The Licensing Letter has released its annual Licensing Royalty Trends Report for 2022 in the January issue of TLL Magazine.
And this year, the report comes with a major difference.
Typically the Licensing Royalty Trends Report covers the differences in royalties and revenue, as well as changes in common licensing contract terms, from one year to the next.
This year, however, the TLL team studied how the licensing industry was affected by, and adapted to, the COVID-19 pandemic. The study looks specifically at how revenues changed by licensing category from pre-pandemic 2019, to mid-pandemic 2020, and then in the recovery year of 2021.
The study showed not only how revenue fluctuated, but also how licensing companies adapted to the challenges posed by the pandemic itself and to the related logistical logjams that delayed shipments and raised costs.
The study found that most licensors changed the ways in which they drafted licensing contracts to make it easier for licensees to adapt, but also initiated new terms to ensure product launches succeeded.
“The data showed how quickly the licensing industry adapted to these new challenges, and in our opinion, it also showed the path forward to how licensing companies need to adapt to the current economic challenges posed by the War in Ukraine, high interest rates, a looming recession, and the catastrophic drop in consumer confidence,” said lead author and TLL Editor-in-Chief Gary Symons.
This year the report also provides economic forecasting for the coming year with a focus on the impact on licensing.
The report was released and sent to TLL subscribers on Jan, 2. Any subscribers who did not receive their magazine this month can go to The Licensing Letter tab at the top of thelicensingletter.com, and download their copy of the magazine.
Additionally, TLL is releasing later this week the full report with all of the data charts as a Special Report, which will be available for purchase on the TLL Bookstore. As well, anyone who completed the TLL Survey this year, and provided an email address, will receive the Licensing Royalty Trends Report for free.