{"id":35299,"date":"2025-10-17T11:28:02","date_gmt":"2025-10-17T03:28:02","guid":{"rendered":"https:\/\/dtcworld.com\/my\/?p=35299"},"modified":"2025-10-23T21:48:16","modified_gmt":"2025-10-23T13:48:16","slug":"ip-vs-licensing-brand-merchandise","status":"publish","type":"post","link":"https:\/\/dtcworld.com\/my\/ip-vs-licensing-brand-merchandise\/","title":{"rendered":"In-House IP vs. IP Licensing: Which Works Better for Your Brand Merchandise Strategy"},"content":{"rendered":"\t\t
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The Rise of Brand Merchandise as a Marketing Strategy in APAC<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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In APAC, branded merchandise is no longer just \u201cfree gifts.\u201d It\u2019s a cultural connector, a content engine and a loyalty driver. That\u2019s why two major strategies have emerged:\u00a0<\/p>

a) Licensed IP collaborations.<\/strong>\u00a0Fast\u2011food chains and FMCG brands borrow beloved characters to spark immediate fandom. Recent examples include\u00a0<\/span>4Fingers x Quby<\/a><\/strong>,\u00a0<\/span>Marigold Peel Fresh x Miffy<\/a><\/strong> and KFC x Mofusand<\/strong> etc.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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Starbucks x Mofusand merch. Credit: Starbucks Singapore<\/figcaption>\n\t\t\t\t\t\t\t\t\t\t<\/figure>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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b) In-House IP.<\/strong> Retailers and service brands invest in creating their own universes \u2013 think Guardian Singapore\u2019s Beauty Around The World characters<\/a><\/strong>,\u00a0ZUS Buddy<\/strong> or Sushi Express<\/strong> etc.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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credit: Sushi Express Hong Kong<\/figcaption>\n\t\t\t\t\t\t\t\t\t\t<\/figure>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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So which delivers stronger ROI \u2014 borrowing global icons or building your own world of characters? Let\u2019s compare.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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Licensed IP Merchandise \u2014 The Shortcut to Instant Relevance<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Licensed IP collaborations<\/a> plug your brand into a pre\u2011existing fan base, offering quick emotional connection and high collectibility. They often tap nostalgia and global recognition, boosting shareability and sales.<\/p>

Below are two APAC\u2011specific case studies.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Case Study: KFC x Mofusand Collaboration (Singapore)<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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To celebrate Lunar New Year 2025, KFC Singapore collaborated with Japanese illustrator Mofusand<\/em> to launch limited\u2011edition merchandise. From Jan 13 2025, diners could redeem KFC\u2011branded red packets with cereal chicken bundle. Plushie keychains featuring cats dressed as KFC menu items (bucket, egg tart, drumstick) were released weekly and sold at S$12.95 with any cereal chicken box purchase. Each customer was limited to two keychains per transaction. An 8\u2011inch plush of a Mofusand cat wearing a KFC bucket hat was available at S$19.95 from Feb 5 2025 at ten selected outlets. Sticker blind packs were given free with a minimum S$12 spend during breakfast hours<\/p>

Result:<\/strong>\u00a0Media coverage<\/a> noted that this was the\u00a0first<\/em>\u00a0fast\u2011food chain in Singapore to secure a Mofusand collection. The novelty of pairing adorable cats with KFC icons generated huge buzz on social media and drove collectors to queue early for each release. Limited quantities and weekly drops created FOMO, with resellers listing keychains for many times the retail price.<\/p>

