Funko sees 14 per cent sales dip but CEO Brian Mariotti praises global team in a ‘challenging 2020’

Despite a decrease of 14 per cent in net sales in its third quarter financials year on year, Funko’s CEO Brian Mariotti has praised the efforts of the pop culture specialist’s international teams in its executions throughout a challenging 2020, and believes the firm is ‘well-positioned for the Holiday season’ with its most diverse product offering to date.

The company’s chief executive has also expressed optimism for the outfit’s Q4 2020 performance, citing expanded presence within key retailers as it makes plans to “remain agile in the face of today’s dynamic environment.”

Funko saw net sales decrease 14 per cent to $191.2 million in the third quarter of 2020 compared to $223.3 million in the same period the year prior. The decline has been primarily attributed to the slower recovery from Covid-19 impacts within the domestic specialty channel and European region.

These impacts were partially offset by growth within the domestic third party e-commerce and mass-market channel as well as the Company’s own direct-to-consumer business. Funko’s direct to consumer e-commerce sales increased more than 150 per cent compared to the year prior.

Meanwhile, Funko’s Loungefly branded products grew 25 per cent compared to 2019, driven by the momentum of Loungefly.com and within wholesale channels.

In the third quarter of 2020, the number of active properties was 715, which represents a 14 per cent increase from the third quarter of 2019.

On a geographical basis, net sales in the United States decreased four per cent to $140.9 million. Net sales internationally decreased 34 per cent to $50.3 million, reflecting more significant impacts from Covid-19 primarily within the European region.

On a product category basis, net sales of figures decreased 18 per cent to $145.0 million. Net sales of other products decreased one per cent to $46.2 million, reflecting strength in Loungefly branded products which increased 25 per cent compared to the prior year due to strong momentum on Loungefly.com as well as at wholesale retailers.

“Our teams have executed well in 2020 despite the challenges presented by the pandemic,” said Brian Mariotti, chief executive officer. “In the third quarter, we outperformed revenue expectations, reflecting strength within our domestic mass market and digital channels.

“We also maintained strong gross margins and cost controls, which allowed us to deliver improved profitability. The quarter was highlighted by our successful evergreen programs, expanded product offerings and enhanced e-commerce capabilities, all of which are enabling us to drive increased engagement with our fans around the globe.

“While we expect to face continued headwinds in specific channels and regions in the fourth quarter, we believe we are well positioned for the holiday season with our most diverse product offering yet and an expanded presence within key retail partners. Looking further ahead, we are staying focused on our four key strategies and remaining agile in the face of today’s dynamic environment.”

The Company anticipates that effects from the Covid-19 pandemic will continue to impact sales in the fourth quarter of 2020 and currently expects net sales on a percentage basis to be down 10 per cent to eight per cent compared to prior year.

Waxwork Records opens the Universal vault to celebrate Halloween with latest Spinatures

The US underground and pop culture specialist Waxwork Records is celebrating the witching season with the expansion of its partnership with Universal and the studio’s vault of classic Monster and Horror films.

This time it’s Halloween favourite, Michael Myers – as seen in Halloween II – and Halloween III’s Trick or Treaters that are emerging from the mist as the latest must-have adult toy fan collectables. The launch marks the latest extension of Waxwork Records’ Spinatures adult collectables range that left its mark last month with the classic 1931 Frankenstein figure.

The Spinatures collection is the first foray into the collectable toy space for the Californian record label, renowned for its cult and pop culture merchandise, but better known for its selection of movie film soundtracks produced on premium vinyl.

The Halloween II Michael Myers Spinature collectable figure is a detailed sculpt of the iconic slasher from the sequel to John Carpenter’s classic 1978 horror film, Halloween. The figure stands at four-inches tall, but is equally a menacing as its filmic counterpart, featuring detailed bullet holes, bleeding eyes, and with a firm grasp on a scalpel.

The figure has been created to depict Michael Myers in the terryfing hospital room showdown with Laurie Strode (Jamie Lee Curtis) from the 1981 horror movie.

Meanwhile, the ghoulishly masked Witch, Skull, and Jack o’ Lantern trick or treaters from 1982’s third installment of the Halloween movie franchise, come creeping in at 3.75 inches tall and include highly detailed masks, costumes, and candy filled Halloween masks.

