Art Licensing: New Licensing/Selling Shows Emerging

The major way for artists* to connect with manufacturers that license** their art* has always been to exhibit at licensing** shows. But with the rising cost to exhibit at shows that are located in large convention centers (SURTEX, Licensing Expo International), many artists and designers can no longer afford it. Recently a new smaller show (Blueprint Surface Design & Print Show***) has emerged. It cost less for artists to exhibit because instead of using a large convention center it is located in an event center dedicated to smaller spaces. And, an innovative solution to lowering the cost for artists to show their work to art directors is the advent this year of Art Licensing Show .com website.

Note: Another new licensing show (Brand Licensing Select) has a different approach to connecting licensors, agents, and brands with retailers; make appointments before the show. It will be introduced in 2016; also in an event center.

Below is information about the well established shows - SURTEX, Licensing International Expo, and Print Source***; the new Internet Art Licensing Show.com.; and other new shows - Blueprint Surface Design & Print Show, and Brand Licensing Select.

* In this article, the word artists also encompass designers. And, the words art and design are used interchangeability.
** The exhibitors in the shows mentioned in this article may only sell their work, may only license, or do both.
*** The emphasis of this show is to sell designs outright but some exhibitors also license their work. 

• SURTEX
Held in May each year
Next Show: May 15-17 2016 - Jacob K. Javits Convention Center, New York, NY

The SURTEX licensing show is where where artists, art licensing agencies, designers and design studios exhibit their work to sell or license to manufacturers and retailers. The majority of attendees are manufacturers and retailers looking for art and design to place on their products.

• Licensing International Expo
Held in June each year
Next Show: June 21-13, 2016 - Mandalay Bay Convention Center, Las Vegas, NV

The Licensing International Expo show is where entertainment, character, fashion, art and corporate brand owners and agents exhibit their intellectual properties to give consumer goods manufacturers, licensees, and retailers the opportunity to license them. The majority of the exhibitors are entertainment and character licensors. Thus, the majority of attendees are not looking to license the intellectual properties in the other categories including art.

Licensing Expo recently announced that they are introducing a Matchmaking Service in 2016. It will help attendees and exhibitors set-up meetings in advance of the show. For more information, read the press release "Licensing Expo 2016 to Offer Matchmaking."

• Printsource
Held in January and August each year.
Next Show: January 12 - 13 2016 - Metropolitan Pavilion in New York, NY

The Printsource show exhibitors showcase designs for apparel, bed and bath, kitchen and tabletop, paper goods and stationery, wall coverings, etc. by international surface and textile design studios and agents. Most exhibitors sell designs outright but some also license their work as well.

•Art Licensing Show.com
ArtLicensingShow.com is a protected art portfolio hosting website for artists and agencies to privately show art to licensees any day or time. Art directors interested in licensing art can join at no cost. With one password, they can see examples of art shared with them by hundreds of artists. They can then ask any of the artists/agents for permission to view more of their art. For more information, read "ArtLicensingShow.com® - What is all the excitement about?"

• Blueprint Surface Design & Print Show
First held in May and December 2015
Next Show: May 12-16 2016 - Metropolitan Suite in New York, NY

Blueprint Surface Design & Print Show showcases designs for apparel, fabric, stationery, giftwrap, greeting cards, home, wallpaper, wall decor, bedding, toys, books, crafting, stickers, and scrapbook papers by International design studios and agents. Most exhibitors sell designs outright but some also license their work as well.

• Brand Licensing Select
First Show: September 27-29 2016 - Metropolitan West in New York, NY

Emerald Expositions (owner and operator of the SURTEX licensing show) is introducing a new type of licensing event for brands. The event is for licensors, agents, and brands to meet with key retailers. The Emerald Licensing team will make appointments with brands and retailers in advance of the event. To read about it, read the press release "New York licensing show dated for 2016" and to request additional information go to Brand Licensing Select.