Takeaway:<\/strong> Licensed IP collaborations tap into existing fandoms. By adding local twists (cats cosplaying KFC buckets and egg tarts) and scarcity (weekly drops, purchase limits), brands can create viral hype and incremental sales. The KFC x Mofusand campaign shows how an emotive licensed IP can turn a seasonal menu promotion into a must\u2011have collectibles event.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Case Study: Guardian x Powerpuff Girls (Malaysia, 2024)<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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Guardian Malaysia partnered with The Powerpuff Girls<\/em>\u00a0to launch a\u00a0Gift-with-Purchase (GWP)\u00a0campaign featuring lifestyle appliances \u2014 a\u00a0portable hair dryer\u00a0and a\u00a0mini portable washing machine. The collaboration ran across\u00a0600+ retail touchpoints, offering fans practical yet playful collectibles styled with the iconic trio.<\/p>

Result:<\/strong>\u00a0The campaign achieved explosive traction \u2014\u00a020,000 units were fully redeemed within 3 days\u00a0<\/strong>of launch, with\u00a010,000+ social engagements in just the first 2 days<\/strong>. The combination of utility (appliances) with nostalgic pop culture created high desirability, especially among young adults, and drove rapid sell-through.<\/p>

Takeaway:<\/strong>\u00a0Everyday appliances can become\u00a0must-have collectibles\u00a0when infused with beloved IP. By blending\u00a0functionality with fandom, Guardian demonstrated how licensed merchandise<\/a> can deliver both practical value and emotional excitement \u2014 driving fast redemption, social buzz, and strong brand love.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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In-House IP Merchandise \u2014 Building a Brand\u2019s Emotional World<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Developing an in\u2011house IP takes longer but offers unique long\u2011term benefits. Every character belongs to you, strengthening recall and allowing you to tell stories across markets and seasons.<\/p>

Below are two notable APAC examples.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Case Study: Watsons Family (Asia-Wide Launch)<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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credit: Watsons<\/figcaption>\n\t\t\t\t\t\t\t\t\t\t<\/figure>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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In September\u00a02025, health\u2011and\u2011beauty retailer\u00a0Watsons<\/strong>\u00a0unveiled\u00a0The Watsons Family<\/em><\/a>\u00a0\u2013 an original IP featuring\u00a016 characters<\/strong>, each inspired by a different\u00a0Myers\u2011Briggs (MBTI) personality type<\/strong><\/a>. These characters animate Watsons\u2019 own\u2011brand products and stores, turning everyday essentials into collectible, character\u2011themed item. The launch began in Hong Kong and will roll out across mainland China, Malaysia, Taiwan and Thailand. Marketing includes immersive store visuals, social campaigns and meet\u2011and\u2011greet events.<\/p>

According to Watsons\u2019 customer director, the characters represent a strategic shift from functional retail to experiential storytelling. He cites IP\u2011related products in Asia growing by over\u00a0448\u00a0% year\u2011on\u2011year<\/strong>\u00a0<\/a>in 2024, underscoring the commercial opportunity. By owning the characters, Watsons can flexibly adapt them to local markets and build loyalty programmes anchored in personality\u2011driven narratives.<\/p>

Takeaway:<\/strong>\u00a0Owned mascots enable deeper emotional connections because they\u2019re uniquely tied to the brand. By mapping characters to personality types and integrating them across products, campaigns and events, Watsons turns self\u2011care routines into an engaging universe. This fosters long\u2011term loyalty and differentiates the brand from retailers that rely solely on licensed IP.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Case Study: Sushi Express Taiwan \u2014 A Nostalgic Comeback with Modern Personality<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Sushi Express <\/strong>revived its beloved mascot line in June 2025. The refreshed \u201cWalking Sushi Figurines\u201d line modernises Sushi Express\u2019s legacy mascots by giving each a distinct, lifestyle-driven identity \u2014 from skating and music to photography, baseball, and boxing.\u00a0Customers who spend\u00a0NTD\u00a0360\u00a0in a single transaction can purchase a random figurine for\u00a0NTD\u00a0169\u00a0via blind draw at Sushi Express, Sushi Express PLUS and Magic Touch outlets across Taiwan.<\/p>

