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TOTAL LICENSING AUSTRALIA
By Noric Dilanchian,
Managing Partner
Dilanchian Lawyers &
Consultants
noricd@dilanchian.com.au
Character licensing and merchandis- and biscuits.
ing in Australia will continue, in 2007, Australia is now even a regular ex-
to rely on elements that have worked porter of merchandising proper-
in recent history. Players will continue ties including the film Happy
to license toys, clothing and other Feet and properties such
products that have a history of work- as Bananas in Pyjamas and
ing abroad or locally. But there are a Hi5. Conquering all are The
number of key challenges on the hori- Wiggles, they now regularly
zon for licensors and merchandisers. top annual revenue lists for
What will continue to work will be the entertainment acts
prominent use of well-known names, in Australia. In-
logos, images and brands protected by deed, they have
trade mark registrations, typically con- conquered the
nected with a character, personality, United States.
musical group or highly engaging and For adults, mer-
promoted new entrant. chandising and licens-
It was not always so - especially for ing have spread considerably into
adults. Compared with the US market numerous lines where once they
before, say, 1990 Australian attitudes were not so common. As in other traditional media and entertainment?
could be summed up thus: “No, mer- countries, Australia is now bathed in Though restrictions apply where
chandising please. We’re Australian.” In celebrity-endorsed scents (eg Darling products or services are directed
fact that’s the title of a merchandising by Kylie Minogue and Channel No. 5 to children, still advertising has his-
“how to” article I wrote in 1993 for by Nicole Kidman) and celebrity-en- torically supported the bulk of print
Encore, an Australian film and televi- dorsed clothes and accessories. and electronic media publications
sion industry publication still in exis- In sports mad Australia that field too and programs. With less advertising,
tence. is fully represented by merchandising quality has to be affected as ad rev-
Now merchandising is every- and licensing agents, distributors and enue decreases on its way towards
where in Australia. retailers. online media, be it on the Web or
Walls of it greet you at At the core of the licensing and mer- mobile devices. The latter are on
mega-stores such as Tar- chandising sector remain children. the verge of major developments.
get, Kmart and Big Prominent as providers to them in 2006 Adding to concern, a sign of the times
W and in bou- across a wide range of toys were Has- in Australia is that advertising dollars
tique toy, DVD, bro Australia Ltd (Playdoh, Star Wars, are draining overseas. For example in
record or book Tonka) and Mattel Pty Ltd (Barbie, Pix- 2006 Google became the biggest sin-
stores. In super- el Chix, Sesame Street, Hot Wheels). gle generator of advertising revenue
markets such as Also prominent in toy sales in 2006 from Australia. It was placed by BRW
Coles and Wool- in Australia, though for specific line magazine’s estimate ahead of Telstra’s
worths you get items, were Lego Australia Pty Ltd Sensis earning A$206 million in 2006.
pulled up by your (building sets), Hunter Overseas Pty In third place was Fairfax Digital earn-
children request- Ltd (outdoor sports) and Sports ing A$115 million.
ing foods bearing Cards Australia (sports cards).
the visage of famous Over the horizon what will be chal-
characters. lenging in Australia is also the topic
For example, Bob of considerable hype or concern cur-
the Builder and The rently in Europe and the United States.
Wiggles appear Here are some issues.
prominently on First, what do licensing and merchan-
several products dising companies do about the ongo-
including yogurt ing erosion of advertising dollars from
TLA 34
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