COLUMBUS, Ohio – Winning the first national championship in the new playoff system is a gift that Ohio State University officials expect will keep giving — and one that ultimately will benefit students.
They expect a $3 million bump in royalties over last year from licensed merchandise sales, based on anticipated revenue of $17 million in royalties this year, according to a report in Friday’s Columbus Dispatch.
For every dollar that goes into the licensing office, 55 cents goes to academic affairs, which handles scholarships, libraries, ongoing programs and the university’s 14 college units, Rick Van Brimmer, an assistant vice president for the school’s trademark and licensing operations, told the newspaper. The rest is divided evenly among the athletics department, alumni association and student life program.
The percentage gain isn’t close to what OSU saw in 2002 when the Buckeyes beat Miami for the national crown, when royalties doubled to $5 million that year over the year before. But Ohio State and licensed vendors are pretty sure fans will continue to buy national championship gear and momentos for months to come, meaning the Ohio State royalties are likely to grow.
The smaller percentage increase this time relates to the major changes Ohio State has made in how it gets merchandise to the public and the success it has had in building sales.
In recent years, the university has renegotiated many of its licensing deals on more favorable terms, partly due to Ohio State’s continued success in sports. Also, both licensees and the school have become more sophisticated at marketing the brand, officials said.