February 11, 2009
How Much are Bob Marley's Product Naming Rights Worth?
The news that the Bob Marley name and related trademarks have been handed over to a private equity firm to "grow his legacy" gives us an interesting insight into the value of an iconic name like Marley's. The deal should be worth $1-2 billion over the next three years.
There have been many unlicensed Marley products on the market for some time and they seem to be growing despite the fact that Marley died in 1981, almost 30 years ago.
The new deal should help bring order to this chaos, covering "accessories, apparel, footwear, food and beverages, collectibles, luggage, musical instruments, promotions and entertainment, stationery and paper goods, hospitality (including restaurants, cafes, hotels, resorts and spas), as well as video games and computer products."
To acquire the naming rights, Hilco Consumer Capital is paying a total of $20 million for half of the House of Marley.
Some bloggers feel this is a "sell out," but it does seem to me that Marley's family has the right to ensure that they profit from the name, rather than countless counterfeiters.
In addition to Marley, Hilco will also control the product names "Tuff Gong, Catch A Fire, One Love, Three Little Birds and Relics of Antiquity. Although with Marley's name in the hands of Hilco, don't expect to see it on rolling papers anytime soon.
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