These Spinatures portray the three iconic and carefree trick or treating kids on Halloween night unaware of the terror that awaits them! Each figure’s Halloween mask includes the iconic Silver Shamrock microchip button.

Bringing pop culture, toys and Waxworks Records’ affinity with the music scene altogether in one, Spinatures are highly detailed turntable-spinner mini-busts featuring iconic characters from pop culture, horror movies, and beyond.

Each figure is fitted with a hole in its base to easily attach to the spindle of your turntable and then spin along with your favorite records, or be displayed as a collectors item for the discerning pop culture fan.

Kevin and Sue Ellen, creators of the Spinatures range, told ToyNews: “We are so psyched to release official Halloween II and III Spinatures this spooky season. Michael Myers is forever etched into the public’s consciousness as Halloween’s official mascot, so it was crucial for us to create a collectible figure that captured his iconic likeness and haunting presence from the classic horror movie sequel.

“We couldn’t leave out the three trick or treaters from Halloween III: Season of the Witch! The detail on these little guys is insane.”

Many more Spinatures are to arrive this autumn and throughout the 2020 Holiday season including Dracula, The Mummy, The Phantom of the Opera, The Creature From The Black Lagoon, The Wolfman, and The Invisible Man.

This ISlides and Warner deals allows horror fans to walk in the shoes of their favourite movie monsters

Horror fans can now take a walk in the shoes of some of their favourite movie monsters, from A Nightmare on Elm Street’s Freddy Kruger to The Shining’s Danny Torance, thanks to a new partnership between Warner Bros Consumer Products and the customised slide sandal company, ISlide.

The new partnership will see ISlide create new footwear ranges inspired by over 100 blockbuster franchises, including The Shining, Friday the 13th, and The Exorcist. The deal also spans DC favourites, Batman, Superman, and Wonder Woman.

“Warner Bros. has created some of the most iconic movies to date and we’re excited to be able to bring a new take on the characters through our slides,” said Justin Kitterdge, president and CEO of ISlide. “Whether you’re a fan of Batman or Friday the 13th, we’ll have a new slide for anyone who loves these properties as much as we do.”

Slides inspired by Warner Bros. iconic horror movies such as A Nightmare on Elm Street, Friday the 13th, The Exorcist, and The Shining have already been made available for the Halloween crowds, while this November 5th will see the launch of slides inspired by DC Super Heroes including Batman, Superman and Wonder Woman.

The A Nightmare on Elm Street collection includes four unique designs with black, red and white colorways featuring the A Nightmare on Elm Street logo, fire imagery, a Springwood High School Slashers logo and Freddy Kruger himself.

The Friday the 13th collection includes a handful of detailed custom Jason designs using Black and Red accents. The collection also includes variations of the extremely popular “Friday the 13th” wordmark.

The Exorcist collection includes unique custom designs that feature an all white iteration of the movie logo, the notorious Regan script wordmark, and an insanely detailed live shot from the movie itself.

The Shining Collection includes four unique designs with black and white colorways featuring variations of the Shining Logo and Danny Torance portraits.

Meanwhile, in the DC collection, the Batman range features over 10 custom designs on a variety of ISlide colors, including the highly sought after black/yellow speckle. In addition to the Bat Emblem and other iconic comic images, the collection includes the popular The Joker.

The Superman collection includes custom designs utilizing ISlide’s red and royal sandal colorways. With designs ranging from Superman’s S-Shield to Metropolis logos, this collection is by far the most colorful.

The Wonder Woman collection includes four unique designs with black, red and white colorways featuring the Wonder Woman logo and the iconic Wonder Woman herself.

These slides will retail starting at $44.99 and will be available on islideusa.com.

Earthworm Jim lands on retro gaming platform Antstream Arcade in Interplay Entertainment partnership

Earthworm Jim! From the soil he did crawl and onto the retro games platform Antstream Arcade he now falls, thanks to a new licensing deal with Interplay Entertainment.

This is the latest development for Antstream, the games streaming platform that specialises in retro and throw back video game titles. It follows the firm’s recent deal with Bandai Namco and will see popular titles such as Earthworm Jim and Descent become available for gaming fans of a certain vintage across the globe.