Result:<\/strong>\u00a0The nostalgic relaunch stirred excitement among fans who remembered the original 2007 figurines. Limited quantities, blind\u2011box mechanics and membership incentives encourage repeat patronage and social media sharing. By tying the characters\u2019 personalities to contemporary interests, the brand appeals to younger diners while preserving its legacy.<\/p>

Takeaway:<\/strong>\u00a0Reviving or developing mascots allows F&B brands to build emotional anchors that transcend menu items. Sushi Express demonstrates how adding storylines (adventurous rice balls leaving the \u201crice bucket kingdom\u201d) and sustainable packaging can turn a simple add\u2011on into a collectible event. Such owned IP strengthens brand identity and can be refreshed periodically to re\u2011ignite customer enthusiasm.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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In-House IP vs IP Licensing Brand Merchandise \u2014 The ROI Trade Offs<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Factor<\/th>\r\n Licensed IP Merchandise<\/th>\r\n In-House IP Merchandise<\/th>\r\n <\/tr>\r\n <\/thead>\r\n
Speed to Market<\/strong><\/td>\r\n \u2705 Plug-and-Play (assets, recognition, and fanbase already established)<\/td>\r\n \u274c Longer Lead Time (requires character creation, narrative building, and rollout)<\/td>\r\n <\/tr>\r\n
Cost Structure<\/strong><\/td>\r\n \u274c High Upfront & Royalties (licensing fees, approvals, usage limits)<\/td>\r\n \u2705 Asset Amortisation (higher upfront, but scalable across campaigns without recurring fees)<\/td>\r\n <\/tr>\r\n
Consumer Excitement<\/strong><\/td>\r\n \u2705 Instant Fandom Effect (nostalgia, existing cultural equity)<\/td>\r\n \u2696\ufe0f Momentum-Driven (requires consistent brand storytelling & marketing effort to build affinity over time)<\/td>\r\n <\/tr>\r\n
Brand Equity<\/strong><\/td>\r\n \u2696\ufe0f Borrowed Equity (brand halo tied to external franchise)<\/td>\r\n \u2705 Proprietary Equity (IP becomes a brand-owned asset, strengthening long-term differentiation)<\/td>\r\n <\/tr>\r\n
Virality Potential<\/strong><\/td>\r\n \u2705 Pre-Loaded Virality (fans drive UGC & buzz)<\/td>\r\n \u2705 Tailored Virality (strong if personalised to local culture, consumer insights, or community trends)<\/td>\r\n <\/tr>\r\n <\/tbody>\r\n <\/table>\r\n<\/div>\r\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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How Marketers Can Decide<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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When to Use Licensed IP \u2014 For Fast Campaign Buzz and Fandom<\/strong><\/p>

If your goal is quick buzz or a one\u2011off gift\u2011with\u2011purchase campaign<\/a> (GWP) \u2192 licensed IP collaborations deliver faster ROI. The KFC \u00d7 Mofusand and Guardian \u00d7 Powerpuff Girls campaigns show how limited merch can create viral excitement quickly.<\/p>

When to Build Your Own IP \u2014 For Long-Term Loyalty and Brand Equity<\/strong><\/p>

If your goal is long\u2011term loyalty and differentiation\u00a0\u2192 invest in building owned mascots. Watsons Family and Sushi Express illustrate how bespoke characters can live across products, stores and digital channels, deepening emotional ties over time.<\/p>

The Hybrid Strategy \u2014 Combine Licensed Appeal with Owned Continuity<\/strong><\/p>

Pro tip:\u00a0Many brands now do both \u2014 borrow star power for seasonal spikes while developing proprietary characters for continuity. This mixed strategy balances short\u2011term buzz with sustainable brand equity.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Key Takeaways for APAC Marketers<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Licensed IP = speed, fandom & viral buzz.<\/strong>\u00a0Ride on pop culture to tap into existing fan bases, but be prepared for licensing costs and shared equity. Weekly drops, blind boxes and localised designs amplify excitement.<\/p>

