Gaurav Marya, LIMA representative in India
While Europe is in the middle of an economic crisis, India, one of the world's emerging powers, finished 2011 with economic growth rates close to 8% and has a huge mass of young people who can become consumers of licensed products. Television series, movies and cricket, the most popular sport in India, have already begun to generate licenses in a country where opportunities for licensing have "no limits".
¿Which are the main trends in the licensing industry in India?
Globalization is fueling the growth of many industries, including the licensing, in emerging markets like India, opening a path to a plethora of opportunities. With 40% of population under 15 years, sales of licensed products in India account for only 1% of total retail sales, so the chances of long-term growth for the licensing industry are promising. Given that licensing success depends largely on the commercial deployment, licensing actions should be designed taking into account the needs and nature of the retail sector in the country.
¿ Which are the most significant sources of properties?
Sales of licensed products arising from the entertainment are increasing. The success of films makes retailers more receptive to buy licensed products for their stores. Cartoons and characters created by children's entertainment shows have the help of television and cinema to advertise the licensed products and stimulate market interest in them.
Another important licensing area are sports: most cricket teams of the Indian Premiere League have been associated with several brands to enter their licensed products on the market.
¿How will evolve the licensing market in India?
While licensing figures are tiny compared to other markets, India is becoming a strong potential market and we expect that, within five years, the market for licensing in the country will be about 500 million dollars (about 375 million euros). The market offers great opportunities but also presents a unique set of challenges to overcome. In India, anything that becomes a TV hit can be exploited in the licensing industry. Celebrities are also a major vein, with characters like the cricketers Rocky S, Yuvraj Singh and Sachin Tendulkar, who have already presence in the sector.
¿What will be the three main properties for this year?
The NBA, the Oxford University -in relation to corporate licensing- and Angry Birds as licensed characters.
The full text of this interview is available in the April issue of Licencias Actualidad.