Art licensing 101 seminar july 2010 maria brophy rs

ART LICENSING 101 With Maria Brophy (Paul Brent, Licensed Art products, shown above)

Art Licensing Expert
Brand Manager for Drew Brophy
Licensing CONSULTANT
Blogger for Artists on MariaBrophy.com

Photo © Jason Wallis
DREW BROPHY
Professional Artist for over 20 Years
30 different manufacturers use his art to make their products look cool
Is known for his distinct style
Is featured in over two dozen magazines, newspapers, TV shows and books yearly
Lives the life of his dreams

ART LICENSING
It’s like Renting your Art Out to a Manufacturer…..

WHAT IS LICENSING?
In short: Licensing is when a manufacturer “rents” your art to print on their product!
Art licensing is an agreement between two parties.
1 – The user of the art and
2 - the artist
to use the artwork on a specific product for a limited time .
Licensing is everywhere! Most of what you buy is licensed, from clothing to cleaning products!

BENEFITS OF LICENSING YOUR ART
Licensing is a great way to earn $$$ over and over again on one image
You never produce or keep inventory – you just create the art
Licensing helps to market your art and thus grow your brand
YOU GET TO DO WHAT YOU DO BEST!

Artists: Do what you do best

WHY WOULD SOMEONE PAY YOU TO LICENSE YOUR ART?
They may have a great product but not-so-great graphics
In-house artists can’t do it all
If the artist or art is well-known, it will sell more of the manufacturer’s product
Your art may just reach the right target market that the co. can’t reach on their own
Your Art Solves a Problem for Them!

PALISADES SKATE DECKS
By licensing Drew Brophy’s Art, this new brand is able to:
Use Drew’s Art to Reach a youthful market
Use Drew’s name and reputation to lend credibility to their products (since they are a new brand, this is important)
On their own, with their own graphics, it could take years for them to get the sales they are getting right now.

ART LICENSING

Categories for Licensing:
Clothing, shoes, textiles, fabrics
Cell phone screensavers
Skins for electronics
Packaging
Toys
Beach products
Household goods
Advertising Campaigns

TOGOS SUMMER CAMPAIGN

Cindy Media Floral Patterns

DREW BROPHY / CONVERSE CHUCK TAYLOR DESIGNS SUMMER 2010

PAUL BRENT’S BATH/BEACH SCENES

THE MONEY!
How much can you make Licensing Art? $0 - Millions
The top performers earn millions a year (Paul Brent, Wyland, Mary Englebright, Thomas Kinkaide)

GETTING PREPARED FOR LICENSING
Brand yourself / Find your niche
Have a strong style & unique signature
Create art that appeals to the masses
Create COLLECTIONS of Themes
Keep ownership to all copyrights

Collection of a Theme

Why you must keep ownership to your © - THE COPYRIGHT OWNER:
Has all rights to reproduction of the work
Has rights to sell the artwork to another entity for financial gain or otherwise
Has COMPLETE AUTHORITY over what happens to the artwork , forever and ever

COPYRIGHT ACT OF 1976
States that copyright protection subsists from the time the work is created in fixed form.
The © in the work immediately becomes the property of the author who created the work
EXCEPTION: Artist created work for their employer (see copyright.gov for all exceptions)
Yes, you SHOULD REGISTER your art through Copyright Office

PLAN YOUR LICENSING STRATEGY
Choose what products you want your art on and where you want them sold
Choose the RIGHT Manufacturers
Keep good Quality Control to protect your name, your art, your brand
YOU ARE IN CONTROL OF YOUR ART!

DECIDE HOW YOU WANT YOUR ART REPRESENTED Quality vs. Quantity Lots of money now (Ed Hardy) or longevity (Wyland) Sold in quality stores or Wal Mart?

HOW TO GET A LICENSE DEAL
Exhibit at Trade Shows
Prospecting / Sales: Do your research, make up contact lists, and go get ‘em!
Through your good reputation

CONTRACTS
ARE A NECESSARY EVIL in ART LICENSING!

