Pokémon soars at UK and German retail as both toys and trading cards ‘enjoy best year ever’

Sales of both the Pokémon Trading Card Game and toys from Wicked Cool Toys soared at retail across the UK and Germany throughout 2019, according to the latest figures revealed by NPD.

The Pokémon Company has reported year on year sales that ‘continue to be substantially above the market average’ for Pokémon in what has become somewhat of a regular achievement for the brand in recent years.

According to figures recorded by the NPD Group Toys retail tracking service, total UK toy sales for Pokémon in 2019 were up 24.1 per cent against an overall market downturn of 7.1 per cent, while Germany recorded a remarkable 100.6 per cent increase in sales against market growth of just 3.3 per cent.

The Wicked Cool Toys range is distributed in the UK and Ireland by Character Options and in Germany by BOTI.

Meanwhile, in Strategic Card Games (SCG), Pokémon continues to be the category market leader with the number one slot in both the UK and Germany. UK sales were up 30.8 per cent – almost double the total market, which grew by 17 per cent, while in Germany the increase was an impressive 98.8 per cent, which helped the market to achieve total growth of 71.7 per cent.

Pokémon generates over 50 per cent of the total revenue of the top 14 best-performing SCG brands in the UK, and more than triple that of the 14 next best-selling brands combined in Germany. The Pokémon TCG is distributed by Asmodee in the UK and by Amigo in Germany.

“In another fantastic year for Pokémon, we are delighted to see an ever-growing appetite for our product,” said Mathieu Galante, licensing director (EMEA) for The Pokémon Company International.

“Wicked Cool Toys’ innovative and extended toy range is really connecting with fans, coupled with huge demand for tie-in products from the hugely popular Pokémon Detective Pikachu film. We also enjoyed great success from yet another first this year with our new video games Pokémon Sword and Pokémon Shield, when the first partner Pokémon plush were available to buy from selected retailers on the same release date as the VG for the first time ever.

“With an even bigger toy line to showcase at this year’s key top toy shows, which we expect to do just as well, we are very excited for 2020.”

Simon Benton, vice president of Pokémon TCG sales for Europe, added: “We had one of our best-ever years at retail in 2019 with exciting consumer promotions and highly impactful permanent and temporary space solutions that capitalised on the incredible TCG content and elevated Pokémon brand profile throughout the year.

“With the first Pokémon TCG: Sword & Shield expansion launching at retail on February 7th, supported by major retail promotions and media campaigns, 2020 will see TCG sales achieve new records. We’re looking forward to a successful year with our distribution and retail partners and thank them for their ongoing support.”

The global phenomenon of Pokémon was first launched in Japan in 1996 as a role-playing game for Nintendo’s Game Boy system and reached the United States and Europe in 1998–99.

Pokémon has since grown into one of the most popular entertainment properties in the world, encompassing video games, the Pokémon Trading Card Game (TCG), mobile games and apps, animation and movies, Play! Pokémon competitive events and licensed products.

It is recognised as one of the most successful video game franchises of all time with more than 340 million video games sold worldwide. In addition, more than 22 billion TCG cards have been shipped to 77 countries in 13 languages, while the mobile game sensation Pokémon GO has received more than one billion downloads globally since launching in 2016.

More than 1,000 episodes of the animated TV series span 22 seasons, licensed for broadcast in 169 countries and regions in more than 30 languages.

Brand Licensing Europe opens applications for 2020’s Retail Mentoring Programme

Brand Licensing Europe has opened applications for this year’s Retail Mentoring Programme, marking the tenth year of the initiative that helps introduce UK retailers to the licensing scene.

To date, the programme has seen over 300 industry professionals take part since its launch in 2011, with a record-breaking 80 participants in 2019, an increase of 48 per cent over the 2018 edition.

“The Retailing Mentoring Programme offers an in-depth introduction into the world of licensing and unique access to some of the industry’s most important players,” said Anna Knight, VP, Global Licensing Group.

“The wealth of expertise and insight on offer to buyers, creatives and managers is immense. That we’ve seen so many people across a range of sectors participate in the programme, demonstrates its value and scope, with the 2020 edition set to be the best yet.”

An opportunity for retailers to learn about the benefits and fundamentals of licensing, BLE’s Retail Mentoring Programme is a Continuing Professional Development accredited course offering insight into the licensing industry to help retail teams gain a competitive edge when identifying new brand partners and negotiating licensing deals.

