Total Licensing Winter 2007 - (Page 47)
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LICENSING EEMC REPORT BEST EVER YEAR Unprecedented levels of licensing
activity in Central and Eastern Europe has given EEMC its best year ever.
Revenues for 2006 are 35% ahead of 2005 which was itself a record year.
Kalman KJ Istok of EEMC says a mixture of classic brands and exciting new
properties is helping to drive the market to new heights in Eastern
Europe. Strawberry Shortcake, NBA, and B-Daman have been big hits for us
and our clients this past year and look like performing well for some
years to come,” he says. EEMC has also increased its presence in the
market with some high-profile signings this year. These include 4 Kids for
Teenage Mutant Ninja Turtles, Target for Fifi and the Flowertots,
EuropaCorp for Arthur and the Minimoys, Xilam for Shuriken School, and Big
Tent for Domo. Eastern Europe is a territory of over 480million people, but
the core markets of the Czech Republic, Hungary, Poland, Russia, Slovakia,
and the former Yugoslavia represent approximately 250 million people.
Estimates of the market value range from $150 million to $250 million in
licensed product retail sales. However the expansion of the EU has some
analysts predicting that the market could quadruple to as much as $1
billion in retail sales. KJ Istok says EEMC’s business in Russia, for
example, continues to outgrow the region and now currently accounts for
more than 30% of gross revenues. That’s a trend that can only continue.
“Looking ahead to 2007,” he adds, “we are expecting more high-growth
record-breaking revenues driven by blockbuster projects such as The
Simpsons Movie, the Teenage Mutant Ninja Turtles Movie, Surf’s Up, Mr.
Bean’s Holiday, and the launch of SpongeBob in some new key markets.”
KJ Istok says EEMC will continue to grow the market in this expanding
area.They have increased support for marketing teams in Poland and Russia
and they intend to step up promotions activities in Hungary, the Czech
Republic, and the former Yugoslavia. Properties such as Garfield,The
Simpsons, Forever Friends and Lord of the Rings have performed very well
throughout the region for a number of years. But this year they have been
joined by some remarkable performers. Commented KJ Istok, “Ice Age 2 was
the hottest property in CEE and Russia both in terms of box office and
licensing and merchandising activity. Sony’s Open Season has also been
huge, which is hardly surprising in Russia since the central character is
a bear.” He added that this is good news in itself but what is really
exciting is the success of brands that are new to the market in Eastern
Europe. “As well as Ice Age 2 and Open Season, SpongeBob, NEW ONLINE
STORE FOR SESAME STREET Sesame Workshop is offering a wide selection of
educational and other Sesame Street products in the new online Sesame
Store. The store is available through a link on the Sesame Workshop
homepage. “Sesame Workshop’s priority is to create a first-rate
educational destination - one that is interactive and encourages a love of
learning for young children and their families,” said Terry Fitzpatrick,
Executive Vice President of Distribution, Sesame Workshop. “Over time,
we were seeing more and more visitors wanting to extend the Sesame
experience through products. As a result, we are now offering a value
added service that will help our users find DVDs, books, and music
featuring the beloved Sesame Street characters they know and trust.”
Because the site is focused on Sesame Street and because users can browse
for products by either category or characters, it is easy to find what
they want. Users may also find a broader selection of products than may be
readily available in stores. Advertisements for the Sesame Store will not
run in the kid’s areas of the site. Current products available in the
Sesame Store include DVDs, music, books, clothing, and toys and plush.
More products will be added over time. Warning : Unknown : The session id contains invalid characters, valid
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Total Licensing Winter 2007
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