Licensed To Thrill: Meeting Demand For Merch
What do Star Wars, M&Ms and The World Cup have in common? They’re all part of a multi-billion dollar global licensed product industry that continues to soar.
The entertainment and character category dominates licensed product retail sales. This segment, largely driven by box office hit movies, accounted for over US$128 billion in 2019, making up 44% of the total value of the licensed product market. We have witnessed its wild success through films like animated hit movie, Frozen, and the Marvel franchise, both of which helped to put toy company Hasbro in the top 3 key players for licensed merchandise in 2020.
The growth and popularity of the licensed product market come with its own set of challenges. Tight deadlines for product launches that sync with movie releases, and the short life cycle of certain licensed products can prove to be a real logistics challenge.
Reacting to consumer behavior worldwide is another challenge when marketing licensed products. The social and m-commerce boom is an important trend to consider. A secure e-commerce platform will give rise to consumer confidence, which will help bolster the sale of licensed products. Consumers want the ability to purchase online anywhere and at any time.
Looking to overcome similar pain points? Check out our tips to succeed in the global licensed product market:
1. You’ll need an effective global distribution system, for starters. This means a reliable global logistics provider that offers the necessary logistics management of orders, deliveries, and returns. Logistics providers can even align product distribution with movie release dates, by managing cart integration and fulfilment with marketplaces and websites.
2. Sort out a reliable global payment platform and e-commerce system for your online shop. When it comes to online shopping, consumers want secure payments and reliability. Partnering with a vendor that specialises in global payment platforms and e-commerce sites is key to operating a borderless, online business that strengthens customers’ confidence.
3.Stay abreast of the regulatory environment. Keeping up with the global demand for licensed products requires a strong understanding of a market’s customs policies. Free online solutions are available to help with understanding customs requirements and proper documentation for international shipping, and streamlined offerings allow you to submit customs documentation electronically so they can be quickly processed.