ANALYSIS OF BRAND LICENSING MARKETING STRATEGY
ANALYSIS OF BRAND LICENSING MARKETING STRATEGY

Summary/Abstract: The licensing of a brand is used as a marketing strategy for growth and development of a company. Namely, the case is about a business model that brings the benefits both to givers and receivers of a license. Benefits of the mentioned business model are numerous: contribution to generation of the additional sales and profits, creation of the new value, bringing of the new customers, the opportunity to enter the new markets. Also, it creates the conditions for the new sales channels, and accomplishing the economies of scales. Afterwards, it influences the creation of a perception and recognition of the brand of a producer and its products among the consumers. The value of a licensed brand is a dominant determinant of a value of a company capital in a long run. The structure of operations includes a few pieces. The attention is first directed towards the concept of licensing and its role and meaning. Following that is the comparative analysis of the basic market indicators of the ten global licensed brands. The next part of research covers a methodology for calculating a value of a licensed brand and royalties. The last part of the paper covers the analysis of the license fees payment methods.

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