Sports fans are making a strong statement with their wallets. According to SGMA Internationals Sports Licensing White Paper (2005 edition), 2004 sales of sports licensed products in the United States were $12.6 billion, down slightly from $12.7 billion in 2003. Had it not been for the NHL lockout and reduced sales of retro jerseys for street fashion, the sales in 2004 would have been higher.
Overall, the strengths of sports licensed product sales are in apparel (33% of all sales), accessories, sporting goods, video games/software, and publishing, notes The Licensing Letter. The popularity of these items overseas is continuing to grow, especially for the NBA.
Listed below are some of the highlights of the Sports Licensing White Paper (2005 edition):
Major League Baseball: Sales of MLB merchandise grew for the seventh consecutive year. Strong sales can be associated with game attendance, which reached an all-time high in 2004. The post season success enjoyed by the Boston Red Sox in 2004 played a big role in MLB merchandise sales. Major League Baseball has intentionally chosen licensees which are baseball-centric, i.e. truly focused on baseball.
National Basketball Association: The strength of the NBA is its international diversity: nearly 80 players from 34 countries. The NBAs cable channel reaches more than 40 countries. Sales of retro jerseys are enhanced by Hardwood Classic Nights, in which players compete in uniforms from the past. The existence of merchandising categories like NBA4her, NBAkids, NBA Hardwood Classics, NBA Soul Swingman, and NBA Authentic helps retailers organize and promote NBA products. Roughly 25% of total licensed revenues for the NBA come from overseas markets.
National Football League: Sales of NFL merchandise rose by a double-digit rate in 2004. The NFL has been successful in introducing a wide range of apparel for the womens market. The breadth and depth of NFL merchandise ranges from books to video games to retro jerseys to headwear to childrens items. The popularity of the NFL is revealed by its TV viewership numbers and its availability on CBS, FOX, ESPN, NFL Network and through DIRECTV.
Colleges and Universities: Sales of sports licensed products associated with colleges, universities, bowl games, conferences, and special events (represented by the Collegiate Licensing Company) have risen by double-digit percentages during the last three fiscal years. Nearly 40% of sales are non-apparel, with most of that being associated with video games. As a stand alone entity, the NCAA is working to establish its brand with the buying public. The top five-selling institutions are North Carolina, Michigan, Texas, Notre Dame, and LSU.
NASCAR: The growth in the popularity of NASCAR can be tied to its expansion from a regional entity to an international attraction.
To access a copy of SGMA Internationals Sports Licensing White Paper (2005 edition), visit OBTAIN REPORT This report is available, free of charge, to full members of SGMA International.