Warner Bros. and Looney Tunes licensees: a thriving partnership - Looney Tunes Supplement

Discount Store News, August 21, 1995

And it should be. Last year, all licensed products in the United States and Canada generated $70 billion in retail sales and licensed character merchandise generated sales in excess of $17 billion.

Looney Tunes, in turn, garnered a significant piece of this explosive business. Looney Tunes licensed merchandise rang the cash register to the tune of $2 billion.

"Our licensing business had grown from a small, profitable part (of Warner Bros. overall business) to a large and profitable part," said George Jones, President, Worldwide Licensing, WBCP.

"It became a significant enough business that the company realized that we needed to take a more strategic, longer term approach in order to continue growing."

Jones, who joined the division in August 1994, is uniquely qualified to direct this charge. Prior to joining WBCP, he served as Chief Executive of Rose's and Executive Vice President of Target and he has a clear understanding of the needs of retailers and licensees.

Since Jones came on board, WBCP has closely analyzed its Looney Tunes licensing strategy on a category by category basis. In some cases, especially in the apparel category, there were far too many licensees and the business was too fragmented. To remedy the situation, each category was reviewed and in some instances, licenses were not renewed.

In other cases, WBCP may not have had the blue chip category leader on its roster. If it was determined that a particular supplier has superior creativity, product designs or retail distribution, the company courted them as a potential licensee, explained Jones. Dan Romanelli said today strong licensing partnerships are very evident and are truly a hallmark of the WBCP programs.

"We can see when a licensee pushes the envelope and develops creative designs and fashions. We see a difference in the performance of the product. These partners will grow with us," Romanelli said. Added Jones: "Our success is related to the fact that we have excellent licensees."