97-01-28 Rose Bowl Increases Trademark Profits

ROSE BOWL WIN IS VICTORY FOR SCHOLARSHIPS AT OHIO STATE

     COLUMBUS -- The Buckeyes' Rose Bowl victory was not only a 
victory for the football team but also a winner for academics and 
student services at The Ohio State University, pushing the 
university's income from licensed trademark products over an 
estimated $2 million for the year.

     "Product sales are directly related to a spectacular 
athletic season. We are significantly ahead of this time last 
year," said Anne Chasser, director of Trademark and Licensing 
Services. "Clearly the success of the athletic program and the 
team has really benefited trademark and licensing."  

     Chasser said Rose Bowl sales have been very significant, 
although the final numbers will not be available until March. 
Some $1.5 million was generated by the sale of licensed products 
last year to fund student scholarships and other programs at Ohio 
State.

     While the 8 percent royalty charged to manufacturers to use 
the name, seal and identifying marks of the university has 
generated income to supplement scholarship funds since 1974, the 
Board of Trustees revised the distribution formula in 1994 to 
include the Department of Athletics, University Libraries, and 
the Office of Student Affairs, in addition to the Name and Seal 
Endowed Student Scholarship fund.

     Some $800,000 now goes to help fund the Young Scholars 
program. Other organizations are then funded on a sliding scale. 
As the revenue increases, the athletic department receives a 
higher percentage that reflects its role in driving the market 
for licensed products.

     "The feeling was the money should benefit students as a 
whole. We tried to identify areas that affected as many students 
as possible on a daily basis," said Richard VanBrimmer, assistant 
director of Trademark and Licensing Services. "Many students 
don't know how much this touches their lives on a daily basis. A 
lot of positive things are happening on campus because of this 
program."

     The Name and Seal Endowed Student Scholarship fund provides 
$1,000 grants to some 225 to 250 students per year, according to 
Tom Hurley, associate director of student financial aid. 
Likewise, athletics uses licensing money for academic support and 
to help defray the costs of scholarships, which cost some $4 
million annually for support of over 300 student athletes.

     The Office of Student Affairs uses the money to increase the 
pool of funds to support student organizations, said Eric Busch, 
assistant vice president.

     "Student organizations are a great asset. Involvement 
creates a sense of community, leadership and a sense of place for 
students on campus," Busch said.  "Those who belong to student 
organizations are more likely to have a successful stay on campus 
and to graduate."

     For instance, funds provided seed money for the student-run 
radio station KBUX and a Team Leadership conference for Ohio 
State's greek organizations last spring.

     University Libraries are another beneficiary and use royalty 
income to buy library materials that regular funding would not 
cover. 

     Currently, some 450 manufacturers hold licensing agreements 
with the university. Apparel accounts for 90 percent of the 
products sold, with Champion Products, Starter Corp., Galt Sand, 
Logo 7 Inc., and CS Crable as the top five licensees with 
combined retail sales of over $23 million in fiscal year 1995. 
Food products are also big sellers, with Buckeye water, tortilla 
chips, salsa, ice cream, and candy buckeyes packaged in cardboard 
fold-ups of Ohio Stadium as top sellers.

     "We have had some really strange requests over the years. 
Some we haven't licensed because we don't feel that they fit our 
image," Chasser said.

     Products that are directly associated with alcohol, tobacco, 
firearms, ignitables, or other potentially harmful products are 
denied use of the Ohio State marks.

     Licensed video games, such as those offered by Sega in which 
64 college teams play fictitious football or basketball seasons, 
have experienced rapid growth in the past few years, VanBrimmer 
said. He said it has been a good source of new revenue, along 
with baby bottles with Ohio State stamped on the side, tiffany-
style lamps, novelties, collectibles and other items.

     "It's a wonderful program. Not only are we protecting the 
University's trademark, its reputation and image, we are 
generating significant revenue that's being used for campus 
programs," Chasser said. "When you look at the number of students 
that are touched by the Young Scholars Program, scholarships and 
student services - even in the professional schools through the 
libraries - it has a far-reaching affect on this campus.  We are 
more proud of that than anything."

                             #

Contacts: Anne Chasser, (614) 292-1562
          Eric Busch, (614) 292-9334

Written by Tracy Turner, University Communications
          (614)688-3682.


[Submitted by: Von Vargas  (vargas.12@osu.edu)
               
Tue, 28 Jan 1997 12:05:30 -0500 (EST)]
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