It’s the best place to meet company executives among other benefits.
There is no more productive way to find the right licensee for your patent than by meeting the presidents or vice presidents of appropriate companies. And there is no better place to meet them face-to-face than at a trade show. Here’s why:
• The president and vice president of marketing are often the only bold risk-takers in the company. The closer you get to the bottom rung of the marketing hierarchy, the greater your odds of rejection. Rejection is safe. Licensing is risky.
• The president and vice president of marketing are under pressure to develop new products to replace products that are due to be phased out. That pressure isn’t always felt in the subordinate ranks.
• The president and vice president of marketing have a long-range perspective of the company’s market. A product that doesn’t fit neatly into the company’s current product line may turn out to be just what it is looking for.
• Even if the president or vice president delegates the evaluation or your invention to a subordinate, that is far more effective than having it come in through the mail to the same person.
One of the pleasant surprises at trade shows is the availability of top executives. They are typically standing in their booth talking to a potential customer. We are free to walk in, wait our turn, and have their attention. No “gatekeepers” screen you and tell you the boss is in a meeting, as often will happen if we attempt to see them at their offices. And there’s no rerouting us to the director of research and development. The top fellows are surprisingly human.
My first experience with trade shows was at McCormick Place in Chicago. I had gone to the American Booksellers Association show to try to find a publisher for a book I had written. My reasoning was that publishers would be there pitching their books, and I’d be able to pitch my galley copy to them. (A galley is a book’s prototype.) That was a bit presumptuous, but darned if it didn’t work. I was walking the aisles and came upon Enterprise Publishing Company’s booth. I was surprised to see Ted Nicholas, Enterprise’s CEO, standing alone and waiting to do business.
I had known about him for some time and had even used his book about writing and publishing in the process of writing my own. Ted was earning a fortune on his book, “How to Form Your Own Corporation for Under $50 Without a Lawyer.” I had imitated his long title for my own book, “How to Get Hired Faster, For More Money, Whether You Are Presently Working or Not.” We talked for at least 10 minutes; he asked for an autographed copy of my manuscript. A few days later, he phoned me and offered me a tentative deal. But after a thorough analysis of competing books, Ted sadly rejected mine. However, he asked me if I would write a book on another subject for Enterprise. I did, of course, and “Make Money by Moonlighting” was published in 1982.
Buoyed by my success, I wrote “How to Finance Your Invention,” a book for inventors, and again went to McCormick Place to find the acquisitions executives of Nolo and Ten Speed Press. I spoke with each of these executives, gave them a copy of my galley copy, and waited … and waited. Finally, Nolo said it wanted to publish it and sent me a royalty advance of $10,000. A week later, Ten Speed called me and said it wanted it. Nolo published it as “All I Need is Money.” Well, that was in 2005. These days, you can buy a good used copy at Amazon.com for a penny plus $3.99.
Books aren’t invention in the usual sense, of course. But they are a novel product, and the trade show experience is the same whether you’re trying to license a book or a new kitchen tool. I have since advised a number of inventors who have found prospective licensees at trade shows and negotiated royalty deals.
Licensing your patent involves a planned approach and lots of work. But the alternatives are also lots of work, and usually come to nothing. Good luck. And let me know of your success.
Great and very helpful article. However, could you expound a bit more on the do’s and dont’s of approaching potential licenses at a trade show? For example, what’s the best initial approach, when/how do you present your product, (mine is a kitchenware product fully patented selling on the retail market)? Do you mention competition? Do you keep a “poker face” or be very vocal about how much you want to license your product? Last but not least from a person (woman) who is not in the business world, what attire is best? Professional, business casual, or as I would if going to say an all women’s luncheon to hear the author of her newly released book tell her story?
Cheers, Stacey
The best initial approach is to walk into the booth, ask for the Director of Marketing, and introduce yourself. If the DM is not there, you will probably be talking to one of his/her subordinates. Let your sell-sheet do the talking for you. Hand the representative your sell-sheet, and let him ask questions. You are probably good at answering questions, but no so good at making a cold pitch, so don’t make the mistake of trying to verbally sell your idea as a first step. (Great inventors are generally only so-so at selling.)
If you get a reasonably friendly reception, give the person two or three more sell-sheets so that he/she can pass them on to advisers when he returns to the office.
If he you don’t get to see the DM, ask his/her name so that you have a specific contact for later. Be respectful of the person’s time. He isn’t there to listen to inventors; he’s there to make new contacts for marketing. You can be resented if there is one or more persons waiting to speak with him.
Be sure to get a business card, and write your comments on its back. Things like, “Very interested,” or “only lukewarm,” etc. A couple of days after the close of the show, phone the DM. State that you met at the show, and you’d like to know what more you can do to interest his company in your product. (It’s a product, not an invention.)
Jack Lander