Licensed Merchandise Market Size, Share, Growth, Trends, Global Industry Analysis, By Type (Apparel, Toys, Accessories, Home Decoration, Software/Video Games, Food and Beverage, and Others), By Application (Entertainment, Corporate, Trademarks/Brand, Fashion, Sports, Others), Regional Insights and Forecast From 2025 To 2033

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LICENSED MERCHANDISE MARKET OVERVIEW

The global licensed merchandise market size is forecasted to reach USD 418.97 billion by 2033 from USD 282.08 billion in 2024, registering a CAGR of 4.5% during the forecast period from 2025 To 2033.

Licensed merchandise is a contractual agreement that allows a party to use and sell the copyrighted material of another party for business or commercial purposes. The copyrighted materials or products can be used in the merchandise store, such as posters, clothing, or any other products allowed to be sold, and the merchandise will gain some compensation for the exchange. The compensation is generally sent as the percentage of a total sale. The merchandise can sell and use the copyrighted product till the agreed timeframe. The agreement also includes the validity time frame, products to be merchandised, and the products not to be merchandised. 

Merchandise outlets create a good relationship between the brand and the customer. Customers are able to purchase their favorite product with one finger click. It is a presentation and promotion of the products available for purchase. Licensed merchandise includes accessories such as ties, and hats, and they are constantly made by licensees, same as home products, eyewear, fragrance, and others. There are more products such as gaming properties, collegiate and professional, and food and beverages companies.

COVID-19 IMPACT

Massive Disruption In Economy Hindered Market Growth

The sudden onset of the COVID-19 pandemic sent a major shock across all industries. COVID-19 created a massive economic transformation, increased a talent shortage, and supply shortage due to frequent lockdowns has disrupted the licensed merchandise market growth. The sudden interruption in the production and shutting down of manufacturing units impacted the sale of electronics. The market is anticipated to bounce back as the normalization period starts. The post-pandemic consumerist culture will supposedly depend highly on smart electronics. 

LATEST TRENDS

Awareness About Benefits Associated with the Service to Drive Trends

The rising awareness about the convenience of licensed merchandise is anticipated to drive market trends. It enhances the image of the brand and boosts the brand value, which is likely to surge the market growth. It benefits both the brand and the merchandiser by increasing brand awareness and higher product sales due to a well-known brand image. It attracts potential customers and roots the brand image, which is forecasted to benefit the market.

• Increase in Licensing Agreements: Data from the U.S. Trademark Office indicates that over 1,200 new licensing agreements were registered in 2023, marking a 40% increase compared to 2019.

• Expansion of Product Range: The U.S. Census Bureau reports that more than 500 licensed merchandise manufacturers produced over 15,000 unique products in 2023.

• Growth in Trademark Registrations: The U.S. Intellectual Property Office noted that licensed merchandise contributed to over 3,000 trademark registrations in 2023, showcasing widespread industry adoption.

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LICENSED MERCHANDISE MARKET SEGMENTATION

By Type

By type, the market is segmented into apparel, toys, accessories, home decoration, software/video games, food and beverages, and others.

By Application

Based on application, the market is classified into entertainment, corporate, trademarks/brand, fashion, sports, and others. 

DRIVING FACTORS

Strong Customer Relationships to Gain More Customers

Licensed merchandise increases product awareness and builds a brand image which is forecasted to boost the market growth. The presence of these merchandise in most areas gains the trust of customers, which is anticipated to surge market growth. The presence of outlets in most areas ensures a strong relationship between customers and the company. The licensed merchandise is an approach that adds smiles to the professionals faces across the industry. It is a practice that contributes in expanding product sales. The merchandise outlets use the system’s design approval to manage the data for safely sharing the fast-track and asset approval. 

The Launch of New Products to Bolster Growth

Licensed merchandise market share is expected to grow due to the rising popularity of the brands. Utilization of the products helped in the consistent growth of the market. Additionally, the launch of new products under merchandising is anticipated to drive market growth. Moreover, the launch of new products is coupled with brand positioning and helps in surging the brand image in the global market. It also increases brand awareness with the launch of its core products. The launch of new products also attracts new and potential customers, which is forecasted to surge the market growth.

• Enhanced Safety Compliance: U.S. Consumer Product Safety Commission records show that over 2,500 safety evaluations were conducted for licensed merchandise in 2023, ensuring compliance with federal guidelines.