HELP! I DON’T HAVE A BUSINESS MIND!

Don’t worry: YOU CAN’T SCREW UP!
EXCEPT, MAYBE FOR THIS ONE THING…

AVOID THESE IRREVERSIBLE MISTAKES IN ART LICENSING CONTRACTS:
Never sign a Work for Hire Agreement
Never agree to “ Assignment of Copyrights ” language
Never agree to “ buyouts ” of your artwork
All 3 will take away your ownership to copyright!

THEY WANT TO LICENSE YOUR ART. WHAT STEPS TO TAKE?
Meeting – gather info
Deal Memo – send it to them
License Agreement – once you come to agreement
Collect Advance - $ before art is provided
Provide digital files of the art
Follow up to production process
Help your Licensee through your channels

TYPICAL LICENSING DEAL
You are paid a Royalty % of the Manufacturers’ Sales (HOW MUCH?)
You are paid an Advance against future royalties up front (HOW MUCH?)
Your name and © notice goes on everything
You have complete control and authorization over the final product

CONTRACT SMARTS
BEWARE OF: The “ Sneaky Contract ”
Don’t sign anything that you don’t completely UNDERSTAND or AGREE with
For large deals, get an attorney
Better yet, use your own agreements!

THE ANATOMY OF A LICENSING CONTRACT

SURPRISING INFORMATION
Many products don’t make it to market for 18 months - 3 years from the time you do the deal
This means you won’t get royalties until 18 months – 3 years from deal making
Some products NEVER make it to market
THIS IS WHY WE ALWAYS GET AN ADVANCE $$$

License Schedule Page 1 (Example)
Schedule A

“ PROPRIETARY SUBJECT MATTER” : The “Proprietary Subject Matter” shall consist of up to seven (7) copyright images owned by Licensor and provided to Licensee for the purposes of this Agreement.

“ LICENSED ARTICLES” : The “Licensed Articles” shall consist of: Longboard skateboard decks for adults, children.

“ DISTRIBUTION OUTLETS” : The term “Distribution Outlets” shall mean the following market(s) in which Licensee is hereby authorized to sell and/or distribute the Licensed Articles: Specialty and Sporting Goods Retailers

License Schedule Page 2
“ TERM” : The “Term” will commence on January 11, 2010 and expire on January 11, 2012.

“ LICENSED TERRITORY” : The “Licensed Territory” is North America and its territories.

“ ROYALTY” : The “Royalty” is 8%

“ ADVANCE” : The “Advance” is U.S. $ 5,000.00 due upon signature of the contract.

“ GUARANTEE” : The “Guarantee” is n/a.

“ PRODUCT LIABILITY INSURANCE” : The amount of bodily injury coverage under product liability insurance is $1,000,000.00 combined single limit with no deductible amount.

LOOK OUT FOR:
New Companies – usually fizzles and doesn’t work out (get an advance from them)
Companies that won’t pay an advance (some exceptions to this)
Companies that have never licensed before (you may want to go with a flat fee for these)

DEVELOPING A LICENSING PROGRAM
Takes TIME
It helps to have a distinctive style that SELLS
You MUST have many images in a theme
You MUST own the copyrights

Encourage Licensees to advertise with your Artwork, Name, Face

ARTISTS – STICK TOGETHER
Help each other succeed
Share information – Keep in Touch
Refer each other
Link to each other on Twitter, Facebook, Etc.

VISION
I SEE A WORLD IN WHICH THE TERM “Starving Artist”
IS A THING OF THE PAST &
WHERE ALL ARTISTS ARE WELL PAID FOR THEIR TALENT AND HARD WORK
TOGETHER, WE CAN MAKE IT HAPPEN

Art licensing 101 seminar july 2010 maria brophy rs

by Maria Brophy on Jul 27, 2010

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Art licensing 101 seminar july 2010 maria brophy rs — Presentation Transcript