THE TOYS OF SUMMER PRODUCTS LICENSED FOR LATEST KID FLICKS.
Byline: Jesse Hiestand Staff Writer
Shrek loves to wallow wallow
mud bath frequented by pigs, elephants, red deer, hippopotami as a cooling aid. in dirt, but DreamWorks SKG SKG Stichting Kwaliteit Gevelbouw (Dutch)
SKG Spielberg, Katzenberg,and Geffen (DreamWorks Studios)
SKG Thessaloniki, Greece - Thessaloniki (Airport Code)
SKG Smith and Kraus Global hopes to clean up on his image.
The pea-green ogre of the animated feature opening this weekend inspired a merchandising blitz by the Glendale-based studio, from action figures to cookies, socks to storybooks.
Shrek-obsessed kids can play the spin-off video game in their flame- resistant sleepwear, pack their Shrek backpacks for school and get there with official gasoline sponsor Chevron.
There's a collectible Burger King Kids Meal and Shrek-themed ice cream at Baskin-Robbins, but this onslaught isn't unprecedented - it's the norm for kid flicks looking to boost revenue and build a franchise.
``We think it's probably not enough,'' said Brad Globe, head of consumer products for DreamWorks. ``We do these things "These Things" is an EP by She Wants Revenge, released in 2005 by Perfect Kiss, a subsidiary of Geffen Records. Music Video
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2. to make the movie look desirable, to make it look fun and hopefully motivate the kids and their mothers and families to think this is a piece of entertainment that is enjoyable.''
It's a strategy of high risk and occasionally higher reward.
Consumers in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and Canada spent $15.2 billion on products licensed from entertainment and characters in 2000, down 5 percent from the year before because there was no ``Star Wars'' to generate $1 billion in ancillary sales, as it did in 1999.
Yet ``Star Wars: Episode 1 - The Phantom Menace'' disappointed some in the industry because it left a glut of unsold action figures, toys and other collectibles.
For the studios, the retail challenges are considerable, from approaching chains like Wal-Mart 18 months before a film's release to moving a mountain of product in the four to eight weeks it plays.
Notoriously fickle consumers can also sink a project by ignoring the movie or feeling put off by the campaign.
``The concern is parents will start to see the movie merely as a marketing vehicle, as a reason to sell toys,'' said Marty Brochstein, executive editor of the New York-based The Licensing Letter. ``Nobody wants to feel they're being manipulated, and people can get very cynical very quickly.''
This summer promises several merchandise-heavy films, particularly Universal Pictures' ``Jurassic Park III'' and the animated ``Atlantis: The Lost Empire'' from Burbank-based The Walt Disney Noun 1. Walt Disney - United States film maker who pioneered animated cartoons and created such characters as Mickey Mouse and Donald Duck; founded Disneyland (1901-1966)
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That is just a warm-up to massive licensing campaigns this winter for Warner Bros BROS Brothers
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BROS Barnes and Richmond Operatic Society (London, UK) .' ``Harry Potter and the Sorcerer's Stone'' and ``Lord of the Rings: The Fellowship of the Ring'' from New Line Cinema and Disney's ``Monsters Inc.''
Hollywood is already banking on an even bigger summer next year for ``Spider-Man,'' the next ``Star Wars'' and the sequel to ``Men in Black.''
``The flip side Flip side
In the context of general equities, opposite side to a proposition or position (buy, if sell is the proposition and vice versa). is the movie has to do well,'' said Diane Cardinale, spokeswoman for the Toy Manufacturers of America. ``If it doesn't, then that merchandise will be in the markdown Markdown
The difference between the highest current bid price among broker-dealers in the market and the lower price that a dealer charges a customer.
The broker offers a lower price to try stimulate trading in hopes that they will make the money back on the extra bin, so it's still a big gamble for the toy manufacturers.''
Retailers are also showing more caution to these campaigns.
Product licensing isn't an option for the studios. It's an integral part of a film's marketing and revenue - and the brands would be bootlegged otherwise.
Modern movie licensing can be traced back to the original ``Star Wars'' movie in 1977 and the surprising amount of retail sales it sparked.
``In the early '90s there was a fundamental change within Hollywood where licensing turned from a nice ancillary income to a line item on the budget,'' Brochstein said. ``It was built into the expected revenue stream.''
The strategy works both ways, earning a film more money and encouraging people, particularly kids, to see a film.
``When you're on the shelves, people see it, and it helps bring momentum and excitement to a movie,'' said Jim Silver, publisher of the New York- based Toy Book and Licensing Book.