With all games streamable over any 4G connection or better and on multiple smart devices, having access to some of the most celebrated titles from the world’s leading games and entertainment brands strengthens Antstream’s position as the de facto retro game streaming company.

For monthly subscription, gamers will be able to play Antstream’s growing library of licensed classics and curios, as well as enjoy the chance to participate in a wide range of global tournaments and leaderboards.

Steve Cottam, CEO at Antstream, said: “Interplay is one of the most iconic and well- respected games publishers and developers, so this deal is hugely important for Antstream.

“Following other high-profile partnerships we have signed, and with more deals in the pipeline, we are clearly demonstrating the strength of our position in the gaming market and the huge growth potential that cloud-based streaming services creates.”

Herve Caen, CEO of Interplay Entertainment, added: “It is always great to partner with a company which is clearly leading the way in gaming and, in this instance, retro gaming. Antstream Arcade is on track to doing just that, substantiated by its strong vision and having a solid understanding and passion for the industry. We are very much looking forward to what this collaboration will deliver.”

TeamTo acquires TV, film, and licensing rights to fantastical graphic novel series Ninn

TeamTo has acquired the television, film, and licensing rights to NINN, a popular series of graphic novels by Jean-Michel Darlot and Johan Pilet, marking the content producer’s first foray into limited series animation for the seven years plus market.

NINN follows the stories of the young Parisian girl, Ninn, who has an unusual passion for the city’s underground, Paris Metro. Skateboarding through its tunnels is her favourite hobby, where she encounters all manner of fantastical happenings, such as swarms of butterflies visible only to herself, or an origami tiger that guides her on her search for the secrets of her past.

Despite her father’s concerns, Ninn and the tiger explore every dark tunnel and abandoned station, eager to uncover the clues and connections she has been searching for her whole life.

“As soon as I saw the first album, I immediately felt attracted to its graphic design style, which is both classic and fantastical,” said TeamTo executive producer, Corinne Kouper.

“I fell in love with the independent and free-thinking spirit of this little urban girl on the platform of the Paris Metro, visibly protected by her large and warm white tiger. I also liked the idea of Ninn roaming freely through the underground tunnels on her skateboard as if it were her bedroom, and her unique and touching relationship with her two dads.”

Mary Bredin, TeamTo creative development executive, added: “Stories that are grounded in locations are really appealing to me and this one is set in the Paris Metro – how surprising and intriguing is that?!

“Our hero’s story is at once unbelievable and yet so relatable. Adapting graphic novels is a bit of a trend right now but I think it is because they play in a darker, more dramatic space which provides a depth that isn’t normally present in a lot of animated series.”

Jean-Michel Darlot, author of Ninn, commented: “I have definitely been influenced by Miyazaki in finding the magical in the ordinary, and I have always been inspired by the Paris Metro. This is where the story comes from, the Metro is not just a means of transportation. It has its own personality and we portray it as a character in our story – a character with some secrets of its own.”

Published by boutique Belgian publisher Kennes Éditions, the series was written by Jean-Michel Darlot and illustrated by Belgian artist Johan Pilet. To date, four graphic novels have been distributed in France, Belgium and Canada, with over 100,000 copies sold in France; a fifth and sixth novel of the series are in production.

Crunchyroll details major licensing slate ahead of the autumn anime season

The global anime brand, Crunchyroll, has detailed a slate of cross-category licensing partnerships ahead of the autumn anime season, highlighting not only the diversity of the anime medium, but the global reach of the animation form.

“This latest slate of licensing partnerships represents the diversity of anime as a medium, from the spooky stylings of Jujutsu Kaisen and the Junji Ito Collection, to the eternally cute Bananya,” said John Leonhardt, head of consumer products at Crunchyroll.

“Crunchyroll represents anime titles that can drive success to your category.”

The latest licensing line-up sees Bananya – the kitten who lives in a banana – move into the board games sector with Japanime Games, books with Running Press, mugs with Wild Bill’s Soda, and novelties and pins with Just Funky.

Meanwhile, Black Clover, the long running Shonen action series, was recently signed to Hypland for fashion, Japanime Games for board games and Taka for figures, while Dr. Stone, the scientific action series based on the popular Shonen Jump manga of the same name, is coming back for season two in January 2021 and was signed by Wild Bill’s Soda for mugs.