The Retail Mentoring Programme runs from the spring until Brand Licensing Europe and is delivered through workshops, seminars and one-to-one consultancy sessions. Valued at £499, the programme is offered free to qualifying retailers.

In addition to the course, participants will also receive a place at the Licensing Essentials Course and Spring Fling in May, organised in conjunction with Licensing International; an invitation to judge the Licensing Awards organised by Max Events; a place at the Retail Mentoring Programme’s closing Licensing for Retail conference, and access to exclusive retail content at BLE, including the retail trends lounge.

Those taking part will also receive a day with a licensor to help them understand licensing from the brand-owner side, as well as receiving tips on how to work effectively with some of the world’s best-known properties and agents.

Previous hosts have included eOne, NBCUniversal, Natural History Museum, Penguin, The Point.1888, and Viacom Nickelodeon Consumer Products.

Emma Edwards, buyer for four to 14 girls wear at Asda George described enrolling on the 2019 edition of the Retail Mentoring Programme as “the best way I could’ve been introduced into the world of licensing.”

“There was so much opportunity on the course to learn from industry professionals and the seminars really did offer a wealth of key and concise information in such a short amount of time,” she said.

Retailers can apply to take part in the programme online. BLE welcomes applications from:

 

  • Buyers, designers, merchandisers and marketers with existing licensing programmes
  • Buyers, designers, merchandisers and marketers engaged in licensing but want further development
  • Teams who would like to learn how to develop their licensing relationships
  • Teams looking for cross-category opportunities
  • Individuals new to retail and hoping to develop their career and expertise within licensing

35 retailers participated in the 2019 Retail Mentoring Programme including: Amazon, Asda George, Character.com, The Entertainer, Fat Face, Hamleys, John Lewis, Jo Jo Maman Bebe, M&Co, Moonpig, Morrisons Nutmeg, Next, Pep & Co, River Island, Sainsbury’s Argos, Sainsbury’s Tu, Tesco and Truffle Shuffle.

MyProtein partnerships and print on demand furniture: The Hut Group is building on a record year in licensing

There’s certainly been a shift of gear surrounding recent licensing developments for the British e-commerce specialist, The Hut Group, who not only quadrupled its licensing team in 2019, but has since expanded its facilities in preparation for further growth in the space this year.

Across health and beauty, lifestyle, and the pop culture entertainment sectors, the firm has just come out of ‘a record year’ in terms of its licensing operations where the company achieved record sales for its print on demand portfolio for both Zavvi and IWOOT.

Now, The Hut Group is preparing for a successful 2020 as it continues to push new collaborations and product launches across some of the hottest trending licensing sectors of the moment – whether that is a MyProtein deal with Warner Bros, or a boundary-pushing print on demand furniture operation.

Licensing.biz catches up with Rick Kay, licensing manager at The Hut Group to find out more.

Hi Rick, can you tell us how business has been for you guys over the past 12 months?

 Excellent. 2019 was a record year for the group and the licensing team especially. Print on demand was a primary focus for us as a licensing team and we saw record sales in that regard. Our capsule launches have been our biggest win.

A particular highlight was the Original Hero range we did with Nintendo on Zavvi.com which turned over £140k gross sales in just seven days.

And what increase in licensing activity from you guys would we have seen over that time?

On Zavvi we launched at least two clothing collections every month in 2019 which is a massive step up from where we were in 2018. In January 2020 alone we have launched a Harley Quinn range to tie-in with the Birds of Prey movie release, a Star Trek and a NASA collection.

We have also increased our product capabilities and have expanded hugely into the accessories and homeware space. We have launched a Ramen range on IWOOT.com this month which covers multiple products including apparel, phone cases, mugs, prints, cushions, coasters and travel mugs.

We can also print a host of other products on demand including wall vinyl, tote bags, blankets, greeting cards, glassware, doormats, chopping boards and with a dedicated NPD team the list is constantly growing.

Could you talk us through some of the biggest developments The Hut Group has seen in the licensing space over the last few months?

 We consider Zavvi to be the home of pop culture and with this in mind video game licensed products have become impossible to ignore and is a big growth area for us.

Nintendo has been a big partner for a few years now but over the last few months we’ve partnered with Sega (Sonic, Football Manager, Streets of Rage etc), Rare (Sea of Thieves, Banjo Kazooie, Battletoads etc) and Borderlands with many more discussions ongoing.

So that’s pop culture, but what are you guys bringing to the lifestyle, luxury, wellness, and beauty space in terms of licensing?