Your comments are welcome. Click on the comments section (below) to write your comment. Note: Some people have a problem in leaving a comment. The most successful method is to comment as Name/URL (your name and website or blog with a "complete" URL address. For example: http://www.joanbeiriger.com/ ).

Art Licensing: The Reality AFTER Getting a Deal

So you licensed your art and now the money will roll in! Well, not always OR right away OR maybe you do not receive any revenue. First of all, the products must be produced, then they must sell, and then you must wait for the quarterly report and check from the manufacturer. Believe it or not, after the licensing contract is signed, it can take 18 months or more before you can start earning revenue. Although, if the contract is for a flat fee or the contract includes an advance toward royalties, the fee will usually be paid within a month after the contract is signed and the art transferred to the manufacturer.

It is wonderful when a contract yields a substantial amount of revenue but it does not always happen. And worse, sometimes the contract does not yield any revenue because the products do not sell and/or the contract is cancelled. Below is a discussion about the causes of low licensing revenue and some contract statements that artists/agents may have difficulty enforcing.

Licensing Revenue
Ten years ago many artists could live on the money they earned by licensing their work. It is different now and fewer artists can live on the earnings of their licensed art. Consumers no longer purchase as many non-essentials as they use to. They continually want new products at a low price resulting in manufacturers limiting the production of their products, charging retailers less for the products, and retailers leave the products on their shelves for a shorter time. Thus, artists earn less licensing revenue.

• Reasons why low revenue
Art that is created with popular art styles and themes for the mass market usually sell more products than those that are better suited for niche markets. For instance, images of realistic African animals usually earn lower revenue than whimsical birds and butterflies with flowers because they are not as popular to a wide range of consumers. Below are more reasons why licensed art may receive low revenue.

– Niche market and themes
As mentioned above some themes are suited for a niche market and do not sell as well as themes for the mass market. Also art that can be used on products for everyday use earns more revenue than art for minor holiday themes such as Mardi Gras, Valentine's Day, and Saint Patrick's Day. The amount of revenue also depends upon the type of product. For instance, Valentine's Day art is more popular on greeting cards than on decorative flags.

– Type and number of products
Successfully selling different types of products (ceramic figurines, greeting cards, decorative flags, jig-saw puzzles, coloring books, calendars, etc.) often change as consumer interests change. So revenue earned from certain products is less than from other products.

For instance, collectable figurines were very popular 10-15 year ago but not so much now so the amount earned from a contract for figurines may be small. And, even though getting a contract for wall art has a large royalty rate of 10-15%, the amount of revenue received is normally small. The reason is because the amount of each image produced is not very large. Also, even if the wall art is framed, the artist often only earns royalties for the print and not the entire product.

Other products that are purchased as a collection such as dishes and associated tabletop items earns more revenue because more SKUs (stock keeping units) are sold.

– Use of text on products
Words on products can help sell the products but they can also limit the selling power that reduces the revenue artists earn. For instance, if a greeting card is aimed at a specific person and for example uses the word grandmother on it, the amount of cards sold will be low and thus the artist earns a lower revenue than cards that do not mention a specific person. Unfortunately, what words placed on cards and sometimes other products is out of the control of the artist because most manufacturers choose them and not the artist. The same is true if the art is used for a blank greeting card or another occasion instead of the more popular birthday occasion. Fewer cards will be sold and therefore less revenue earned.

– Mistakes made in art selection
Sometimes the manufacturer art director makes mistakes when selecting art to be put on products. The consumer may not purchase it if the art is not popular, the art is not well executed, or the art is too similar to other art all ready seen on the same products. Thus, the artist earns low or no revenue.

– Manufacturer's distribution small
If the manufacturer has a small distribution of their products, not many products are sold and hence the artist earns a small royalty fee. That is why many artists prefer getting a flat licensing fee when the manufacturer is a start-up and their distribution is not yet very large.

