Licensing: Did You Know? Trends

Royalty rates for licensed merchandise have been consistent in the last 10 years. From 2000 to 2009, the average royalty rate moved slightly from 8.5% to 8.8%, according to The Licensing Letter Royalty Trends Report.

The average royalty rates for Sports-licensed properties rose from 8.4% in 2000 to 10.1% in 2009, according to the same report. Since they started tracking Collegiate-licensed properties in 2008, the average royalty rate has been steady at 9.8%. These statistics are based on data collected from The Licensing Letter's Annual Licensing Business Survey.

Here are trends for additional property types since 2000, according to The Royalty Trends Report:

• Entertainment (10.4% in 2000 to 9.8% in 2009)
• Traditional Toys/Games (8.6% in 2000 to 10.1% in 2009)
• Videogames/Interactive (8.6% in 2008 to 8.8% in 2009)

The SMA Team