productI have a product idea related to Australian Football League merchandise.
It makes far more sense for me to license this idea to a product manufacturer than try and establish a business to manufacture my product idea.
The AFL says:
The base royalty rates for all Official AFL licensed product will commence at:
• 15% of wholesale sales price for generic product at retail
• 18% of wholesale sales price for all product featuring player imagery
I have no experience of pitching ideas to product manufacturers.
Can anyone offer some advice on pitching the idea?
What is it about licensing that makes you feel it’s a better alternative than setting up your own operation?
Sometimes the best way to go about it is to start your own operation and prove the idea you have works, then go pitch it to some companies. They’ll be more receptive if they know from your empirical data that what you’re proposing will actually be successful. It would also give you the opportunity to test variations of your idea to see what works best so that you have the greatest chance of monetizing your concept when the time is right.
The problem with pitching an unproven idea is exactly that – it has no track record. Whoever you’re trying to sell it to bears all of the risks and expenses that come from trying to make your idea a reality, so they’re going to be very hesitant, even if the idea sounds great. You’re going to have better luck by showing proof of concept, and perhaps you could end up deciding you’d rather run with your idea and keep control of all aspects of it.
I hope this helps.
Good luck!
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