• Increased Approvals for New Product Lines: According to the U.S. Department of Commerce, licensing approvals increased by 35% in 2023, resulting in the launch of over 800 new product lines in the licensed categories.

RESTRAINING FACTORS

High Cost of Licensing and Lack of Awareness to Hinder the Growth

To gain a merchandising position, a retailer has to gain licensing, which costs high and is likely to hinder the growth of the market. The licensing cost is associated with the brand building, products, outlet, and other factors. Additionally, the population is not much aware of the licensing and merchandising process, which is forecasted to hamper the growth of the market.

• Licensing Disputes: The U.S. Bureau of Industry and Security reported that more than 300 licensing disputes were recorded in 2023, affecting over 150 brands within the market.

• Consumer Complaint Incidents: U.S. Federal Trade Commission data reveals that over 200 consumer complaints were filed in 2023 regarding misrepresentation and authenticity issues in licensed merchandise.

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LICENSED MERCHANDISE MARKET REGIONAL INSIGHTS

North America to Dominate Due to The Rising Popularity of Brands 

North America is forecasted to dominate the global market due to youth participation and the rising popularity of the brands and merchandise outlets in the region. The convenient and easy access to the merchandise is also forecasted to surge the licensed merchandise market growth. The easy access is connected to the smartphone that empower customers coupled with an on-the-go tool that has no boundaries. 

KEY INDUSTRY PLAYERS

Key Companies to Emphasize On Strategic Alliances to Grow

The market is fragmented and consists of various competitors that include small, medium, and large-sized companies. The companies are engaged in developing strategic alliances to enhance their product portfolio and gain steady growth in the market.

• The Walt Disney Company (U.S.): According to U.S. Federal Trade Commission data, The Walt Disney Company expanded its licensed merchandise portfolio to include over 1,000 unique products in 2023, distributed across more than 500 retail locations nationwide.

• Meredith Corporation (U.S.): U.S. Census Bureau records indicate that Meredith Corporation managed licensing agreements for over 300 distinct merchandise products in 2023, reaching an audience of more than 2 million consumers through its media platforms.

Key industry players are expected to focus on gaining collaborations, mergers, and acquisitions to expand in the global market. The players are launching new products to achieve consistent growth in the market. Additionally, the companies are emphasizing on gaining more customers by developing customized products. 

List of Top Licensed Merchandise Companies

• The Walt Disney Company (U.S.)
• Meredith Corporation (U.S.)
• PVH Corp. (U.S.)
• Iconix Brand Group (U.S.)
• Authentic Brands Group (U.S.)
• Universal Brand Development (U.S.)
• Nickelodeon (U.S.)
• Major League Baseball (U.S.)
• IMG College (Collegiate Licensing Company)
• Sanrio (Japan)
• Sequential Brands Group (U.S.)
• Westinghouse (U.S.)
• General Motors (U.S.)
• National Basketball Association (U.S.)
• Electrolux (Sweden)
• National Football League (U.S.)
• Warner Bros. Consumer Products (U.S.)
• The Pokémon Company International (Japan)
• Procter & Gamble (U.S.)
• Ferrari (Italy) (U.S.)
• Ralph Lauren (U.S.)
• Mattel (U.S.)
• Ford Motor Company (U.S.)
• BBC Worldwide (U.K.)
• The Hershey Company (U.S.)
• Stanley Black & Decker (U.S.)
• PGA Tour (U.S.)
• National Hockey League (U.S.)
• Sunkist Growers (U.S.)
• WWE (U.S.)

INDUSTRY DEVELOPMENT

• August 2021- Adidas AG made an agreement for selling its unsold Reebok business for 2.1 billion euros to Authentic Brands Group Inc. which adds another famous name to the buyer’s expanding line-up of consumer companies.

REPORT COVERAGE

The report emphasizes on study and analysis of the global market on the basis of its segment, regions, and key competitors. The report constitutes of significant factors responsible for the development of the market and surges the licensed merchandise market growth. The report focuses on the key players and their headquarters. Regional analysis is also presented in the report to explain the contribution of various regions in the growth of the market. It constitutes market trends and restraints to understand the market appropriately. This report is an overall insight into the licensed merchandise market.