Pink Starburst gelatin snacks. Frank’s RedHot sunflower seeds. Wendy’s chili—in a can.

These products are just some of the many licensed items Conagra Brands introduced during the first half of 2023. Indeed, the Chicago-based food manufacturer behind Slim Jim, Duncan Hines and Chef Boyardee has a history of working with brands in ways that generate buzz and drive sales.

“The best licensed partnerships are quickly and easily understood,” said Caitlin Davy, manager of brand communications and content at Conagra Brands, who noted that deals of this sort help Conagra reach more consumers than it could on its own.

And it’s certainly not the only company pursuing this strategy.

Last year, global sales of licensed brand merchandise and services climbed to $87.6 billion, according to a new report from the trade association Licensing International, a 14% increase over 2021.

Corporate brand licensing has grown in other ways, too. In 2017, the category represented 20.5% of the entire licensing industry, which includes segments such as sports, fashion and entertainment. Today, brand licensing constitutes 25.7% of the market.

“We’re really seeing corporate brands come up fast and furious in the business of licensing,” said Maura Regan, president of Licensing International.

In total, Licensing International estimates licensing activity around the world generated $340.8 billion in revenue during 2022, up 8% compared to 2021.

Brand power

Rising sales tied to brand licensing highlight the gravitational pull of well-known names and logos. For chief marketing officers struggling to defend budgets or prove their worth to other members of the C-suite, this means the asset they’re responsible for nurturing and protecting—i.e. brand—is only increasing in value.

“Licensing is perhaps the most perfect illustration of the power of brands and branding,” said Graham Staplehurst, director of thought leadership at Kantar’s BrandZ.

Pagine: 1 2