Opportunities in Africa Accelerate

Brands Licensing Africa 2024, billed as the first-ever licensing trade show on the continent, recently took place in Abidjan, Côte d’Ivoire. The event reflects an interest in Africa—as both a licensing market and a source of intellectual property—that has been building slowly for many years. While the North African region and the country of South Africa have long been key players in licensing, other countries are increasingly in marketers’ plans as well. 

Here are some of the ways African markets, IP owners, manufacturers, and retailers are making their presence felt in the licensing business: 

• Global IP owners are looking to expand opportunities in Africa. Authentic Brands Group, which recently launched its Reebok label across the continent and has deals in place including a Reebok kidswear collection with H&M in South Africa, named fashion and sports executive Warren Bowers to oversee its brand-extension activities in the region as General Manager, Africa. Often licensors’ forays into the region include Africa as part of broader agreements; WHP Global brought G-Star Kids jeans, jackets, t-shirts, and accessories into Africa through a deal with Italian fashion licensee FFI Global SRL that also included Europe, Australia, the U.S. and Canada, for example. And Zag extended its Miraculous business through a license with Turkey’s SAI Group and its Kandiz brand, bringing snacks, cereals, and candy into Africa as well as Turkey and Greece, the Middle East, India, and other global markets.

• Global licensees are expanding on the continent with African IP. In one example, Italian sports gear licensee Lotto Sport became the technical partner for all South African national cricket teams, developing design-forward playing and training kits for the men’s, women’s, and under-19 Proteas clubs. In another example, Reebok paired with late South African rapper AKA for a limited-edition sneaker—reprising a pairing from a few years ago—available online and at select bricks-and-mortar locations in that country. 

• African-origin brands, particularly fashion labels, are entering into global collaborations and licensing deals. The Lemlem fashion brand, founded by Ethiopian supermodel Liya Kebede to preserve the artisanal weaving traditions of her native country, has expanded beyond Africa’s borders and has forged deals with H&M and Puma. The latter produced an athleisure collection in 2023, available on Puma and Lemlem’s online and mobile commerce sites, at Puma’s New York flagship store, and at select retailers globally. Meanwhile, Puma competitor Reebok partnered earlier this year with Tanzanian designer Anjali Borkhataria for a global athleisure collection for men that combines Tanzanian batik with sportswear elements. Global licensing representation for African-origin properties is also on the rise; Signet Licensing, a brand and sports licensing agency based in South Africa, introduced The Nelson Mandela Foundation to the global licensing community at BLE in September.

• African retailers are strengthening and expanding, locally and globally. Nigeria-based Jumia Technologies (“the Amazon of Africa”) has been struggling financially but is working to strengthen its operations, such as through a partnership with the large Turkish e-commerce platform Hepsiburada to expand both brands’ businesses across Africa. Meanwhile, Yaga, a South African second-hand clothing marketplace—an important retail channel on the continent—has plans to expand into other African markets, including Kenya and Nigeria. And South Africa-headquartered Pepkor, Africa’s largest clothing retailer, with close to 6,000 stores across Africa under several banners, is growing in South America, opening close to 100 stores in Brazil, for example. 

• Licensees and licensors outside of Africa are creating products celebrating Africa and the African diaspora. Many countries around the world are home to growing populations from various African regions, leading to collaborations appealing to those groups along with consumers in general. French luxury label Balmain recently introduced a men’s fashion collection inspired by African kings and the SAPE fashion movement of 1960s Congo, designed by creative director Olivier Rousteing, who is of Ethiopian and Somali heritage. Ghanaian photographer Prince Gyasi and British-Cameroonian artist Ibby Ijoya were collaborators. Separately, U.K. fashion label Labrum London, which celebrates West African culture and heritage, paired with Adidas and the Arsenal football club, known for its many supporters from across the African diaspora, for an away kit inspired by African design traditions.  

• Entertainment companies are developing African-rooted content for kids. Major global distributors are starting to look to Africa for themes and concepts, often working with African creators and studios, as they strive to diversify the content they offer. Examples from the world of children’s animation include Disney Junior with Kiya & the Kimoja Heroes and Netflix with Supa Team 4. Both include South African/Irish studio Triggerfish Animation, Africa’s largest animation studio, among the co-producers. In addition, independently produced YouTube series are gaining traction globally, including Super Sema, backed by actress Lupita Nyong’o and produced by Kukua in Kenya; OmoBerry, a 3D-animated series produced mostly in Nigeria; and Ubongo Kids, a STEM-education series originating in Tanzania, among others. Most have at least some tie-in merchandise available.

A number of African countries face steep challenges, ranging from wars to extreme poverty and starvation. But many parts of the continent are expanding economically—consumer spending across Africa is expected to hit $2.1 trillion by 2025, according to Brands Licensing Africa’s organizers—and the region is expected to become the fastest-growing economy in the world in a decade. Africa’s population of 1.2 billion-plus is increasing quickly, especially its middle class and its majority under-35 population. And its consumers tend to be brand-conscious. All of these factors point to ongoing growth in licensing for global and local properties within Africa, while African-origin properties are likely to continue their expansion on a global scale as well.