Global Sales of Licensed Merchandise Up 2.9% At Retail In 2011; Wide Variations by Territory, Property, and Category
NEW YORK: June 1, 2012-Retail sales of licensed merchandise worldwide totaled $150.80 billion in 2011, up 2.9% from $146.54 billion in 2010, according to The Licensing Letter, a trade publication. This gain marks a significant improvement from 2010, when retail sales declined 2.2% against 2009.
The U.S./Canada market drove the global increase in 2011, rising 5.2% to $93.37 billion. This reverses the trend of the past several years, when increases in global territories outpaced those in the U.S. and Canada (or, more often, the rate of decline in global territories was less than the decline for the U.S.).
"The so-called BRIC countries - Brazil, Russia, India, and China - continued to experience outstanding growth rates, albeit in most cases from relatively small bases of retail sales: Brazil was up 4.8%, Russia 34.7%, India 9.3%, and China 17.3%," says Ira Mayer, Publisher of The Licensing Letter.
These growth rates - while higher by far than for other territories in almost all cases - were somewhat lower than their increases over the last few years. This is particularly notable in Brazil, where the economy has slowed and challenges abound in terms of taxes, importation, IP registration, and other factors.
Growth rates in other territories varied:
- Western Europe and the UK saw a decline of 1.9%, due to maturing markets in the north and extreme economic challenges in the south. Exceptions include Germany/Austria/Switzerland and the Nordic countries, which have relatively strong economies, and Turkey, where many licensors report strong growth.
- Central and Eastern Europe saw growth of 14%, driven primarily by Russia.
- Asia saw growth of 2%, led by China and India, but tempered by a decline of more than 5% in the largest territory in the region, Japan.
- Australia/New Zealand, affected by a slow economy, a mature licensing market, and retail consolidation, experienced a decline of 5.1%.
- Latin America declined by .8%, with growth in Brazil slowing over the previous year, albeit still strong, and Mexico, down 5.3%.
- The Middle East and Africa declined by 1.3%, with the most mature and largest market, South Africa, down 4.6%.
Licensing data for more than 40 countries is available in the seventh edition of The Licensing Letter's "International Licensing: A Status Report" which is being released in two stages: Spreadsheets with key data by property type and product category in early June, with a full written report, including details of retail and media infrastructure, and relevant demographic, economic and political information as it impacts licensing, late this summer.
Contact: Ira Mayer, Publisher, The Licensing Letter; firstname.lastname@example.org; 212-941-1633, ext. 27.
About The Licensing Letter
The Licensing Letter delivers retail sales data, news of deals, contact information, and trend analysis to owners of intellectual property, their agents, retailers, and the manufacturers who market licensed merchandise. The twice-monthly newsletter, as well as "International Licensing: A Status Report," are published by EPM Communications, Inc.