Food Wars! Shokugeki no Soma, the culinary competition series, was recently granted to Espada Arts for figures, Mobile Suit Gundam, the iconic anime series that recently celebrated its 40th anniversary, was granted to FiGPiN for pins and Just Funky for novelties and gifts, and Haikyu the beloved volleyball series, was recently granted to Hypland and Good Smile company for fashion and apparel.

Elsewhere, Jujutsu Kaisen the hit Shonen Jump title streaming exclusively on Crunchyroll, was granted to Bioworld for apparel and Great Eastern Entertainment for accessories and home goods. the Junji Ito Collection was recently granted to Ground Up International for footwear, Hypland for fashion and to Wild Bill’s Soda for mugs, and Kuroko’s Basketball was recently signed to Hypland for fashion.

Completing the raft of signings and Mob Psycho 100 was granted to Team Liquid, the world renowned professional gaming organization, and Good Smile Company for apparel, and  Espada Arts for figures, while finally the Good Smile Company was granted licenses to create apparel for both Re:ZERO -Starting Life in Another World and That Time I Got Reincarnated as a Slime.

Crunchyroll’s consumer products team provides global anime fans with the best in lifestyle, home goods, fashion and more, managing all-rights for more than 350 anime series for more than 100 global licensees. It also operates the direct to consumer Crunchyroll Store, which is the exclusive home of Crunchyroll Loves, the brand’s in house streetwear label.

Crunchyroll, the global streaming brand from WarnerMedia, serves more than 70 million registered users and 3 million subscribers in more than 200 countries and territories. Crunchyroll’s robust online community also includes more than 40 million followers across social media.

Pop culture retailer Geek Retreat to open 100 new UK stores as geek chic continues to rise

The UK’s geek culture retailer, Geek Retreat, has detailed its plans to open 100 new stores on high streets across the country over the space of the next two years, part of its own plans to ‘breathe new life into town centres.’ The move follows the rapid rise in the popularity of the pop culture scene among consumers today, one that has given rise to the success of the Marvel franchise or the likes of Netflix’s Stranger Things.

The opening of the 100 new Geek Retreat stores will not only ride the crest of the current wave of demand in pop culture and games, but will create around 600 new jobs in the UK.

Board gaming, card trading and tabletop games make up an industry currently worth some £8 billion in the UK alone. This is predicted to grow by 3.1 per cent annually over the next three years, highlighting its continued popularity.

The Geek Retreat franchise – which opened its first store in Glasgow in 2013 and now employs 110 people – is a comic bookstore, gaming cafe and events hub rolled into one. It currently has 14 city-centre stores, including Glasgow, Newcastle, Birmingham, Leeds, the Wirral, and two in London, which stock geek culture merchandise like comics, posters, clothing, figures and memorabilia as well as games and trading cards.

New stores in Bournemouth, Northampton, Liverpool and are due to open shortly. Northwich and Chelmsford were the most recent stores to open, attracting the largest opening days to date.

All stores do and will commit to a COVID-19 secure environment, with social distancing and hygiene measures in place, to give customers extra piece of mind that they can visit in confidence. Small gaming events can take place with safety guidelines being carefully implemented.

Peter Dobson, chief executive of Geek Retreat, commented: “The UK’s gaming and hobby sector is a real success story and Geek Retreat is a home for the communities who are at the heart of this phenomenon. The wellbeing of our customers and staff has always been incredibly important to us – now more than ever everyone should expect a friendly, safe and clean environment to meet and play.

“We have made sure all of our stores are welcoming and accessible to gamers whatever their interests, providing a place for our loyal customers to get out of the house and play safely post-lockdown.

“This is particularly important for our more vulnerable customers, like those on the autistic spectrum, or with mental health issues where being in an inclusive, welcoming, and social environment is very important. It is strength of the relationships which our stores build with local communities that is a key driver of growth.”

Forbidden Planet teams with Gaumont to launch F is for Family apparel and accessories across the UK

The French production and distribution studio, Gaumont, has partnered with the UK’s pop culture retailer Forbidden Planet to launch a new line of branded merchandise based on the Netflix Original animated series, F is for Family.

