HGTV Buy Marketplace for Licensing Partners
ON THE MARKET – HGTV is buying High Point Market this week, not for product but for partners.
Company representatives will work in-market to develop new licensing partnerships for its HGTV Home Collection brand, potentially across the home furnishings spectrum.
“We look for product categories that are organic, a natural fit and have brand meaning,” Carolann Dunn, vice president of consumer products and licensing for Discovery, told Furniture Today.
The network previously had a licensing partnership with Bassett Furniture, which expired in 2019, opening the door to new furniture partnerships as well as additional categories within home furnishings.
In describing the types of partners the network is looking for, Dunn cited its existing agreement with Sherwin Williams for premium paints, currently distributed exclusively through Lowe’s Home Improvement Centers. “This program has been in existence for 10 years, has grown year over year, and encompasses significant commercial real estate and an online store,” Dunn said. “That’s the model we’re looking for.”
She noted that HGTV conducts extensive research on its audience and brand, and as it expands the HGTV Home Collection brand into new areas, it will seek partners who align with this vision.
“If a company is looking to execute a growth strategy, not build a brand house, come see us,” Dunn said. “We are where the consumer seeks inspiration for the whole home. We build business with partners that last.
Although the company has more detailed and stricter criteria on its licensing partnerships, Dunn noted that in general there is a preference for companies with well-established manufacturing and supply capabilities, a track record of success proven and strong product design, development and sourcing capabilities. .
“We also place great importance on impeccable standards of ethics and compliance,” she noted. “We need to have visibility across the entire supply chain to ensure products and working conditions meet ethical standards.”
In terms of where the HGTV brand plays in the market, Dunn described HGTV consumers as high-end, well-educated women, typically between the ages of 25 and 54, who own their own homes. “She has disposable income, she’s inspired by the network, and with that inspiration, she has genuine buying intent,” Dunn said.
Although the brand applies to a wide range of home categories, Dunn noted that the goal initially is to work with companies that have broad manufacturing and sourcing capabilities rather than analyzing the license to a myriad of category specialists.
“We are very selective. We don’t say more than we say yes,” Dunn explained. “It’s not about a flash in the pan, it’s about building businesses that last. It’s quality versus quantity.