Brand licensing is more than an incremental revenue opportunity for QSRs. It is a branding play that can have multiple benefits for branding, sales and even expansion. Using Cinnabon as an example, Focus explores how putting its legendary buns on grocery shelves and into pizza orders.
The 10 Most Inspirational Leaders LEADING THE WAY TO SUCCESS, 2024
Focus Brands’ Licensing Calculus
1.
2. A portfolio of seven iconic brands with
over 6,500 restaurants, bakeries and ice
cream shoppes in over 60 countries.
3. Global Channels
We build brands using a multi-channel approach
that includes licensing our brands in these lines of
business:
1. Consumer Packaged Goods (CPG) – future
consumption products sold in grocery stores,
club stores such as Costco and mass
merchants like Target/Walmart.
2. Food Service – immediate consumption
products sold in restaurants, convenience
stores, colleges & universities and hospitality.
3. eCommerce – utilizing various digital
channels where consumers can order
branded products to be delivered directly to
them.
4. It Starts with Today's
Consumer & Food Landscape
• Consumer lifestyles are evolving: COVID-19, work demands, raising
a family, commuting, online access are all impacting consumer
shopping and eating habits.
• Brands are changing as consumers evolve: Today’s consumer
expectation is that brands are available to them when they want them
and where they want them.
• The food landscape is also changing: Direct to Consumer!
• Brands are growing their multi-channel footprint through
licensing, creating:
• Greater brand awareness, consideration & trial
• Broader brand appeal
• Stronger, more sustainable brands
5. Benefits of Licensing
In addition to the financial benefits,
consider…
• Brand Building
– Awareness
– Access
– Relevance
– Reach
– Customer Data/Acquisition
• Brand/Franchise Ecosystem
– Innovation
– Supply chain leverage
– Ad fund contribution
6. Cinnabon Breakfast Creations Launch
driving brand access, awareness and occasions in CPG
Driving brand acquisition & loyalty
Product
• Cinnabon Frozen Line Launch SKUs
• Caramel Pecan Ooey Gooey Rolls
• Jalapeno Cheddar Sausage Bites
• Frosted CinnaSweet Swirls
Launch Details
• Launched at Walmart in May 2020
• Target, Food Lion and other retailers picked up soon after
Integrated Marketing Support Tactics
• Paid social media
• Digital
• Grocery app partnerships
Key Results
• On shelf at over 9000 retail store locations (one of the largest Cinnabon retail launches)
• #1 Frozen Pastry Brand at Walmart
• Three SKUs in the Top 10
• Phase 2 innovation on track for Q3 2021 launch
• Influencer support
• PR media outreach
• Email
• Retailer website/product pages
• Frosting Filled CinnaPastry
• CheddarRoll-Sausage & Egg
• CinnaBiscuit Chicken Sandwich
7. Cinnabon - Pizza Hut Partnership
driving brand access, awareness and relevance
Product
• 10 Cinnabon Mini Rolls topped with signature cream cheese frosting
Launch Details
• Launched in October 2018
• 6,3OO locations nationwide
• International expansion based on US success
Integrated Marketing Support Tactics
• TV
• Social/Digital
• Search
• In Store POP
Key Results
• Sold 145M+ Cinnabon Mini Rolls in 2020
• #1 selling dessert on the menu
• Significantly drives check and attracts new guests
• Crew Incentives
• Pizza Hut Rewards
• Promotions
• Public Relations
• Email
• Website
8. Key takeaways on the licensing model
✓ Start and end with the consumer/customer
✓ Define the licensing business model
✓ Consider the brand/franchise ecosystem
✓ Identify licensing goals and success criteria
✓ Implement a defined process and team
✓ Establish and align product and branding guardrails
✓ Drive joint marketing/business plans with partners
9. Cinnabon - Pizza Hut partnership continues to drive sales
and provides more access for Cinnabon fans.
Questions