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Zapf Creation AG today announced that it has entered the international licensed products business. With the acquisition of the worldwide marketing and distribution rights for girls’ toys associated with the bestseller “Lilli the Witch”, Europe’s leading manufacturer of play and function dolls is now playing an active role in the market for licensed products. Zapf Creation intends to use its extensive expertise in the development and marketing of innovative toys to selectively expand its product and brand portfolio and generate additional growth. The “Lilli the Witch” series of children’s books has been particularly successful in Germany and Spain, two of Zapf Creation’s core markets. This success can be attributed to the high number of books in circulation (total copies published in Germany: 15 million) and to the cinema releases and DVDs from Disney. By October 2009, Zapf Creation will be able to offer its international retail customers imaginative girls’ toys associated with “Lilly the Witch.” These products should generate additional purchasing impetus during the upcoming Christmas season. In the European toy market, around 30 percent of all revenues are achieved with licensed products. The Zapf Creation Group has not been involved in this market in the past, but the systematic expansion of licensing activities will form an important part of the company’s strategy in the future. Negotiations are already underway with other licensers. Stephan F. Brune, CEO of Zapf Creation AG, commented: “Acquiring the ‘Lilli the Witch’ license is our first step into the licensed products market, and more will follow soon. This will enable Zapf Creation to play to its strengths, which lie in the development of creative play concepts and in close relationships with retail partners. We also want to incorporate successful brands into our product portfolio through licenses.” |
