The Brand Licensing GuidebookDeciphering The Game

Pete CanalichioOctober 26, 2010

www.brandlicensingexpert.com

The following slides are an abridged section from our webinar series “How to Build Your Brand Licensing Dynasty”

To purchase the complete webinar and series with audio visit www.BrandLicensingExpert.com

2

Agenda

What is brand licensing?Origins of brand licensingBrand positioning drives successWhy do companies license?The 8-Step brand licensing processPitfalls of brand licensing

What is Brand Licensing?

Let’s recall the term brandA brand is defined as “a name, term, sign, symbol or combination of these, that identifies the maker or seller of the product” Often used as a label Distinguishes one from another Identifies:

» A symbol

» Proper name or noun

3

What is Brand Licensing?

A brand conveys a level of quality, reliability and durability, depending upon its equity

4

What is Brand Licensing?

A brand adds value to a product

#1 Global Brand #2 Global Brand

Source: BrandZ Top 100 Ranking of the Most Valuable Global Brands, 2009

#3 Global Brand

5

What is Brand Licensing?

A licensing agreement authorizes a manufacturer (a licensee) to lease or rent a brand from a brand owner (a licensor)

6

7

Licensed Product Flow

Brand Licensing Origins

How did brand licensing start?

Source: Steve Manton (2005). Integrated Intellectual Asset Management. Gower Publishing, Ltd

Movies Comics T.V.

8

Brand Licensing Origins

Brand licensing exploded with Mickey Mouse’s popularity in the 1930’s and 1940’s

Source: Steve Manton (2005). Integrated Intellectual Asset Management. Gower Publishing, Ltd 9

Brand Licensing Origins

What caused brand licensing to grow?Corporations learned consumers wanted products in more categories with their brand

McDonald’s Play Food Burger King T-Shirts

Source: Steve Manton (2005). Integrated Intellectual Asset Management. Gower Publishing, Ltd 10

Brand Licensing Origins

What caused brand licensing to grow?Brand extensions via licensing offered a simpler and quicker way to get to market

Breyer’s Frozen Yogurt

TGI Friday’s Frozen Appetizers

Eddie Bauer Leather Seats

Source: Steve Manton (2005). Integrated Intellectual Asset Management. Gower Publishing, Ltd 11

Why Brand License?

A licensor and licensee can benefit greatly from brand licensing... Licensor benefits:

Unlocks a brand’s potential value

12

Pete Canalichio’s “crisis-tested leadership skills” were forged not in a battle with the competition or a challenging business turnaround—although he has certainly excelled in those arenas—but in the dark skies above the Pacific Ocean as he flew a military jet aircraft whose engine had caught on fire. Clear-headed and decisive under those extraordinary circumstances, he has applied that same leadership style to every challenge and opportunity he has faced in a distinguished executive career with such firms as Coca-Cola and Newell Rubbermaid.

Most recently Pete founded Licensing Brands, Inc., a company dedicated to helping brand owners and manufacturers harness the power of brand extensions through licensing. His agency

executed Coca-Cola’s first ever Olympic licensing and pin trading programs for Vancouver 2010 using products made with RPET ( plastic bottles) and other recycled content.Previously General Manager of CardScan, a $20 million global technology business unit of Newell Rubbermaid, Pete delivered both quick wins and strategic long-term growth while rejuvenating the organizational culture. In a prior role directing Newell Rubbermaid’s global licensing program, he earned the corporate MVP award for more than doubling royalty revenues and wholesale sales in just two years.Earlier, as Business Development Director at Tula Communications, Pete spearheaded an aggressive pursuit to become Samsung’s agency of record for its pioneering Olympic Torch Relay sponsorship—elevating both Samsung and Tula into world-class ranks in Olympic marketing. Pete has deep expertise in Olympic and sports marketing through prior positions with Coca-Cola, where he directed sponsorship activities in conjunction with the Salt Lake, Nagano, and Atlanta Games. He also negotiated numerous sponsorship and licensing agreements with high-visibility athletes and professional sports organizations, including MLB, NHL, NASCAR, and the World Cup. Before transitioning to marketing and licensing arenas, Pete earned his MBA from the University of North Carolina and was recruited into the global finance unit at Coca-Cola. He rose quickly to managing $32 billion in transactions yearly as Treasury Operations Manager in London and built a strong foundation of business skills and diverse experiences within the world-class company. Throughout his career, Pete has operated in the global arena, having worked in more than 40 countries and managed extensive projects across national and continental borders.After graduating from the US Naval Academy, Pete was an award-winning Naval aviator and instructor pilot, honing his leadership and decision-making skills as commander of a large multi-engine aircraft and 12-member crew during the height of Cold War tensions.

Confidential

Pete Canalichio

13

This has been a snippet from our webinar series “How to Build Your Brand Licensing Dynasty”

To purchase the complete series with audio visit www.BrandLicensingExpert.com