Our focus on our lifestyle division will remain throughout 2020. Our print on demand model allows us to be quick to market and also allows us to develop product for more niche licenses as we don’t have to commit to minimum orders.

On wellness, our biggest brand MyProtein is about to launch a collaboration with Warner Bros. Phase One is a limited edition Justice League collection including protein powder and accessories.

Further phases and licenses will be rolled out throughout the year. This is an exciting and unique licensing opportunity for us which represents the potential for huge growth

We are also looking into opportunities in the luxury and beauty space and this will be a key driver for growth in the future.

We notice that there’s been quite an expansion of the licensing team at The Hut Group – can you talk us through the team and the new additions?

 The core licensing team has grown from one person to four in 2019.

Natalie Kumeta is the head of licensing and really got the ball rolling with regards to licensing at The Hut Group. I was then brought in towards the back end of 2018 having had experience on both the licensor and licensee side at Viacom and Sambro.

Ben Smith was then added to the team, with seven years’ experience in print on demand his production knowledge has proven invaluable. Finally, Chris Beck joined in July having previously worked at Mattel and eOne.

Beyond the core licensing team we have grown our dedicated design team from four to eight over the last year with their focus almost exclusively being on print on demand product for Zavvi and IWOOT.

We are also expanding our NPD team which will see us bring in much more product beyond print on demand. Expect to see a lot more exclusive and limited edition collectible product and apparel on Zavvi and IWOOT in 2020.

Our multi-million pound print facility in Warrington will also see further investment as we look to expand the volume we’re able to print as well as the quality and variety of product. Expect print on demand furniture to launch in 2020.

We have also started a new initiative called M-A-N-A which will leverage The Hut Group’s tech platform to allow us to create end-to-end brand led e-commerce sites in a matter of hours. This will be a massive area of growth for us as we look to expand relationships with our existing partners as well as new.

How has this set you guys up for further growth in the licensing space for 2020 and beyond?

 The growth of our team will allow us to increase both the frequency and quality of our apparel, homeware and accessory launches on Zavvi and IWOOT in 2020.

Beyond that it will allow us to expand our focus beyond those sites and increase our licensed offering in the wellness, beauty and luxury areas of the business.

I’d like to ask what the next big step for The Hut Group will be now – but I fear we’ll run out of room…

There’s almost too many to list!

For Zavvi and IWOOT the next step will be about expanding our current offering. We have a lot of space to grow our portfolio in the gaming, music, anime and lifestyle sectors.

Growing the two above sites in other territories is also important for us, we’ll be opening a dedicated Zavvi office in the USA and so securing more deals in that territory will be vital.

Then of course we will be rolling out M-A-N-A, and continuing to expand the licensing offering in other sectors of the business.

Kellogg’s launches pop-up cereal café to celebrate new W.K. Kellogg by Kids

Kellogg’s has launched an official Kellogg’s cereal café for kids, run by kids, as part of a launch campaign around the breakfast brand’s first new cereal launch in over 20 years.

To celebrate the launch of its new W.K. Kellogg by Kids, the first children’s product to include fruit and vegetables with no added sugar, the brand has enlisted the creative talents of Taylor Herring for the PR campaign, including the opening of its pop-up cereal café.

The launch of the new cereal follows research that has highlighted the ‘evolving palate of Britain’s children’, revealing that over two-thirds of kids – 66 per cent – have a more varied diet than their parents had. Healthy choices lead the way as apple – 52 per cent – topped lists of snacks kids are most likely to request from their parents.

In light of the research, a pop-up cereal café with a twist has launched– designed for and run by kids themselves; complete with mix-your-own cereal dispensers, colouring-in tables and a full-sized doodle wall.

To launch the café, celebrity mum Myleene Klass was invited to be one of the first to try a bowl of W.K. Kellogg by Kids at the café.

“I think children are definitely having a re-education around their food – I remember just wanting burger and chips but the girls are more likely to go for the likes of apples, blueberries, avocado or even sushi,” said Klass.

“Mornings can be mad in our house so it’s amazing to know that breakfast is easy. A cereal with fruit, veg, no added sugar, plus the whole family think it tastes great – what more could you want?”

A Kellogg’s spokesperson added: “It’s amazing to see the changing tastes of the UK, especially coming from the younger generation. Our kid’s panel of experts knew exactly what they wanted when it came to creating this brand new breakfast cereal and it’s everything you’d expect kids to love – delicious and fun.”

