Happy New Year!

Welcome to the January issue of Licensing4Profits. 

Fashion designers are artists who often fail to see their designs as intellectual property, and miss some big licensing opportunities. In this month's featured article, An IP With Style: Fashion Designs, we discuss different parts of fashion IP and how licensing is used by large and small designers to reduce risks, launch new products and venture into different markets.  

Your intellectual property is more than just a product or service. It's a bundle of rights that creates your IP value. In our latest free webinar, 3 Secrets to Unlocking Your IP Value, you'll learn how to break out of the tangible thinking box, find the valuable parts of your IP, and see new ways to make money with your intellectual property.  

 

Controlling how a trademark is used and displayed is critical to maintaining your rights. In our next article, Key Terms & Conditions: Use of Trademarks, you'll find out what terms must be specified in your licensing agreement to protect you from losing your trademark rights.

Learn what shoes, dog-snacks and a rock and roll song  have in common in This Month in IP History.

We conclude with this month's question "Due diligence seems like a lot of work and I'm wondering if there is anyway to streamline the process?"

Enjoy!

 

Fashion designers are artists who often fail to see their designs as intellectual property, and miss some big licensing opportunities.

 

Fashion design licensing is big business, generating over 16 billion dollars in retail sales in 2013. It's a strategy used by large and small designers to reduce risks, launch new products and venture into different markets.

 

Your fashion design is a multidimensional intellectual property. Trademarks and brands are the most visible and often the most valuable type of IP. Examples include Louis Vuitton, Nike and Gucci. Trade dress is also a big part your IP. It includes the design and appearance of your product, such as  Tiffany's blue color jewelry boxes or Louboutin's red shoe soles.  

 

Fashion copyrights include the prints, artwork, patterns and color arrangements you apply on your products. The Paul Smith Striped Pony and the 2012 Olympic outfit designs are two examples of fashion copyrights.

 

If your product is really new and novel, it can be protected by a design patent. Many big designers use this option including Lululemon Athletica (yoga pants), Oakley (sunglasses) and Bottega Veneta (handbags).

 

Licensing can turn your fashion design into a lifestyle brand. You can license out to a variety of other product categories, such as bags, accessories, perfumes, and sunglasses. An example is Dolce & Gabbana, who focuses on selling its high-end products, and licenses its brand on eye wear, watches, scarves, ties, perfume, footwear and mens underwear.

 

Licensing reduces the financial risks of producing and selling your products. When Ralph Lauren's business (shirts, ties and suits) was rapidly expanding, he didn't have the money to support it. So he refocused on design only and used licensing to get a 5% - 8% royalty from the manufacturers of his licensed products.

 

Licensing is a way to expand your designs into different retail channels, such as high-end and mid tier retailers. Isaac Mizrahi in Target, Vera Wang in Kohl's and Stella McCartney in H&M are all examples of fashion brands that created low-end designs exclusively for these mass market retailers.

 

Successful fashion licensing programs are invisible to the consumer. Quality control is key. It ensures every licensed product reflects your design quality and brand image. This includes fabric, stitching, and even manufacturing techniques.

 

Fashion design is more than just clothing, handbags and accessories. It's a multidimensional intellectual property with many different layers of rights. When combined, these rights provide a barrier of protection for your fashion design IP. Don't overlook licensing these rights. It's an effective strategy for building and sustaining your fashion designs in today's fast moving marketplace.

Feel free to pass this newsletter along to friends and associates. You can visit our websites (www.licensing4profits.com and www.licensingcg.com) to view our blog, special reports, published articles, webinars and audio presentations.

If you are interested in learning about our consulting services, please contact us at (646) 395-9572 or email info@licensingcg.com.  

 

Best regards,

 

President & CEO 

       

In This Issue

This webinar will show you how break out of the tangible thinking box, find the valuable parts of your IP,  and see new ways to make money with your IP.

Click Here to Sign Up

Controlling how a trademark is used and displayed is critical to maintaining your rights. Improper use by your licensing partner can result in losing your trademark rights.

Specifying the licensee can only use trademark artwork from a style guide is the best way to control its use. Also specify how to apply your trademark, such as requiring it not be used near or combined with any other logo, trademark, or trade name. Also be clear about applications on packaging, labels, hang tags and advertising.  

 

An electronic version of the style guide with the trademark and any artwork, designs, logos and stylized typography is the best format. If you don't have one, then provide very detailed instructions on how to create and use your trademark.

 

When preparing or reviewing a licensing agreement, it's always best to seek qualified legal advice before you sign anything. 

1871 - Charles Goodyear, Jr. patented the Goodyear Welt, a machine for sewing boots and shoes.

1909 -  Milk-Bone Brand was trademark registered.

1983 - Michael Jackson's "Thriller" was copyrighted.

Source:About.com