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Dual licensing poses challenge
How would you feel about letting one of your competitors sit in on one of your planning meetings?
Welcome to the world of dual licensing in the mattress arena, where that very thing happens on a regular basis.
I’m working on a story on the challenges of dual licensing (in which one bedding producer partners with two different
licensing groups), but wanted to throw the issue out to my online readers to get the discussion started.
The dual licensing movement appears to be gaining strength, thanks to the announcement of Spring Air International’s six
new licensees, four of which have been working with other brands and are adding Spring Air to their portfolios.
I know that there are positives and negatives to dual licensing, but I do think it is a bit odd for licensees to sit down
with a fellow licensee of their brand who just may also be making and marketing a competing bedding brand.
What do you think?
Deena commented:
Your's is a point of view where real intelligence shines thorguh.
Espn commented:
What a joy to find someone else who thnkis this way.
MATTRESS MAN commented:
Why all the back and forth? If you have the right product (brand) at the right price, then why not put all your efforts behind that ONE brand and build it in your territory7 Dual licences may dilute the growth of the stronger brand by diverting retailers to a secondary line that does not sell as well.
JW commented:
Are there any secretes in the mattress business? It seems that everyone pretty much knows what the other is doing anyway. Suppliers seem to always share information. The only companies that need to be secretive are the ones creating something unique and those usually use patents and trademarks.
David Perry commented:
To the other David: I guess you woke up on the wrong side of your non-branded bed. As for me writing about bedding brands, this is a brand-intensive category, last time I checked. The brands make a lot of news. I can't ignore that fact, even if you may want me to.
david commented:
From reading your articles over the years we know how you feel.. It would be a disaster in your eyes. Brand brand brand or should i say advertiser advertiser advertiser..Brand makers of all catgories of furniture should take a hard look at wal mart with their "great value" and at target also with their private lable lines. Brands should be saying how do I get that peice if the pie...But, they cant do it because the brand being loaded with debt they cant service and managemnt that has drank to much brand kool aid.what is the differece with serta and five star on of your favorites? We better hope that the factories make as much diverse product as they can so they and the retailers and the consumer wins. Whats next if we left it up to just the brands to put out good value. The Bernie Maddoff bed? That is brand that fits most of them!
Allyn Beard commented:
Hi Dave,
As you know, we have quite a few different licensed brands, and it certainly has been a part of our success. By being able to offer different brands on an exclusive or semi-exclusive basis, has provided us with the opportunity to remain 'meaningful' to our retail partners. However, it is important to retain the 'integrity' of information, marketing programs and opportunities, between you and your licensor, and not allow the ideas or information they provide to be used in competing brands. It is always a difficult challenge having multiple brands, however, in todays market, I think that the benefits outweight the negatives.
Restful Sleeping!
Wat commented:
This is the new way of outsourcing for the mattress industry. The times of factories starting from ground up may be declining. I can see the history books, "We started building Spring Air for Spring Air in the 2000's." "Our brand has been in business for over 100 years." So different than we have been building a great brand for over 100 years. The secret is out of the bag when anyone can build your brand without any unique techniques. The licensees have it easy. Build product, and make sure they put the right label on the right brand.
Lisa S. commented:
How is it really much different than what is already going on? As a retailer, we take what we like and ask for products with more of what we like. I could see some really great products coming out of it. I wouldn't want to be the non-Spring Air brand in this deal.






















