Secondhand Brands Go Begging

By John Malmo

http://stream.publicbroadcasting.net/production/mp3/wkno/local-wkno-953593.mp3

Secondhand Brands go Begging, by John Malmo

Memphis, TN – The older you get, the more you relate to old stuff. I've been in the branding business for over fifty years, so I like old brands. Naturally, I was fascinated by a recent New York Times story about an auction to sell the rights to use a bunch of old, out-of-use brands.

Up for auction were 170 brands. They included some very well-known names like Collier's Magazine, Mum Deodorant, Meister Brau Beer, Shearson (the brokerage firm), and Computer City. One thing about it that interested me a lot was how little they sold for.

Shearson got $45 thousand, the highest bid, and Meister Brau went for $32,500. But Collier's, one of America's best-selling magazines, sold for $2 thousand. Victrola, the original record player, sold for $1 thousand.

Knowing how much it costs to create a new product or corporate name today, I thought there were some tremendous bargains. Allied Signal sold for $1,000. Computer City and Financial Corporation of America for $500 each. All three are pretty darn good names in their business categories. That bidder said he owns a lot of intellectual property, and he sees a lot of opportunity in those names. Makes sense to me.

Brands, even old ones, are valuable items, but there seems to be no good marketplace for second-hand brands.

John Malmo is a marketing consultant who concentrates on helping business owners grow their businesses with effective marketing. To reach Mr. Malmo, hear and read more of his commentaries, or ask him a direct question, go to askmalmo.com.