– Short shelf life
At the present, consumers are constantly demanding new products. Thus, products often have a short shelf life especially in chain stores resulting in less royalty revenue for artists than they use to earn. In large chain stores, the products may have a shelf life of three months or less and then the products are put on sale. In the past getting a licensing deal that places the product into large chain stores meant the artist received more revenue even though the royalty was smaller than if it was placed into "mom and pop" retail stores. The reason why is that large chain stores can sell more product because of the larger distribution. Now because of the shorter shelf life in large chain stores that may not always be true.

– Limited production of product
Many manufacturers produce products to sell for only one season even if the contract is for two years. The second year may include a sell off period of the products or to give the manufacturer time to reproduce the product if it is exceptionally popular. Thus, artists usually get the majority of revenue for the first year of the contract and maybe a little or none the second year.

– POD
Print on Demand (POD) licensing deals often earn low revenue for artists but of course there are exceptions. Many POD manufacturers depend upon consumers purchasing their products from their Internet website while others sell only wholesale to retailers. In any case, the artist does not earn any revenue unless the product is sold and the amount earned depends upon how the manufacturer markets their products, how large their distribution, and whom they sell to (consumer or retailer).

• Reasons why no revenue
– Products do not sell
Sometimes products just do not sell and the artist does not receive any revenue unless the manufacturer gives an advance toward royalties. Also, some manufacturers license art either for their catalogs to be shown to retail stores OR to present to their key accounts. If art is licensed for key accounts and the manufacturer is unable to sell the product(s) to them, then the products are not produced and the chance in earning revenue is dead.

– Test the market
Some manufacturers license the art, makes a small production run of the product, and then tests the market to see if it sells. If it does not, further production runs are not made and the product is dropped.

– Cancelled contract
Sometimes manufacturers change their mind for whatever reason and decide to cancel the contract. Or sometimes the art was licensed for a manufacturer's key account client and the client decided they do not want it and thus, the contract is dead.

Unfortunately, manufacturers do not always inform the artist/agent that they are not going forward in producing the product. Thus, the contract is not cancelled so that the artist can try to license the art to another manufacturer that sells the same type of product. Artists/agents need to be vigilant when the quarterly royalty statement does not arrive and should find out why. It may be that the manufacturer is not going ahead in producing the product.

Difficulty Enforcing Some Contract Statements
• Samples
Most artists love to have products of the art they license. However, not all manufacturers offer artist free samples of the products such as manufacturers who produce products for fund raising organizations or POD. And, sometimes it is like "pulling teeth" or impossible to get the samples from manufacturers even when the contract states the artist will receive samples. Not all manufacturers automatically send the samples and the artist/agent must ask for them. But even asking for them does not always mean they will be received. For instance, if the manufacturer produced the product for a key account and forgets to include the number of samples the artist should receive in the amount being produced then the artist will not get any samples.

• Royalty statements and payments
Royalty statements and payments are usually quarterly and sent the month after the end of quarter. However, they are not always sent on time because the manufacturer is waiting for its clients to pay for the products they purchased. Sometimes it takes months before the manufacturer is able to pay the royalty fees. Or, the manufacturer has major cash flow problems and eventually files for bankruptcy.

Note: The above discussion is not meant to discourage you in licensing your art but to inform you on the reality that as in every business not everything is a bed-of-roses. 

Artist Comments About Licensing Contract Realities
Artist Jill Meyer
"Once again, Joan, spot on with every point! Art Licensing is by no means a straight path. I think I have had all or most of the situations mentioned in the article happen to me. One learns, from these things to be sure. Often licensing is a question of a "good news" bad news" sceanario. I just received word that one of my paintings had been licensed with Walmart for Halloween, 2016. That is the good news, the bad news is that it will be almost an entire year before the painting is on the shelves, and as Joan points out, it is a seasonal painting, so although the distribution is large, the shelf life will be short! In licensing, you always need to adopt the long view as your perspective, keep your sense of humor, and definitely be prepared to take the "bitter with the better"! Off my soapbox now! :-)"

Artist Collene Kennedy
"Joan! Great article if not a very pragmatic perception! It's a loooong lead business and when it works, it works well. But one thing that can also happen and did to me when I was doing very well with greeting cards is a company can mismanage their funds and therefore not pay out royalties! Yikes! I learned a lesson... tooo late of not allowing so many eggs in one basket! Live n' learn ...n' create!"

