Licensing vs Merchandising: Do you know the differences?
Posted: Wed Jan 22, 2025 7:14 am
What is Merchandising?
Merchandising, also called Merchan in the industry, consists of products derived from fiction or the image of a creator . For example, a television series can be dedicated to selling merchandising such as mugs, t-shirts, caps... The same happens with a music group or an internet star. Fans buy their products to show their passion for these projects and feel identified with the community of followers who also have these items. Since the success of Elvis Presley, we have seen the first merchandising campaigns in action that flooded the world with badges and posters with the singer's face. But since then, practically all the big franchises and groups have exploited the income that can be provided by the sale of merchandising items . In the age of the internet, merchandising has adapted to the new stars healthcare email database of the moment. Big groups like BTS or Coldplay continue to sell thousands of t-shirts, and the most successful television series like Stranger Things or Rick and Morty also cause a furor for the merchandising items they put on sale. It can be argued that this trend is still a long way from disappearing.
Generate business!
Streamers, YouTubers and influencers are also often betting on merchandising . This new type of content creators and celebrities also sell t-shirts, bottles and bags with their logos and branding on them. Often, they create these highly profitable products through their own brand. Just as it happened with The Beatles or The Rolling Stones in the past, young people now want to buy Logan Paul or Mr Beast products. In Spain, great content creators such as El Rubius have also launched their own brands, in this case MadKat. The list of examples is endless, but in all cases we see how the creators are the ones who exploit their own image to obtain benefits. Depending on their fame and the number of followers, they can obtain large sales. And frequently the creators themselves promote their own products or appear with them at all times. Precisely because they expose their own image, they must take the utmost care of the quality of their products.
Examples of Merchandising
What is Licensing?
Licensing , on the other hand, refers to when the right to use an image is granted to a brand for its exploitation . The best-known examples are Disney and Marvel. Brands often pay royalties to be able to add Disney characters or Marvel superheroes to their products. For example, toys, clothing, school supplies, decorations, food… In this case, brands pay to be able to take advantage of the benefits offered by a particular image. With Disney or Marvel, these are icons that are recognizable by almost any child, which can make them willing to consume practically any product in which they see this image. The same can be extrapolated to Star Wars, Harry Potter, Pokemon or, last year, Mattel with Barbie. Large companies that grant their image must ensure that it is not distorted by appearing on inappropriate or poor-quality products. But when they do so appropriately, they can obtain income from the sale of products without having to control their production and distribution. For this reason, it is worthwhile for brands to carry out licensing.
Within Licensing, we are seeing a boom in collaborations between brands. Mainly within fashion, we have started to see big names launching joint campaigns. In addition, low-cost brands surprise by associating themselves with luxury classics. For example, H&M x Versace, Nike x Dior, Supreme x Lacoste or Adidas x Gucci. But this trend is not limited to the world of fashion. McDonald's has always been a reference for its collaborations to offer the most modern and attractive menus and products for the little ones. We have also seen Ikea x Lego, Starbucks x Spotify, Meta x Ray Ban or even Apple x Nike. What seems evident is that brands, regardless of their size and sector, can benefit and strengthen themselves by working together and launching unique products together. Ultimately, what is sought is a win-win or quid-pro-quo situation.
Merchandising, also called Merchan in the industry, consists of products derived from fiction or the image of a creator . For example, a television series can be dedicated to selling merchandising such as mugs, t-shirts, caps... The same happens with a music group or an internet star. Fans buy their products to show their passion for these projects and feel identified with the community of followers who also have these items. Since the success of Elvis Presley, we have seen the first merchandising campaigns in action that flooded the world with badges and posters with the singer's face. But since then, practically all the big franchises and groups have exploited the income that can be provided by the sale of merchandising items . In the age of the internet, merchandising has adapted to the new stars healthcare email database of the moment. Big groups like BTS or Coldplay continue to sell thousands of t-shirts, and the most successful television series like Stranger Things or Rick and Morty also cause a furor for the merchandising items they put on sale. It can be argued that this trend is still a long way from disappearing.
Generate business!
Streamers, YouTubers and influencers are also often betting on merchandising . This new type of content creators and celebrities also sell t-shirts, bottles and bags with their logos and branding on them. Often, they create these highly profitable products through their own brand. Just as it happened with The Beatles or The Rolling Stones in the past, young people now want to buy Logan Paul or Mr Beast products. In Spain, great content creators such as El Rubius have also launched their own brands, in this case MadKat. The list of examples is endless, but in all cases we see how the creators are the ones who exploit their own image to obtain benefits. Depending on their fame and the number of followers, they can obtain large sales. And frequently the creators themselves promote their own products or appear with them at all times. Precisely because they expose their own image, they must take the utmost care of the quality of their products.
Examples of Merchandising
What is Licensing?
Licensing , on the other hand, refers to when the right to use an image is granted to a brand for its exploitation . The best-known examples are Disney and Marvel. Brands often pay royalties to be able to add Disney characters or Marvel superheroes to their products. For example, toys, clothing, school supplies, decorations, food… In this case, brands pay to be able to take advantage of the benefits offered by a particular image. With Disney or Marvel, these are icons that are recognizable by almost any child, which can make them willing to consume practically any product in which they see this image. The same can be extrapolated to Star Wars, Harry Potter, Pokemon or, last year, Mattel with Barbie. Large companies that grant their image must ensure that it is not distorted by appearing on inappropriate or poor-quality products. But when they do so appropriately, they can obtain income from the sale of products without having to control their production and distribution. For this reason, it is worthwhile for brands to carry out licensing.
Within Licensing, we are seeing a boom in collaborations between brands. Mainly within fashion, we have started to see big names launching joint campaigns. In addition, low-cost brands surprise by associating themselves with luxury classics. For example, H&M x Versace, Nike x Dior, Supreme x Lacoste or Adidas x Gucci. But this trend is not limited to the world of fashion. McDonald's has always been a reference for its collaborations to offer the most modern and attractive menus and products for the little ones. We have also seen Ikea x Lego, Starbucks x Spotify, Meta x Ray Ban or even Apple x Nike. What seems evident is that brands, regardless of their size and sector, can benefit and strengthen themselves by working together and launching unique products together. Ultimately, what is sought is a win-win or quid-pro-quo situation.