70% of the market is monopolized by giants? Deciphering the “Wealth Creation Code” of the Global IP Derivatives Market

The Licensed Entertainment and Character Merchandise market encompasses the creation, distribution, and sale of products that feature characters and intellectual properties from various entertainment franchises. These products are licensed from the rights holders, such as movie studios, television networks, animation creators, and game developers, and are manufactured by third-party companies. These merchandise items can include toys, apparel, accessories, home decor, video games, and more, all designed around popular entertainment properties. The global market was valued at approximately US$ 166.78 billion in 2024 and is projected to grow to US$ 268.81 billion by 2031, reflecting a compound annual growth rate (CAGR) of 6.77% from 2025 to 2031. This market is driven by the popularity of iconic characters and entertainment properties, which continue to influence consumer behavior across various demographics, from children to adults.

Global Licensed Entertainment and Character MerchandiseMarketSize (US$ Million), 2020-2031

 

Above data is based on report from Global Info Research: Global Licensed Entertainment and Character Merchandise Market Report 2025-2031 (published in 2025). If you need the latest data, plaese contact Global Info Research.

 

Global Licensed Entertainment and Character MerchandiseTop18 Players Ranking and Market Share (Ranking is based on the revenue of 2024, continually updated)

 

Above data is based on report from Global Info Research: Global Licensed Entertainment and Character Merchandise Market Report 2025-2031(published in 2025). If you need the latest data, plaese contact Global Info Research.

The current landscape of the Licensed Entertainment and Character Merchandise market is marked by dominance from major entertainment companies such as The Walt Disney Company, Hasbro, Warner Bros. Discovery, The Pokémon Company, and Mattel. In 2024, the top ten players in the global market collectively accounted for nearly 70% of the revenue, showcasing the high level of concentration within the industry. These key players have vast portfolios of intellectual properties (IPs) that allow them to produce a wide array of licensed products across different categories. For instance, Disney leads with its massive influence from franchises such as Marvel, Star Wars, and its animated classics. Similarly, companies like Hasbro and Mattel leverage popular toy brands and characters, while The Pokémon Company continues to generate massive sales with its ever-popular franchise.

Licensed Entertainment and Character Merchandise,Global Market Size, Split by Product Segment

 

Based on or includes research from Global Info Research: Global Licensed Entertainment and Character Merchandise Market Report 2025-2031.

The market's segmentation by type reveals that Movies & TV Shows and Animation & Cartoons dominate the sector, contributing 34.88% and 34.33% of the market share, respectively. These categories are propelled by iconic franchises that enjoy global recognition, such as Marvel Studios films, DC Comics, Pokémon, and Disney animations. The substantial fanbases of these properties fuel a steady demand for merchandise ranging from toys and action figures to clothing, collectibles, and home goods. Meanwhile, the Games category holds 19.06% of the market share, driven by the growing popularity of video game-related merchandise, particularly around titles like Fortnite, Minecraft, and Super Mario. Finally, the Others category, which includes various niche merchandise based on non-mainstream entertainment forms, accounts for the remaining 11.73% of the market share.

The growth of the Licensed Entertainment and Character Merchandise market is primarily driven by several key factors. First, the continuous evolution of entertainment media through movies, television shows, animations, and video games ensures that there is a constant stream of new characters and storylines for merchandising opportunities. In addition, the increasing prevalence of cross-platform content—such as characters appearing across movies, video games, TV shows, and comics—enhances the marketability and demand for licensed merchandise. Furthermore, nostalgia plays a powerful role in driving sales, as older generations who grew up with certain franchises continue to purchase related products for themselves and their children. The rise of online retail platforms and digital distribution channels has also enabled global reach for character-based products, expanding access to international markets.

However, there are challenges that could hinder the market's growth. One major obstacle is the licensing complexity and costs associated with obtaining the rights to produce merchandise based on popular IPs. These licensing agreements can involve intricate negotiations between licensors and manufacturers, sometimes leading to high royalty fees or restrictive terms that limit the ability of manufacturers to innovate or reduce production costs. Additionally, the market can be impacted by saturation, as the proliferation of licensed products may lead to consumer fatigue. As more and more franchises create merchandise, consumers may become overwhelmed by the sheer volume of options, leading to reduced spending on licensed products. Finally, the supply chain issues caused by global disruptions, such as the COVID-19 pandemic or geopolitical tensions, can result in delays, increased costs, and availability shortages of popular products, negatively affecting sales.

The future of the Licensed Entertainment and Character Merchandise market looks promising, with strong growth expected to continue into the next decade. One key trend is the increasing integration of digital and physical merchandise, with the advent of augmented reality (AR) and virtual reality (VR) offering new ways for consumers to engage with licensed characters. These immersive technologies could open new revenue streams, especially in the gaming and entertainment sectors, where consumers are seeking more interactive experiences. Another development to watch is the increasing importance of sustainability and ethical sourcing. Consumers are becoming more conscious of environmental impacts and social responsibility, and they are demanding more sustainable and ethically produced merchandise. Companies that adopt sustainable practices in their licensing agreements and production processes are likely to gain consumer loyalty and positive brand perception in the years to come.

For more information, please refer to “Global Licensed Entertainment and Character Merchandise Market 2024 by Company, Regions, Type and Application, Forecast to 2030- Global Info Research”, this report analyzes the supply and demand situation of the industry, the current development status, the industry development and changes, focusing on the industry development status, how to face the industry challenges, the industry's development proposals, the industry's competitiveness, as well as the industry's investment analysis and trend forecast. The report also synthesizes the overall development dynamics of the industry, including the impact of the latest U.S. tariffs on the global supply chain, industry chain supply relationship analysis, and provides reference suggestions and specific solutions for the industry in terms of products.

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