Royalty Rates

Category Surveys Average Royalty
Accessories 1 8.9%
Aerospace 3 4.0%
Apparel 3 6.8%
Automotive 8 3.3%
Baby Goods 1 6.0%
Baked Goods 1 5.2%
Books – Softcover 1 7.5%
Books – Hardcover 1 10.0%
Building & Construction 1 5.6%
Business Services 1 11.9%
Chemicals 7 4.3%
Child related 1 6.3%
Computers 6 4.6%
Consumer Goods 3 4.8%
Domestics 1 7.3%
Education Related 1 8.3%
Electronics 9 5.1%
Energy & Environment 4 8.0%
Entertainment 1 15.5%
Diagnostics 1 3.5%
Distribution 1 5.2%
Fast Food 1 5.1%
Food 7 4.4%
Footwear 1 10.0%
Franchises 1 5.0%
Furniture / Home Furnishes 1 7.0%
Government / University 2 7.1%
Healthcare Products / Equipment 7 6.4%
Hospitality / Leisure 2 4.5%
Housewares 1 7.0%
Industrial Products 1 6.4%
Internet 2 8.2%
General Manufacturing 2 6.4%
Machine/Tools 5 4.8%
Maintenance Services 1 6.9%
Media & Entertainment 2 6.5%
Music / Video 1 7.0%
Medical Equipment 1 4.0%
Novelties / Gifts 1 8.3%
Personnel Services 1 12.5%
Pharmaceuticals / Drugs 6 7.5%
Pre-Clinical 1 3.0%
Phase I 1 7.5%
Phase II 1 11.5%
Phase II 1 15.0%
Launched 1 20.0%
Research Reagents (e.g. expression vector, cell culture, media supplements) 1 3.0%
Diagnostic Products (e.g. monoclonal antibodies, DNA probes) 1 3.0%
Therapeutic Products (e.g. monoclonal antibodies, cloned factors) 1 7.5%
Vaccines 1 7.5%
Animal Health Products 1 4.5%
Plant/Agriculture Products 1 4.0%
Printing 1 5.4%
Publishing 1 10.6%
Biotechnology 1 7.0%
Pharma & Biotech 3 5.0%
Real Estate 1 7.4%
Restaurants 1 4.6%
Retail 1 6.1%
Semiconductors 4 3.7%
Services 2 5.9%
Software 6 9.6%
Sporting Goods 2 7.7%
Stationery / Paper 1 10.0%
Telecom / Communications 3 5.8%
Toys & Games 3 9.7%
Travel 1 5.6%
Trademarks and Copyright 1 10.6%
Greeting Cards & Giftwrap 1 3.5%
Household Items (cups, sheets, towels) 1 5.5%
Fabrics & Apparel 1 6.0%
Posters & Prints 1 10.0%
Toys & Dolls 1 5.5%

Compiled using our database of 42 royalty surveys.

Please note that royalties may be spread over a range from 0% to three times the “average royalty” and that the above average royalty rates should only be used to support royalty rates determined using first principles.

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