Brands and retailers are constantly looking to find new ways of taking their collections to the next level. One of such ways is through brand licensing, an area of the market that has seen exponential growth in recent years. The global licensed merchandise market was valued at $104,820 million in 2019 and is expected to reach $376,860 million by 2027 (according to a 2021 study by 360 Market Reports). With this in mind, it’s no secret that this area is so profitable.
Licensed apparel is one subsector of this incredible area, and is one of the most popular too. Fashion can easily be branded with a license’s name, likeness, logo, imagery or character (or a combination of these). You only have to look at the likes of Primark in the UK who offer an enormous array of licensed apparel products including t-shirts, dresses, sweaters, socks, undergarments and accessories.
There are a plethora of ways of licensing products including:
- Standard Licensing
- Where a licensee is free to sell products to any customers under the given parameters of a deal.
- Direct to Retail
- An emerging trend favored by licensors who can have a relationship directly with the retailer, sourcing products directly from the supply chain.
- Triangle Sourcing
- An all-new agreement whereby the retailer and fulfiller (licensee) agree to an exclusive arrangement where the fulfiller takes upon the legal responsibility and the retailer is contracted to buy their merchandise.
All of these methods can be emboldened by a single solution – on-demand. On-demand production enables the manufacture of products to be agile, sustainable, and risk-free, thanks to the products only being printed once purchased.
This solution has been harnessed by retailers including Next PLC, one of the UK’s biggest clothing, footwear, and home products retailers, with an incredible revenue of approximately £3.284bn.
If you’re looking to move into licensing, now has never been a better time. Whether you want to add the latest gaming characters to your garments, or the biggest names in entertainment to your accessories, the KornitX workflow is the number one solution made for enabling this.