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Learn more about the importance of the sales channel for brand licensing

23 de janeiro de 2023

“The product is the result of a successful relationship between the industry and the brand, but we cannot forget how the sales channel is essential to the success of a licensing program”


According to the 2022 Annual Global Licensing Industry Study report, provided by Licensing International Brazil is the eighth country with the highest revenues in brand licensing – coming just after the United States, United Kingdom, Japan, Germany, Hong Kong, China, Canada, and France. Of the US$5.9 billion spent on licensed products, US$580 million was spent on the sports market, an increase of approximately 60% compared to the previous year. This data shows not only the adherence of the Brazilian market to licensing, but also makes it clear that companies have come to understand that trademarks add great value to businesses, regardless of the segment in which they operate.

Due to this context, more retailers are seeking to bring licensed products to their physical or virtual shelves. This general movement is of enormous importance to us, who work with brand licensing. After all, the goal is to give fans and supporters access to the products that suit them best.

Suppose that, in a project, the whole team was mobilized, and the licensing process was conducted properly. However, for some reason, the products were not sold as expected and ended up being overlooked in the store. The entire operation starts to have a negative outcome due to having poor sales results.

Therefore, anyone who assumes that working with brand licensing is just about connecting the brand with the industry is wrong!

The success of a licensing program depends on the product performance at the retail. The final consumer needs to have easy access to the products, to see, approve and purchase them. Otherwise, the license may be ineffective for brand growth.

For a successful Licensing program, retailers need to keep buying and selling products frequently, so there is a demand for a particular item.

It is a fact that retail are allies of licensed brands

Retailers are very important for sales of licensed products, while licensed products are responsible for increasing revenue and often              bringing a new audience to retail. And this is very good for both parties, who only benefit from this relationship.

As a general rule, it always draws people’s attention when a product has some reference or even the badge of the soccer team they root for, as an example. And, therefore, the consumer starts to identify that retailer as a place where he can find what easily and frequently interests him.

So, the retail, whether physical or digital, is one of the most important parts of licensing. Thus, it becomes a fundamental part of the licensing process.

The product is nothing more than the connection´s results between the industry and the brand but aligned with the entire supply chain and retail. This is one of the greatest success indicators of an adequate and well-structured licensing program. As a result, everyone involved in the operation wins: the brand, the industry, the retail, and the consumer.

That´s why I´m very happy and proud to see products from Destra | Licenciamento de Marcas´s clients like FC Barcelona, FC Bayern München and PSG at Havan one of the biggest retailers in Brazil.


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