The high street retailer and specialist in the pop culture and geek culture sector, Forbidden Planet will kickstart the partnership with the launch of a range of apparel and giftware including t-shirts, hoodies, accessories such as sew-on patches, enamel keyrings and pin badges.

In addition to this, the ’70s themed animated series will lend its characters to an exclusive line of giftware with art prints, postcards packs, mugs, tea towels, magnets, and travel pass holders. The line is available from this month across the Forbidden Planet stores throughout the UK.

The launch of the new F is for Family line follows the success of the series’ fourth season, with a fifth and final season having just been announced. It coincides with an interview featuring series creator Bill Burr on Forbidden Planet’s new video platform, FPTV. 

Evolution USA, Gaumont’s global licensing and brand management agency across the title brokered the partnership.

Anthony Garnon, licensing and special projects manager at Forbidden Planet, added: “It’s time to take away those 2020 blues with this fantastic range of merchandise. F is for Family is a genuinely laugh out loud series, and I’m honoured to welcome the show and its fans into Forbidden Planet.

“We have got lots of great designs, covering all the fan-favourite characters and more – with additional items coming in 2021 as we plan to grow the range substantially for the next season.”

From the executive producer Vince Vaughn and created by the popular stand-up comedian Bill Burr with Emmy winner Michael Price, F is for Family is an animated half-hour adult comedy that follows the Murphy family back to the 1970s when kids roamed wild, beer flowed freely, and nothing came between a man and his TV.

Funko names former Hasbro senior director Malcolm Ottley its new VP of sales for EMEA

Funko has appointed the former Hasbro senior director, Malcolm Ottley to the role of vice president of sales for its EMEA business, where he will take on a major strategic role heading up the outfit’s sales department.

A toy sales veteran, Ottley joins the unit from Hasbro, where he spent a ten year stint, most notably as sales director, where he lead and coached a large sales team across the UK, Ireland, Germany, Switzerland, and Austria. His role saw him lead and re-shape the channel and commercial strategies for specialty retailers across the European business.

Speaking of his new position, Ottley, said: “I am really excited to have joined Funko and look forward to helping build upon their excellent achievements in recent years, as well as help to shape the future direction of the business across EMEA.”

Andy Oddie, managing director of Funko (EMEA), added: “I am pleased to welcome Malcolm to the Funko family. His extensive knowledge and experience in both sales and leadership will no doubt enrich our company further.”

Rising Up: MGM Studios on how 45 years later the Rocky franchise is still packing a punch

The trumpets, the grey tracksuit, the run up the stairs and the timeless story of David vs Goliath, the underdog with the eye of the tiger; there’s very little about the Rocky franchise that isn’t iconic. It’s difficult to believe that it’s been… [checks notes]… 45 years since Sylvester Stallone first stepped into the ring as Rocky, and not so difficult to believe that over the course of four and a half decades, he has emerged as a staple image of popular culture.

The sentimental affinity that the world shares with the message and storyline of Rocky aside for a moment, the statistics alone for the franchise are as impressive as Rocky’s boxing career. This is a franchise that has accrued $1.3Billion at the box office; three academy awards and 10 nominations, two golden globes across six films, and has given rise to two spin offs in the form of the more recent Creed films. 

If ever there was a case of life imitating art, suggests Robert Marick, executive vice president of global consumer products and experiences at MGM, the rights holders and studio behind the franchise, Rocky is surely it.

News of MGM’s partnership with TCG Entertainment to bring live Rocky concerts to the global stage as part of the 45th anniversary celebrations of the Rocky franchise has already fired up the engines of its core audience base across the world; so word that this is just a part of the wider plans to celebrate the global cinematic, pop culture, and even sporting culture icon that is Rocky Balboa is certain to send it into fever pitch.

Here, Licensing.biz talks with MGM’s Robert Marick to discuss a cultural icon, learn more about those 45th anniversary plans, and discover what kind of potential a brand that spans not only cinema, but pop culture, sport culture, lifestyle and more, has within the ever evolving licensing space.

People talk about iconic brands a lot in licensing, but Rocky without doubt is a true icon – of cinema, pop culture, and beyond – from the soundtrack, style, iconic film scenes, the script its story, and even the acting. Handling the licensing programme for something embedded in culture must be an exciting prospect?