To a degree, merchandise can drive the success of a movie, said Andrew Shiozaki, consumer products manager for Square Soft Inc., which produced the coming animated feature ``Final Fantasy This article is about the Final Fantasy franchise. For the video game, see Final Fantasy (video game). For other uses, see Final Fantasy (disambiguation).
Final Fantasy ( : The Spirits Within.''
``If we have cool products out there, people who may not necessarily be interested in the movie can see it, and that can garner interest,'' Shiozaki said.
``Final Fantasy'' has toys aimed at both a mass audience and adult collectors willing to spend $40 to $100 on a high-quality, 18-inch action figure.
The products a film generates depend on the age group targeted and its rating, usually G or PG.
Few films lend themselves to broad merchandising. Those that do churn out coffee mugs, games, beach towels, Halloween costumes, trading cards, calendars, posters and more.
Toy makers share in the risk by competing for the licensing rights and assuming the cost of making the products. Studios often get 12 percent to 15 percent of the wholesale.
One way to hedge the risk is to go with an established brands with a built-in audience, like best-selling book series ``Harry Potter.'' That film generated a bidding war between Hasbro Inc. and Mattel Inc., who ended up sharing the rights.
Disney's ``The Lion King'' set the benchmark in 1994 with an estimated $1.5 billion in merchandise sales.
That is no reason to get overly optimistic, according to according to
1. As stated or indicated by; on the authority of: according to historians.
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3. Malibu-based Jakks Pacific JAKKS Pacific, Inc. NASDAQ: JAKK is is a multi-brand company that designs and markets a broad range of toys and consumer products and is based in Malibu, California. Its product categories include action figures, art activity kits, stationery, writing instruments, performance Inc., which keeps tight inventory control on the action figures it made for ``The Mummy Returns'' and ``Josie and the Pussycats Josie and the Pussycats are a fictitious rock band created by Dan DeCarlo.
They have been featured in a number of different media since the 1960s:
``Retailers are a little more skeptical because they don't want to be left with the products, and there's a shorter window to sell movie properties,'' said Genna Goldberg, a Jakks spokeswoman.
The studios must be careful that promotional giveaways like fast-food tie-ins do not cut into retail sales of higher-quality toys.
Another challenge is keeping up with kids' changing leisure tastes, which have shifted from action figures to computer games.
The problems encountered by ``Phantom Menace'' illustrate the financial pressures on movie makers, said Lawrence Marquit, a professor of marketing at Georgia State University History
Georgia State University was founded in 1913 as the Georgia School of Technology's "School of Commerce." The school focused on what was called "the new science of business. in Atlanta.
``I believe some films are being made exclusively for the purpose of merchandising materials like toys and school materials,'' Marquit said.
Hollywood has a long tradition of marketing toys and other products from films and TV shows, as Marquit recounts the must-have items of his childhood bore the likeness of the Lone Ranger Lone Ranger
arch foe of criminals in early west. [Radio: “The Lone Ranger” in Buxton, 143–144; Comics: Horn, 460; TV: Terrace, II, 34–35]
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Leonard Franklin Slye (November 5, 1911 – July 6, 1998), who became famous as Roy Rogers, was a singer and cowboy actor. and Superman.
But ultimately, it is parents who are shelling out the money, so it's important not to overdo it, said DreamWorks' Globe, who is encouraged by reorders on ``Shrek'' goods even before the film's release.
``The studios want to generate a lot of revenue on their properties, and I think at times they extend their licensing to too many categories or ones that don't make any sense,'' Globe said. ``When it works it's very wonderful.''
Photo: (1 -- color) From left, Debbie Stallings, Jakks Pacific Inc.'s vice president of sales, confers with sales manager sales manager n → gerente m/f de ventas
sales manager n → directeur commercial
sales manager sale n → Brenda Gavdenzi in the Malibu home office. On the wall are toys Jakks produces.
(2 -- color) `SHREK'
Merchandise from the computer-animated movie featuring the voices of Mike Myers Mike Myers may refer to:
(3 -- 4 -- color) `Josie and the Pussycats'
This Josie doll is ready to rock. Designed and produced by Jakks Pacific Inc. in Malibu, she comes equipped with a guitar, microphone and stand.
(5 -- 6) `The Mummy Returns'
These action figures from ``The Mummy'' sequel were designed by Jakks Pacific Inc. in Malibu.
Michael Owen Baker/Staff Photographer