Corporate licensing programs date back to the turn of the century. But was an underutilized corporate strategy until the late 1970s. Prior to that time period, corporate licensing was relatively obscure, primarily used in overseas markets and in technical transfer situations.
The concept blossomed in the late 1970s because of the enormous marketing leverage it offers – licensing is the Ultimate Leveraged Marketing Strategy.
Overall, corporate licensing has come to include brand and trademark licensing, and institutional licensing. Corporations have accepted the fact that licensing brings stable brand extension programs, as well as increased income and consumer awareness. These results help corporations realize that licensing does become the Ultimate Leveraged Marketing Strategy for those with properties that can be developed into consumer goods.
Increasingly, corporations have become more knowledgeable and more diverse marketers; and more aware of their importance as full partners in a licensing program.
In corporate licensing, the goals are enhancement and protection of the integrity, quality and image of the corporation, as well as getting the brand licensed. Licensing involves the many sacred elements of a corporation: their brands, logos, trademarks, copyrights, and names (including websites and social media platform pages). These elements are a sacred trust and come before other considerations. As corporations increasingly become more proactive and involved with regards to licensed products, their influence will dictate the direction of where they want the corporate image to lead via licensing. Corporations must take the lead in any licensing partnership.
Corporations are staying competitive by looking into innovative ways to license their properties, whether through co-branding; technological based branded products; selective licensing; global markets; increased distribution methods through social media; or any of the increasing number of new industry innovations.
A well executed and Integrated Licensing Program, such as those we develop at CONSOR, can easily generate a positive cash flow within the first year. And as the sheer number of global licensees who are looking for stable corporate brands and trademarks increases; and as they seek deals that provide a long-term and stable income potential for all parties, corporate licensing will continue to grow.