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NHLPA’s Adam Larry discusses exclusive trading card deal with Upper Deck

By Susan Lulgjuraj | Beckett Hockey Editor

When Upper Deck, the NHL and NHLPA announced an exclusive trading card deal on Thursday, many collectors wondered why.

The NHL has been a two-company league for the past four years with UD and Panini America.

However, one of the biggest reasons is that handling one company is easier than dealing with multiple entities, cutting the maintenance in half while still maintaining an acceptable level on cards. While years and money were not disclosed, the NHL and NHLPA likely wouldn’t cut into their revenue by 50 percent by eliminating one of their partners.

Adam Larry, NHLPA Director of Licensing, thnks that early on there will be less products after a Double Rookie Class year. However, Upper Deck will determine the exact amount of products that will be created — which Upper Deck has not yet determined.

“Of the benefits, one of the big ones is being able to control number of products a little better,” Larry told Beckett Media. “One of the things we were hearing is there was probably a little too much product out there right now.”

Between Upper Deck and Panini America, about 25 NHL-licensed sets were produced from low- to high-end in 2011-12. Add In The Game, and there were nearly 30 hockey releases that year. The season after, the companies produced at a much lower volume because of the NHL Lockout.

The concern with an exclusive by collectors is that it creates contentment for any one company. Many believe that competition fosters innovation and creativity.

Larry said this was a concern considered when looking at an exclusive agreement and spoke to many partners about it, but decided an exclusive was the best course.

“I think that’s an obvious concern,” Larry said. “I think we look at it in a couple of ways. If you really know the people at Upper Deck, I think they are their own biggest competitors. They are striving to produce the best possible product for collectors. I don’t see them sitting on their laurels. If they don’t put out great product, people won’t buy it.”

One of the things that worked in Upper Deck’s favor was that it has been producing NHL cards since the 1990-91 season – next year would be its 25th anniversary in the sport. Names such as Young Guns, The Cup and Ice have become synonymous with the brand and hockey.

“It definitely helps in terms of the brand equity,” Larry said. “Having put out some products for 25 years, these were the same products I collected as kid. I can now collect the same product 25 years later with my kids. That brand equity has been able to build up for 25 years.”

Susan Lulgjuraj is an editor at Beckett Media. You can email her here with questions, comments or ideas. Follow her on Twitter here. Follow Beckett Media on Facebook and Twitter.

7 Comments

Anthony C

Love the announcement!

Posted February 27, 2014 at 5:22 pm | Permalink
Paul

Yeah like UD won’t produce a ton of sets with this being the only license they have

Posted February 27, 2014 at 6:15 pm | Permalink
Lloyd C

Terrible news. Two manufacturers made things competitive. Not a fan of this at all.

Posted February 27, 2014 at 8:00 pm | Permalink
joe

Let’s see, Topps has the baseball license and they produce way to may products/year.Most of which are crap. Panini has the only basketball license and they produce way to many products/year. Most of which is crap. So do they think that UD will not do the same. This is why I basicly stopped collecting.

Posted February 27, 2014 at 8:30 pm | Permalink
Andre

How do they have the nerve to count ITG products in the total number of releases, when they wouldn’t & haven’t been given a license???

It’s not exactly hard to tell each company, you are only permitted to put out X amount of sets/products. It has been done before. Now giving a company completely free reign to do what ever they want.
I wonder if UD will just cut to the chase and put out a product with only redemptions? There is going to be a huge increase with this lack of competition.

Posted February 27, 2014 at 9:18 pm | Permalink
Mark

Welcome to a new era of stagnation in the hockey card market. Just look at what has become of the baseball cards. If you tell me a difference in what Topps has done in 2012, 2013, or what they have planned for 2014, then you get a gold star.

Posted February 28, 2014 at 8:15 am | Permalink
Susan Lulgjuraj

Andre, I included the number with ITG just to give context. The NHLPA did not mention ITG.

Posted February 28, 2014 at 10:06 am | Permalink

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