Royalty revenue from licensed merchandise is also up 1.3 percent to $14.1 billion.
Global sales of licensed merchandise and services increased 4.4 percent to $262.9 billion in 2016, according to the International Licensing Industry Merchandisers’ Association’s Annual Global Licensing Industry Survey.
The survey was conducted by Brandar Consulting for LIMA for the third year.
According to the survey, entertainment and character licensing remains the largest industry category, accounting for $118.3 billion (45 percent) of the total global licensing market. Meanwhile, corporate and brand trademarks were the next biggest property type, generating $54.6 billion (20.8 percent) of total revenues. Fashion ($31.1 billion) and sports ($25.3 billion) were the next top performing categories.
Among product categories, apparel was the top performer with 14.9 percent of total global licensed sales, followed by toys (13.3 percent) and fashion accessories (11.3 percent). The fastest growing categories were infant and pet products. Other strong performing categories include home décor, which grew by 8.2 percent and video games/software/apps, which grew 8.1 percent and is now the fifth largest segment, accounting for 6.9 percent of revenue.
The study also found that the U.S. and Canada remain the largest market for licensed products and services, with revenue accounting for 57.9 percent of the global total, up from last year’s 57.7 percent. The Southeast Asia/PAC region was the fastest growing of all areas worldwide, with 6.8 percent year-on-year growth, and now accounts for 3.4 percent of global licensing revenue.
Additionally, royalty revenue from sales of licensed products and service also rose 1.3 percent to $14.1 billion.
“The 2017 Survey reinforces the positive momentum of licensed products worldwide and across all categories, especially the large and growing entertainment/character sector,” says Charles Riotto, president, LIMA. “This year’s results also speak to the impressive reach and strength of licensing initiatives in growth markets around the world, contributing to the continued vitality of the industry.”