Artist Sue Zipkin
"I think it’s great that you are sharing so many realities of the art licensing industry. So often new artists don’t know some of these things and are very shocked and become discouraged when they learn that things do not always unfold according to the way a contract is written.   A perfect example is when an artist creates a lot of artwork for a project, then samples are made and shown at a trade show and to store buyers.   The artist automatically assumes that the products will go into production and then sold in stores. Unfortunately when it’s time to get paid they wonder what’s going on when they see no income. Then they find out that their project was killed on the vine. If an artist is aware of these realities ahead of time they won’t be as discouraged. No matter what level you are in the industry  It’s still frustrating when this happens.  I find it happens often with some products and companies more then others."

Your comments are welcome. Click on the comments section (below) to write your comment. Note: Some people have a problem in leaving a comment. The most successful method is to comment as Name/URL (your name and website or blog with a "complete" URL address. For example: http://www.joanbeiriger.com/ ).

Art Licensing: Photoshop Tip - Use Droplets to Save Time

Artists that use Adobe Photoshop may be aware that the Actions Command allows a person to do repetitive tasks by recording a series of commands that can be used for batch processing of files or for one image at a time. But they may not be aware that Photoshop makes it even easier to use Actions by creating droplet applications with those actions. A droplet is a mini application that can be saved anywhere on the computer or even shared with other artists that use the same or later version of Photoshop. When a single or group of images is dragged onto the droplet, the droplet launches Photoshop and starts applying the action to each of the images. This is a great way to speed up workflow and avoid boring tasks in doing the same repetitive steps on numerous images. Read "Creating Droplets" to learn more about droplet apps.

Droplets can be used to do repetitive tasks in numerous ways such as
1. Change the file(s) size and/or format.
2. Edit images (apply drop shadows, patterns, textures, text, etc.).
3. Place the copyright symbol and signature on the images.
4. Watermark the image(s).
5. Add image(s) to a contact info page for submission to manufacturers.
And of course, much more.

• Tutorials on creating actions and droplets
– Change Photoshop psd files to jpg
Read and view "Bulk Image Compression with Photoshop Droplets" (simple step-by-step tutorial and a video showing how to convert files with the Actions Command and droplet).

– Change file size
View "Create Droplet in Photoshop" (video on re-sizing images with the Actions Command and droplet).

– Add a copyright and signature to an image
View "Graphic watermark Photoshop tutorial" (video placing a signature on an image with the Actions Command and droplet. Hint: Also add the copyright symbol to your signature or printed name. And, if you wish add your contact information to the image.)

– Add a watermark to an image
View "Photoshop - Actions & Batch Processing" (video showing how to place a transparent watermark on an image with the Actions Command. Note: a droplet can be created for this action. Use the information from other tutorials to make a droplet.)

– Do multiple actions (resize an image, apply a watermark, and save it as a jpg file)
Read " How to create a droplet in Photoshop" (step-by-step tutorial on creating multiple actions with the Actions Command and droplet)

• Additional Information about actions and droplets
– Pausing an action
Sometimes when you are doing batch processing with the Actions Command, you need to pause the action. For instance, you may want to pause the action to change the title of the image on a submission page. To find out two ways you can pause the action, read "Can I have a Photoshop action pause itself to wait for user input?" That action can than be made into a droplet. When using the droplet, it will pause so that you can change the title with the text tool. And then, when you press Okay the action will continue.

