new licensed products that maintain the differentiator

in other words manage the licensing programme as if it was your NPD programme and market the brand in the same way.

what's your wait?

Not that I'm not busy but waiting for a response When you make someone wait for an answer, it is like leaving them in the dark on a suspension bridge, wearing wet sandals, blindfold.

quotes, quotes, nothing but quotes

It seems to be the time of year when every man and his dog is thinking about licensing. If it isn't one company it's another looking for a quote to develop a licensing strategy. The quote is urgently required and then, like a huge lead weight, seems to sit on the bottom of the pile while other things (brand related) take precedent. In the last 8 days we've quoted out the same amount in turnover that we did in the last 12 months! The silence between quote and order is the most pregnant of pauses.....

brand licensing show goss

brand licensing show was notable for 2 things. Beanstalk taken over by Omnicom and TLC picking up Reckitt Benckiser. Other than that the show held few attractions for anyone looking to work on the branded side of the business. Bring on Exclusively Brands at the Landmark.

Met some Danish Fund Managers looking to break into licensing (get your lycra on boys, the canon's ready)
Met my cleaning co, looking for cleaning brands and heard that the french sock team were in town.

Simone presented the results of our research into the growth of private label. You can see the summary of her talk here but basically:

81% of the UK accept private label instead of brands
UK is the biggest market for private label
If you're going to license your brand do it now. If you don't private label will invade your space
If your going into a new category, innovate or don't bother

some key concepts

Some of the most basic concepts to remember when doing a licensing deal:

1) FIT & LEVERAGE

Make sure that not only does the new product fit within the compass of the core brand but it also leverages the brand in the new category

2) LICENSEES DON'T OFTEN UNDERSTAND MARKETING

That's why they're licensees... duh!

3) YOU CAN'T WIN'EM ALL

Whilst it would be great if all of your fantastically developed concepts flew off the shelves. Everyone gets it wrong. Any licensing deal is a triumph of persistence and deserves credit for taking the brand into a new category

4) MARKET RESEARCH

Nobody I've come across seems to value the role market research in new product development. I'm not saying that it's a way of making decisions but it would be nice if someone acknowledged the role of the final consumer from time to time.

5) COLLECTING ROYALTY SHOULD BE EASY

The last thing you want to be doing is chasing royalty. Get it in advance and credit it back!

products in search of a brand....

There's nothing worse than finding a great potential product category with no brand to match it. It's like playing that card game pairs when you turn over a card and are supposed to remember where you put the matching one. There's nothing worse than finding one half of the partnership ready to go, only for the other side to wander off into the distance. Currently I have :

one half of a sock deal looking for a sports brand
one half of a child security deal looking for a lock brand
one half of a cleaning deal looking for a cleaning products brand
one half of a battery deal looking for a battery brand
one half of a sweet deal, looking for an entertainment property

If you know any brands looking for an extra £100,000 please get in touch...

looks like market growth isn't all it's cracked up to be

The downside of market growth is that there's competition. Recently reluctantly pitched a large multinational who I'd already told I wasn't prepared to represent, only to have my hopes raised and then dashed. Worse of all the multinational has just acquired 3 new brands.

another paper of the week

Well, it almost seems too easy but we're paper of the week on brandchannel again. Simone and I are very happy and are now working on the development of a presentation based on the concepts that we found during our research. our paper

most essential qualities in a brand licensing consultant

1) patience
2) tenacity
3) persistence
4) integrity
5) connectivity
6) resilience
7) personable
8) focus
9) vision
10)knowledge

paper finished

New paper finished. Retail Space Invaders puts the case that private label is forcing brandowners to develop licensing strategies. Hopefully soon to be appearing in a publication near you.

new paper coming

Got a new paper coming up about the menace of own brand and how it's invading the world.....

welcome to buffersville...

Some people work out of London. They have their office in buffersville. I imagine it as a cosy place where people bring them regular cups of tea, and birds twitter from the treetops. Every so often, these gentle folk venture down to London and, in a desperate bid to make themselves feel important, do their damnedest to fill up their big day with busy little meetings with people who haven't got the slightest reason to meet them.

Every time I fall victim I instantly vow never to be caught out again, but, I am sad to report that I was recently caught up in the wake of the buffersville express. I traipsed across town for a meeting with someone who told me something that 'he couldn't possibly tell me on the phone', specifically, 'we're not quite ready yet!' Never again!

A good day to be stuck in Newcastle....

This morning I set off with a large dose of London pride, still feeling that the afterglow of winning the Olympic bid would sustain a revolution that London badly needs. As a city, London suffers from an infrastructure that is out of date and not worthy of a major international metropolis. Today, though, I'm stuck in Newcastle having had an 'interesting' meeting that started at 11 and finished around 4 during which the results of today's atrocity filtered through as people starting texting me to ask where I was. With an office in Old St... an area that is triangulated by three of the attack sites (Moorgate, Kings Cross and Liverpool St) it's not surprising that I feel shocked, devastated, and just exhausted with emotion. Over the last three day's we've had Live8, the Olympic Bid and now these terrorist attacks. It's as if each party in turn is desperate to sieze the agenda. Who's next. We've gone from peaceful semi-altruistic pop-concerts, to the 'noble' spirit of the Olympics and a democratic process and now back to the reptilian part of the brain that grabs our attention by the throat.

Somehow we stumbled through our meeting.....

Independence Day

Note the date, 4th July, it's finally official. Corporate brand licensing has arrived in the UK. One recent 'brand-damager' at one of the big FMCG manufacturers I spoke to has already appointed a licensing agency to do merchandising! That hasn't happened once in the past 3 years.

Time to tap into the phenomenon known as 'market growth'!