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Bradford License India

Pandemic and Licensing Industry

As everybody knows, the world has become a different place in 2020. We are living, consuming, and thinking differently in fundamental ways. The social and financial disruption caused by COVID-19 is devastating and has led every individual to change his/her lifestyle. The current scenario has come out with customers changing their purchasing habits and trust towards brands. Online options are more stressed and obviously consumers choose contactless payment options, spending less and are focusing on personal hygiene as well. The customer’s expectation of brands has also taken a sharpturn which includes not only providing quality services but also to contribute towards the society.

A recent study has shown that 61% of the US respondents noticed how a brand acts during this time will affect whether or not they will continue to use that brand.

Can never refer to the pandemic as ,“A Blessing in Disguise “but we have learnt a lot in 2020 which includes the significance of brands as customers would always want to feel safe in their buying decisions. Although every information is readily available, still we seem to have even less time to research the available information to make those buying decisions.

Businesses must understand what kind of new consumer is emerging, actually has emerged, and how business — how brands — can remain relevant and grow. Some of these changes were already underway, but they have accelerated this year at a pace faster than we could have ever imagined.

With brands, we trust our purchase decisions. Consumers generally do not differ between the brand’s core and licensed products and here itself lies the risk for the licensor. Clearly, if the licensee does not meet the same standards as the actual brand, the licensor is held accountable. Thus, sustainability is a part and parcel of licensor’s due diligence towards licensee. In the current scenario where health issues, financial issues, racial injustice, climate change are making an impact on customer’s purchasing behavior, we do not really have much choice. This is the best time to  and make a difference and is indeed an opportunity for brands to use licensing to widen their customer base and entangle on an entirely different playing field.

Licensing has a very important role to play in this new world order. Brands have always had messages that they want to deliver to consumers. Messages about their products or services, their equities, targeted at the consumers with whom they want to engage. And licensing has always been an effective tool for brands to use to help them deliver those messages. But today, in these turbulent times, brands have a more important message to deliver to consumers, a message not just about their products, but about what the brand is doing to help society, to address issues, a message about their values. And licensing is now an even more important arrow in a brand owner’s quiver to help deliver that message.

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