– Problems with droplets
Droplets have been reported that they stop working when they were created with Photoshop CS3, or CS4, or CS5 and the Macintosh operating system was upgraded to Lion. To find out more and how to fix the problem, read "Droplets don't work | Photoshop CS5, CS4, CS3 | Mac OS X 10.7 (Lion)".

• Related Articles
– “Software Tip: Resizing Multiple Images etc. via Batch Processing”

– “Photoshop Tips: Improve Workflow with Photoshop Actions Command”

Your comments are welcome. Click on the comments section (below) to write your comment. Note: Some people have a problem in leaving a comment. The most successful method is to comment as Name/URL (your name and website or blog with a "complete" URL address. For example: http://www.joanbeiriger.com/ ).

Art Licensing: What's With the Adult Coloring Book Craze?

Recently there has been a lot of hype about how coloring books is good therapy to relax and reduce stress for those that have stressful jobs and lifestyles, are recovering from surgery, have life threatening illnesses, and even for inmates in prison. With the advent of thousands of adult themed coloring books hitting craft stores, bookstores and e-stores, consumers are gobbling them up as soon as they are printed. People (colorists) are sharing their colored creations on the different social media sites, having coloring book parties, and forming coloring book clubs. So how did the adult coloring book craze start?

History
As with many trends, the adult coloring book craze took a while to built momentum. In the 1970s, Dover Publications published their first adult coloring book (Antique Automobiles Coloring Book) and now sell hundreds of titles. But it was not until a couple of years ago that Dover and other publishers called attention to the therapeutic values of coloring. Consumers rediscovered the childhood joys and calming effects when coloring, the press published the popularity of adult coloring books and its therapeutic effects, and the sales of the books started escalating. And in fact, several adult coloring books are on the best sellers list for major publishers and e-stores like amazon.com.

In 2013, UK illustrator Johanna Basford published her first coloring book "Secret Garden" which was a HUGE success and so far has sold a whopping 1.4 million copies worldwide. When her second book "Enchanted Forest" was published in Feb 2015, the massive amount of publicity is attributed to have caused the recent surge in adult coloring book craze. But, in the United States it could also be due to the intensive marketing of Adult Coloring Books by Dover Publications.

Dover Publications applied to the U.S. Registrar at the National Day Calendar and received the permission that National Coloring Book Day will officially be observed on August 2 each year. Dover sponsors a National Coloring Book Day website. This year they did intensive marketing for National Coloring Book Day and on August 2 had events in bookstores all over the United States. Now that is a great example of marketing outside-the-box!

Note: Johanna Basford's success with adult coloring books continues. She signed with Penguin Random House to publish her next two adult coloring books. "Lost Ocean" will be published at the end of October 2015 and another will be published in fall 2016. For information about Johanna Basford's success in creating illustrations for other products, read "Illustrator Johanna Basford's Success in Marketing Art Outside-the-box"

About Adult Coloring Books
Most adult coloring books have 30 or more pages of illustrations. And, unlike children's coloring books many adult coloring books have more detailed and intricate line drawings. Popular themes are flowers, animals, mandalas, inspirational, spiritual, and geometric shaped designs although all kinds of themes appeal to adults.

Adult colorists tend to use colored pencils, gel pens, and fine tip markers more than crayons. Many of the books are printed on thick paper with the design on only one side of the page so that gel pens, and fine tip markers do not bleed through. Also the thicker paper is more suitable for framing the finished colored image. Some coloring books use vellum to mimic the look of stained glass. Coloring books come in all sizes and shapes including postcard sizes that can be mailed to family and friends. Some companies offer coloring book kits that can be used for parties.

And even though colorists claim that they welcome getting away from their computers and other electronics, there are apps that will allow a person to color designs on computers, tablets, and smart phones. Read "Adult coloring books: yes, there are apps for that" for information about the apps.