W.K Kellogg by Kids is the first children’s cereal to include fruit and vegetables and comes in two tasty flavour variants that the whole family will love: Strawberry, Apple and Carrot and Blueberry, Apple and Beetroot.

The Harry Potter store magics £20m retail revenue as it plans world’s largest shop in New York

Harry Potter is continuing to cast its magic upon the UK retail space, having generated £20.1 million of revenue over the 15 months to the end of February last year.

Financial statements have revealed that through a chain of just three stores located within the UK – two in the departure lounges of London’s Heathrow and Gatwick airports, and one at London’s Kings Cross railway station – Potter maintains its spell over UK shoppers.

The stores are operated by the British company Platform 9 ¾ Kings Cross, which also managed the retail for the Harry Potter and the Cursed Child theatre shows in London, Melbourne, New York, and San Francisco, ultimately owned by WarnerMedia.

According to a report from Forbes, over the 15 months to the end of February 2019, Platform 9 ¾ Kings Cross made a £0.4 million net profit after paying £25.6 million of costs. Its biggest expense was the £7.5 million spent on stock, followed by the £3.7 million on wages.

Amid the financial reports has come the announcement that Warner will now open the world’s largest Harry Potter store in New York this summer.

The new store will be located next to the Flatiron building at 935 Broadway and will span more than 20,000 square feet across three floors. It will also house the largest collection of products based on the Harry Potter movies, as well as the Fantastic Beasts spin-offs.

BBC Studios and Forbidden Planet celebrate Doctor Who with exclusive t-shirt partnership

BBC Studios and Forbidden Planet have devised an initiative to release a new and exclusive line of Doctor Who T-shirts throughout the current twelfth series of the popular sci-fi TV show. The newest season started airing on January 1s this year.

A range of 10 Doctor Who T-shirts will launch during the new series, themed around each week’s episode, with each being available to pre-order at ForbiddenPlanet.com the morning after transmission.

Kicking off the new series, Doctor Who returned to BBC One on January 1st for a New Year’s Day special named Spyfall, with subsequent episodes broadcasting every Sunday. The series sees Jodie Whittaker continue her role as the Thirteenth Doctor, as she resumes her travels through time and space with friends Ryan (Tosin Cole), Yaz (Mandip Gill), and Graham (Bradley Walsh).

Anita Majhu, senior licensing manager at BBC Studios, said: “This is such an exciting line and we’re thrilled to be offering Doctor Who fans the opportunity to be a part of the new series in this way.”

Anthony Garnon, licensing and special projects manager, Forbidden Planet, added: “Months of behind the scenes planning and co-ordination, this is Doctor Who merchandising on a whole new level. Don’t just watch the episode, live it with Forbidden Planet.”

T-shirts will be available to pre-order online at ForbiddenPlanet.com and will be priced at £15.99.

HMV warns of store closures as negotiations over ‘extortionate business rates’ take place

HMV has detailed its intentions to close three of its stores by the end of January as the retailer enters negotiations with landlords across ten of its locations, citing the impossibility of contending with “extortionate business rates.”

The music and entertainment specialist has admitted that such are current business rates, it has left the operation of certain locations among its chain of high street outlets, ‘no longer viable.’

HMV confirmed that stores in Bury St Edmund’s, Fopp Glasgow Byres Rd, and Nuneaton will close by the end of the month. The retailer also plans to relocate branches in Lincoln and Plymouth with new stores opening in the cities at the beginning of February.

In response to reports of more closures, HMV has said there are now 10 stores in which negotiations with landlords are taking place. The retailer maintains, however, that it is hopeful of securing nw deals.

“These stores are due to close later this month unless new deals can be agreed,” HMV said in a released statement. “The closures are no reflection on our superb staff and where we are not able to come to a new agreement, or relocate staff within the business elsewhere, unfortunately this does mean some of our staff will lose their jobs.

“Landlords are working hard with us to try to come to agreements. However, in some cases the extortionate business rates just mean that certain locations are no longer viable. At present, there are negotiations with landlords over our locations in Birmingham Bullring (this does not impact The HMV Vault opened in Birmingham in October), Leeds Headrow (we opened a new store in St John’s Centre), Bristol Cribbs, Edinburgh Ocean Terminal, Glasgow Braehead, Grimsby, Merryhill, Reading, Sheffield Meadowhall and Worcester.”

In February last year, HMV was sold Sunrise Records & Entertainment Limited, a Canadian music company owned by Doug Putman. The firm acquired 100 stores across the UK, transferring some 1,487 store and head office employees as part of the rescue bid.