In-House IP = loyalty, differentiation & long\u2011term equity.<\/strong>\u00a0Characters mapped to personality types or product categories become part of the brand\u2019s DNA. They can be refreshed and localised without renegotiating rights.<\/p>

Best practice:<\/strong> Integrate thoughtful merchandise design<\/a> psychology \u2013 curiosity, personalisation and usability \u2013 into both approaches to maximise campaign ROI. Creating emotional stories around characters, whether borrowed or owned, turns merchandise into media.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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Crafting IP Strategies That Sell Out and Stand Out<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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IP isn\u2019t just about pop culture anymore \u2014 it\u2019s about how you make your brand memorable. Whether you choose to partner with a beloved franchise or develop your own mascot, the key is designing merchandise that sparks emotion, drives user\u2011generated content (UGC) and keeps your brand top of mind.<\/p>

At\u00a0DTC World<\/strong>, we\u2019ve helped brands across APAC bring both licensed IP and In-House IP Mascot to life \u2014 from\u00a04Fingers X Quby\u00a0keychains<\/a> and\u00a0Marigold X Miffy Foldable Bag<\/a> to\u00a0Nissin<\/a> and\u00a0Zespri\u00a0collectibles<\/a>. If you\u2019re planning your next merchandise initiative, let\u2019s explore how to craft a corporate gift strategy using IP<\/a> that not only sells out but also stands out.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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About the author<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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\n\t\t\t\t\t\t\tJason Cheng\t\t\t\t\t\t<\/h3>\n\t\t\t\t\t<\/a>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t
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Managing Director at DTC World, specialising in APAC brand merchandise, gift-with-purchase, and fulfilment. He helps marketers design collectible, TikTok-ready premiums that drive real sales impact. <\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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\n\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t\t\t<\/path><\/svg>\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\tConnect on <\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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\n\t\t\t\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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Read more\u00a0BLOGS<\/span><\/span><\/h3>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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\"Chiikawa<\/div>\n\t\t<\/a>\n\t\t\t\t
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\n\t\t\t\n\t\t\t\tChiikawa 2025: Brand Collabs & Gift-With-Purchase Ideas in Malaysia\t\t\t<\/a>\n\t\t<\/h3>\n\t\t\t\t<\/div>\n\t\t\t\t<\/article>\n\t\t\t\t
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\"TikTok-Friendly-Merchandise\"<\/div>\n\t\t<\/a>\n\t\t\t\t
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\n\t\t\t\n\t\t\t\tTikTok-Friendly Merchandise: Turning Gift With Purchase into Viral Brand Assets\t\t\t<\/a>\n\t\t<\/h3>\n\t\t\t\t<\/div>\n\t\t\t\t<\/article>\n\t\t\t\t
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\"Tom<\/div>\n\t\t<\/a>\n\t\t\t\t
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\n\t\t\t\n\t\t\t\tTom & Jerry Through the Decades: How an Iconic IP Continues to Drive Brand Merchandise\t\t\t<\/a>\n\t\t<\/h3>\n\t\t\t\t<\/div>\n\t\t\t\t<\/article>\n\t\t\t\t<\/div>\n\t\t\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"

The Rise of Brand Merchandise as a Marketing Strategy in APAC In APAC, branded merchandise is no longer just \u201cfree<\/p>\n","protected":false},"author":4,"featured_media":35330,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[51],"tags":[2183,1725,1836,2184,854,1590,2185],"class_list":["post-35299","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blogs","tag-brand-ip","tag-corporate-gifts-malaysia","tag-corporate-gifts-singapore","tag-corporate-gifts-vietnam","tag-gift-with-purchase","tag-licensed-character-merchandise","tag-promotional-merchandise-apac"],"yoast_head":"\nBrand Merchandise Strategy: In-House vs Licensed IP - DTC World Malaysia<\/title>\n<meta name=\"description\" content=\"See how brands utitlise in-house creativity & licensed IP in their brand merchandise strategy. 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