Aloha,
This story first appeared in the Nov. 21 issue of The Hollywood Reporter magazine.
Much has been made of the arms race between Disney's Marvel Studios and Warner Bros.' DC Comics to create superhero movies through 2020. Less debated is a key financial underpinning of the war: Licensing revenue generates tens of billions of dollars for Hollywood companies, and DC needs a heroic effort to catch Marvel in licensing profits.
On Oct. 15, Warners CEO Kevin Tsujihara said that if he can close the current gap by half, the studio could earn an additional $150 million a year in profits. How big is the gap? In May, License Global placed Disney first among licencors with sales of about $41 billion in 2013; Warners was seventh with $6 billion. Both have strong properties: The Licensing Letter listed Marvel's Spider-Man global retail sales at $1.3 billion and Avengers at $325 million in 2013, compared with DC's Batman at $494 million and Superman at $277 million.
This is why comic books can have a low print run but yet stay in business as a product. The comic book character is a name brand unto themselves.But when we look at the numbers here, you see what I've been telling you for years now.
SPIDEY RULES:spidey:
This story first appeared in the Nov. 21 issue of The Hollywood Reporter magazine.
Much has been made of the arms race between Disney's Marvel Studios and Warner Bros.' DC Comics to create superhero movies through 2020. Less debated is a key financial underpinning of the war: Licensing revenue generates tens of billions of dollars for Hollywood companies, and DC needs a heroic effort to catch Marvel in licensing profits.
On Oct. 15, Warners CEO Kevin Tsujihara said that if he can close the current gap by half, the studio could earn an additional $150 million a year in profits. How big is the gap? In May, License Global placed Disney first among licencors with sales of about $41 billion in 2013; Warners was seventh with $6 billion. Both have strong properties: The Licensing Letter listed Marvel's Spider-Man global retail sales at $1.3 billion and Avengers at $325 million in 2013, compared with DC's Batman at $494 million and Superman at $277 million.
This is why comic books can have a low print run but yet stay in business as a product. The comic book character is a name brand unto themselves.But when we look at the numbers here, you see what I've been telling you for years now.
SPIDEY RULES:spidey:
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