Business Daily from THE HINDU group of publications Wednesday, Jul 05, 2006 |
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Marketing
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Strategy Cartoon Network Enterprises in expansion mode Sravanthi Challapalli
Mr George did not rule out standalone stores for its products but did say that his company's core competence was broadcasting, and not retail or manufacturing.
MR JIGGY GEORGE
Chennai , July 4 Cartoon Network Enterprises, the character licensing and merchandising division of the Cartoon Network channel, is expanding. It is tying up with lifestyle retail chains to set up niches that will display its range of products including apparel, toys and accessories, said Mr Jiggy George, the division's Director. Speaking to Business Line here, Mr George said Cartoon Network Enterprises (CNE) had made a beginning with the Lilliput chain of stores that sells children's apparel. It is also negotiating with Shoppers' Stop and Pantaloons to this end. It wants to have 100 such niches up and running soon. CNE sells various products based on its popular series - The Powerpuff Girls, Beyblade, Dexter's Laboratory and Johnny Bravo. The products fall into various categories - apparel, toys, school bags, fashion bags, plasticware (mugs and the like), party products (such as games and decorations), gifts and novelties, stationery, rainwear, ceramic items and even a few audio-visual products including cameras. Its latest venture in the licensing business is the launch of home linen through Bombay Dyeing, based on some of these shows. The character licensing industry in India is estimated at Rs 300 crore at the retail level, Mr George said, though he did not give information about CNE's share. Film character merchandising, which is still a nascent business in India, will catch up with its cartoon equivalent but that is a function of the character's brand equity and retail, he said. With malls mushrooming and the scale of organised retail expanding, CNE is upbeat about its business. Mr George did not rule out standalone stores for its products but did say that his company's core competence was broadcasting, and not retail or manufacturing. CNE partners with whoever has a great product and great distribution for its merchandising business, he said. CNE, which set up shop in India in 2001, focused on establishing the promotional licensing side of the business, which saw characters from its shows endorsing brands. Last year, it launched its merchandise based on the characters. It is also setting up two theme parks in Delhi at an investment of Rs 550 crore.
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