Episode #32: The Value Of Partnering With A Passionate Licensing Agent
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Episode Description
Are you ready to learn more about the value of having a sales partner in your toy licensing journey? Do you find yourself searching up "how to license a product idea" in your free time? Well, this week I’ve got a toy licensing agent to introduce you to named Michael Goodman. Michael is the founder and head of MLGPC Licensing Agency where he represents toy designers, authors, animators, show creators, IP owners, and illustrators to sell and license their creations.
In this episode, Michael and I talk about what licensing agent does, how they partner with inventors and the value of having one on your side when you have a product ready to be pitched. Michael will also explain his process from accepting clients to bringing a toy to the market. If you are ready to learn more about the toy licensing business, this episode is a great place to start.
Episode Cliff Notes
An introduction to the licensing agent, CEO and Founder of ml GPC licensing agency Michael Goodman [00:01:54]
What is a Licensing Agent and what do they do? [00:03:45]
How did Michael Goodman start his licensing agency and what was his goal [00:09:27]
How does a licensing agent do work with inventors [00:14:14]
Examples of great pitches [00:21:10]
Product Pitches and Brand Story [00:28:27]
While there is no rule, whether the design is great or not or the mechanism can be applied to multiple licenses are important factors.
How to Pitch a Product to a Toy Company? [00:30:19]
Re-Pitching Products [00:34:45]
How Does a Toy Licensing Agent Represent a Designer vs an Author vs An IP Owner vs an Illustrator [00:39:02]
Toys and their Connection to Childhood [00:43:10]
Episode Breakdown
In this episode, we were introduced to who a toy licensing agent is, what their work entails, and licensing your great toy ideas with Michael Goldman.
What is a Licensing Agent and What do They Do?
A toy licensing agent, also referred to as a toy broker or toy buying agent, is someone who aids an inventor in the process of getting their products to their desired end-users through their contacts in the industry. They help inventors get a toy license - a type of product licensing that protects a creators intellectual property rights while giving the desired company the right to sell the product through the designated plans.
A toy licensing agent helps open up the route for companies to confidently approach inventors to express their interest in a product with the belief that they can strike a deal.
A toy buying agent will then help with deal negotiations, pushing for favorable terms for clients and in general, defining what a good deal is. Overall, they will help you answer the question of how to license your idea.
As an example, Michael mentioned toy ideas he was interested in based off of kickstarter's or sizzle reels he viewed. When he reached out to those inventors, he would find that some had no toy licensing agents and hadn't sold their items, or even signed a deal. They may not have even known how to license their ideas, much less pitching to big companies. He helped find deals for the toys he believed were worth it. While inventors may be great at their craft, having the contacts in the industry and knowing how to sell, market, and license a toy to the right company is a different skillset that takes effort to hone.
How to Pitch Your Product Idea to a Toy Company?
When it comes to the question of how to pitch an invention, at least to Michael, he thinks the best thing are sizzle reels, even if they are just shot through a phone rather than a professional camera. These videos give licensors a great idea as to what the product looks like and how it works. Sending this reel through an email with information about the product or intellectual property starts off the conversation so well. Once you get through this first step, a toy broker can open the door to connecting you to designers and then companies who could love your idea.
When this Podcast was recorded, the pandemic had uprooted everyone's lives. But when there is a will there is a way and toy inventors found a way to keep bringing their ideas forward: through Zoom pitches. These calls proved that the strenuous process of jumping on flights to go pitch your ideas all over the world, a process that can lead to burnout, a lack of passion, or even time, for inventors, wasn't the only way to get your idea out there. Some creators even sent Michael their prototypes to his home so they could explain it to him in real time over Zoom.
Frequently Asked Questions
Q: How do I license a product idea?
A: If you are wondering how to license an idea, look no further! In the simplest form, it would be best to pitch your idea to a licensing agent first. They can evaluate your pitch and help you straighten out any loose ends before going on to present your work to plausible companies. Licensing agents can provide you with their connections in the toy industry to help you present your ideas to companies interested in you, leading to possible deals and, as the deal is confirmed, an idea/product license.
Q: What is a toy broker?
A: A toy broker is the same thing as a toy licensing agent or a toy buying agent. Most people in the toy industry, however, refer to them as a toy licensing agent.
Q: How can I start a toy business?
A: Starting a toy business all begins with a great idea. Watch The Toy Coach Podcast Episode 1: Unlocking Your Great Toy Ideas to get an idea of how you should build the base of your idea. Then, watch Episode 2: How To Make Your Toy Idea More Toyetic to analyze whether your idea is toyetic enough.