Publishing Coloring Books
The adult coloring book trend has spread worldwide and publishers are going crazy publishing coloring books that are marketed to adults for the benefit of reducing stress. Even Hallmark is producing coloring books with sketches created by their in-house artists. Freelance artists are creating and publishing coloring books and marketing them on social media and e-stores. Or, they license their work to literary publishers.

• Self Publishing and Marketing
Artists can publish and market coloring books they created by themselves or with the help of the many companies found on the Internet such as Create Space, Speedy Publishing, and WMC Publishing. Most sell their books on amazon.com, other e-stores, and social media sites.

According to the article "Color Me Happy" artist Jenean Morrison has self-published six intricate designed adult coloring books on Amazon.com since 2012. "In all of last year, she sold 15,414 books on Amazon. This year, in half the time, she has sold 43,420."

• Companies that Publish Adult Coloring Books
Numerous publishers are already selling adult coloring books or plan to. Many publishers only accept manuscripts (coloring books also) from literary agents so if an artist wants to submit art for a coloring book they need to hire a literary agent. However, not all require agents so look for submission guidelines on the publisher’s website or contact the publisher to find out how to submit. Note: Do not forget to ask about the licensing fee. I've heard that at least some publishers only pay a flat fee per project. The fee may not be cost effective when you need to produce many designs for one coloring book.

Below are some publishers that produce adult coloring books.
– Andrews McMeel Publishing LLC (introducing a line of coloring books in September 2015)

– Design Originals (A Fox Chapel Publishing company)

– Dover Publications (been publishing adult coloring books since the 1970s)

– Fox Chapel Publishing

– Global Doodle Gems (collaboration of artists around the world to produce coloring books)

– Harper Collins Publishers

– Little, Brown and Company

– Penguin Random House

– Quarto Publishing Group

– Running Press Book Publishers

– Sterling Publishing

Resources
– "Adult coloring books topping bestseller lists"

– "Coloring Books Grow Up" (what themes are popular, stats on books that are flying off the shelves, comments about publishers selling adult coloring books)

– "Health benefits of coloring books attracting adults to childhood pastime"

• Research by artist Peggy Toole 
8/9/15 After reading this article, artist Peggy Toole did quite a bit research on adult coloring books and the following is what she found out. "The Johanna Basford books were originally published in England and they did a lovely job.  I sell on Amazon so I was going to publish it myself and it ship directly to one of their west coast warehouses from China and let Amazon do all the distribution.

But to do a 'Johanna Basford' quality book would cost in excess of $6.25 per book at 1000 books and at even 10,000, the individual book price is about still close to $3.00 per book. Johanna's book cost about $4.79 in Amazon fulfillment fees for them to ship it. Plus you have storage on books that do not sell. Amazon is selling "Enchanted Forest" for $9.63, so there's little profit if I'm publishing something that large and complex.

Books that make the top 10 at Amazon are selling 4000-5000 copies daily.  I learned somewhere- maybe from the book I purchased that "Enchanted Forest" in it's 4th printing for 2015. So there's real money there but finding a publisher is probably like winning the lottery. I'm having some 2nd thoughts about doing it.  Maybe you could make a fortune, but then again maybe not." 

Peggy contacted Ulysses Press (publisher of Wendy Piersall) and Fox Chapel Press) and was told that they are not taking submissions for coloring books.  Read more on what Peggy Toole has to say about coloring books in the comment section to this article.

Note: I imagine all publishers are inundated with artists wanting to license their art for coloring books so some publishers have put a temporary stop to submissions.  If the coloring book craze is not a fad and is indeed a trend, publishers will probably start looking at art again; especially if the art is what consumers want to color and is very unique to what is already published.
 
Your comments are welcome. Click on the comments section (below) to write your comment. Note: Some people have a problem in leaving a comment. The most successful method is to comment as Name/URL (your name and website or blog with a "complete" URL address. For example: http://www.joanbeiriger.com/ ).