The announcement that Wal-Mart (NYSE:WMT) and Disney (NYSE:DIS) will make today that they are partnering to offer merchandise built around the "Hannah Montana" franchise, gives some good ideas for online marketers.
For the most part, let's concentrate on licensing products; not our own, but others.
Many times online marketers, especially those that consider themselves small-time operators, don't think of themselves as desirable as a recipient of licensed goods. When I say small-time operators, I'm not only talking of those that may be making $30 - $40 thousand a year, but even those that may be making in the single and low millions a year.
While there may not be a reason for a franchise the size of Hannah Montana to do business with us, I know there will be those that have brands on a smaller level who would be more than glad to.
It could be done around the world, but in many cases, the further you go away, the harder it is to verify things, or know the integrity of those you may be working with. Because of that, I would start closer to home, depending on the size of your company.
An easy question to ask yourself would be: What company in the local area is well known, and has a great product? You could do that regionally as well. When you get the answer, it's a simple matter of approaching the business and finding out from the contact person whether they'd like to do a licensing deal with you.
There's something valuable about getting great partners. First, it is a way to make some extra money for the business, and in many cases, a lot of money. Second, if you get into a deal with a solid business, partnering with them immediately raises your status in the area you have your business. That could even be more valuable than whatever short-term money you may make.
Having said that, I understand your area could be the world, as it's connected to the Internet ... which is legitimate but not necessarily the best way to do licensing deals, especially for smaller companies.
In other words, just making a licensing deal with the right person or company, can be more valuable in how it raises you in the eyes of your customers and other potential business partners, than any money made. This is why when looking to grow your business on a local or regional level, it is important to approach companies known in the area.
If your customers are primarily across large geographic areas, then of course licensing deals with larger companies or brands would make more sense.
The point is licensing is powerful, and far more powerful as a tool from a variety of ways of looking at and understanding it, than the majority of marketers know.
Just understand that those that own products, are always looking for new outlets to sell their goods through. You can be the answer to that need, while being extremely successful in it; both in making money and enhancing your brand.
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