To be honest, it’s a privilege. While everything you’ve mentioned is accurate, Rocky is so much more. From underdog to champion, there is so much depth to the franchise that appeals to its core audience. Because of the multi-dimensional nature of the franchise, it allows us to re-interpret the licensing program in so many ways.   

How do you begin to look at the licensing strategy for something so well revered the world over?

The Rocky franchise provides a multi-dimensional view and therefore a complimentary licensing strategy. In 2021, we’ve rallied around the theme “Champion”. As we developed the Rocky 45th licensing plan, we provided three opportunities. Train like a champion; Look like a champion; and Feel like a champion.

Each opportunity allows for unique product segmentation of licensed product. If you want to “look like a champion”, apparel and accessories is a natural fit. For those that want to “train like a champion”, gym equipment and interactive games such as VR games, workout systems allow fans to train like Rocky; If fans want to “feel like a champion” and show their fandom, publishing, collectibles and replicas will deliver on that aspiration.

In support of this strategy, we developed a bespoke style guide celebrating the 45th anniversary. Our licensing program is focused to rally the “everyday Rocky” to tap into their inner champion, celebrate champions in his or her community, and give fans new ways to show their love for the Rocky franchise all year long.

 You recently detailed the TCG Entertainment partnership, which seems to have fans really excited for the 45th celebrations. What other plans have you got for the anniversary? What aspects of licensing will the plans span? 

While the full roll out plans are still being finalized, I can tell you that we are planning a year-long celebration which will include new and exciting merchandise, interactive games, licensed advertising and location-based entertainment activations.  One example is the Rocky Run. In its seventh year, the Rocky Run unites fans from all over the world to Philadelphia, with like-minded fans, and for a day, step into Rocky’s footsteps where they are able to train, look and feel like a champion leading all the way up those famous stairs.

How much will the current global situation influence the plans and licensing roll out? How do you think it has shaped innovation within licensing, and will you guys be tapping into any of the trends here?

We don’t want to capitalize on this global situation and proactively push the point. Instead we want to focus on the future and getting through it by having Rocky fans express their own Rocky moment and using Rocky to motivate and inspire them to persevere and go the distance. It needs to be and should be organic. 

Can you talk us through the new partners you’ve got lined up for the brand, what categories will you be spanning? What of the current partnerships will you be expanding upon?

Boxing/Athleisure has been identified as a new Fashion Trend. Boxing remains mainstream, trendy and relevant for men and women and Rocky’s signature grey hoodie has made a major comeback. We are looking for key collaborations that can bring together two powerful brands. As for new categories to explore, we are looking at pet, jewelry accessories and location based and live entertainment.

Rocky and Creed are in a unique position that they cover both pop culture and sporting markets, you’ve mentioned the Rocky themed running events in the works – how far will you be taking the sports and entertainment crossover? What potential does this offer?

A great example of this cross over is the Rocky / Creed Rise to Glory VR game by Survios. It’s become an evergreen title, that – similar to the Rocky Run – gives fans a chance to step in the ring and train and feel like a champion. I am excited to share that the hit, Creed: Rise to Glory VR game will be available on console platforms in time for the 45th anniversary. Other opportunities in this area are vast and we are currently exploring our gym and fitness equipment.

Why do you think Rocky continues to resonate with fans across the globe? 

The Rocky franchise is a global phenomenon! The story has so many themes such as ambition, determination, courage, being the underdog and rising to the top etc., and that all translates across generations, demographics and cultures around the world. Everyday people can relate to Rocky in some shape, way or form. Today, more than ever, Rocky is beacon of hope and inspiration around the world. 

It’s hard to believe that it’s been 45 years since fans saw Rocky hit enter the ring for the first time. Looking back over the years, it’s amazing what Sylvester Stallone accomplished. Just like the Rocky character, the franchise and Sylvester Stallone, beat all the odds at the time as an up-and-coming writer, director and actor. 

The statistics are staggering. $1.3Billion at the box office; three academy awards and 10 nominations; two golden globes across six films and two spin offs with the Creed films. In this case, lifeimitatesart. What a champion!