Transparency Market Research Report Added "Licensed Sports Merchandise Market" to its database.

Albany, NY -- (SBWire) -- 03/17/2015 --What bears more significance in the world of sports – Is it the show? Or the licensing and merchandizing? While there might be no clear winner among the two, what stands true today is that the impact of licensing and sports merchandising is gravely felt and observed in the business of sports. In the last few years, the licensed sports merchandise business has emerged and developed as one of the fastest growing industries across the globe. The growth in the global licensed sports merchandise market has been on account of the two sub-segments within the industry - sports accessories and apparel.

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Global Outlook on the Licensed Sports Merchandise Market

Sports organizations are witnessing a phenomenal increase in sports merchandise and transactions. Sports licensing is a legal agreement signed by a sports team or organization allowing a company the license to use its logo, name, or any other trademark on the company's products. Licensed sports merchandise is typically sold through a wide gamut of retail options, which consist of drug stores, super markets, specialty stores, online stores, or departmental stores.

Licensed sports products give businesses the opportunity to reach out to a vast fan base at regional, national, or global levels, depending on the sports body. Licensed sports merchandise is a great boost to small-scale businesses too. Sports merchandizing enables effective engagement with fans who are unable to attend the sporting events. In this way, the presence of licensed sports merchandize helps in monetizing brands.

Key Factors Contributing to the Growth of the Market

Some of the most prominent factors driving the growth of the licensed sports merchandise market are increasing fan base, growing popularity of sports leagues, improving lifestyle, and rise in disposable incomes globally. Countries such as China, India, and Brazil present the maximum demand for sports apparel and other global licensed sports merchandise. The market also witnesses high demand for sports merchandise mainly from college and university-level sporting events. Licensed sports merchandise at these games typically involve pants, caps, shirts, sweats, and similar equipment and are in demand due to their ubiquitous presence across the globe. For most of the licensees, marketing sports merchandise products in college and universities also helps them earn higher revenues. Spending on sports merchandise determines the broad polarization of lifestyle, buying habits, easy approach towards e-commerce activities, and retail convenience.

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Licensed Sports Merchandise Market Soars in Royalty Revenue

Licensing sports equipment provides a critical source of revenue for licensees and sports bodies. The licensor gains royalty for each licensed product sold and the sports bodies gain a brand new revenue stream to operate and expand in the global market. The goal for all-sized businesses is to acquire a license that will enhance revenue opportunities. The revenue in the market is also closely related with consumer spending patterns as well as growing interests from sports teams and fans towards purchasing licensed sports merchandise in order to feel like a part of the team. Revenue is also generated by some extremely critical market trends that include different deal structures, production of digital origin properties, and decline in licensing contracts.

In terms of geography, the U.S. and Canada are the largest markets for licensed sports merchandises worldwide. Sports licensing in the U.S. is mainly dominated by NASCAR, NBA, NHL, NFL, and MLB. All of these sport organizations have merchandised channels such as shops and online retail channels to supply their products. North America currently leads the licensed sports merchandise market, with Latin America and Asia Pacific to follow as the fastest growing regions in the next five years.

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