Kornit Digital Empowers Licensed Merchandise Industry with On-Demand Production Strategies at Brand Licensing Europe 2026

The global licensed merchandise sector is currently undergoing a structural transformation as manufacturers pivot away from traditional, forecast-driven supply chains toward agile, on-demand production models. As the industry prepares for the 2026 edition of Brand Licensing Europe (BLE), scheduled to take place in London from October 6-8, Kornit Digital has emerged as a key proponent of this shift. By utilizing advanced digital textile printing technologies, the company aims to demonstrate how rights holders and licensees can mitigate the volatility inherent in entertainment, sports, and pop-culture markets.

The Shift from Forecasts to Fulfillment

For decades, the licensed merchandise industry has relied on a high-risk operational framework. Producers typically had to commit to large-scale production runs months in advance, often based on speculative sales forecasts for films, musical tours, or sports events. This model forced companies to balance the risk of overproduction—which leads to dead stock, heavy discounting, and environmental waste—against the risk of stockouts during peak fan engagement periods.

Kornit Digital’s strategy centers on the principle of "production on demand." By aligning manufacturing cycles with actual consumer purchasing patterns, producers can effectively eliminate the need for massive pre-season inventory. This model allows for a "pull" rather than "push" supply chain, where garments are decorated only after an order is placed. This methodology is particularly relevant in the entertainment sector, where fan interest can spike overnight due to social media trends or unexpected viral content, leaving traditional supply chains unable to react in time to capitalize on the momentum.

Brand Licensing Europe 2026: A Hub for Innovation

Brand Licensing Europe (BLE) serves as the premier annual event for the licensing industry, connecting retailers, manufacturers, and brand owners. The 2026 event, hosted at ExCeL London, will bring together thousands of industry professionals to navigate a landscape increasingly defined by digital transformation.

Kornit Digital’s presence at stand D214 is designed to showcase the practical applications of their hardware and software ecosystem. Beyond the technical capabilities of their printers, the company is focusing on the business logic of modern licensing: the ability to maintain a consistent brand identity while producing goods in disparate global locations. By enabling localized production, Kornit argues that companies can reduce carbon footprints associated with shipping while simultaneously adhering to local consumer preferences and regional regulatory requirements.

Chronology and Industry Evolution

The transition toward on-demand printing is not a sudden trend but the result of a multi-year evolution in digital textile technology.

• 2020–2022: The global pandemic acted as a major catalyst, exposing the fragility of long-distance supply chains. Companies faced unprecedented delays, forcing a rethink of centralized, overseas manufacturing.
• 2023–2024: The industry saw a surge in the adoption of direct-to-garment (DTG) and direct-to-fabric technologies. Sustainability goals, mandated by both consumer pressure and impending regulations in the EU and North America, began to favor low-waste, digital processes over traditional screen printing.
• 2025: The integration of AI-driven demand forecasting tools with automated digital printing workflows became a standard offering for mid-to-large-tier producers.
• 2026: On-demand production is now moving from a niche offering to a competitive necessity for licensees seeking to manage risk in high-velocity markets.

Data-Driven Insights and Economic Implications

The economic argument for on-demand production is rooted in inventory turnover ratios and margin preservation. Traditional screen printing requires high minimum order quantities (MOQs) to amortize the cost of setup, such as screens and chemical preparation. If a licensed design fails to resonate with the target audience, the resulting inventory is often written off at a significant loss.

Industry data suggests that adopting digital on-demand models can reduce inventory risk by up to 80% for volatile product lines. Furthermore, the "long tail" of licensing—merchandise for niche characters, obscure fan communities, or legacy artists—becomes commercially viable under this model. Previously, these designs were excluded from production because they could not reach the high sales volumes required by traditional manufacturers. Today, rights holders can offer an expansive catalog of merchandise, testing the market with minimal financial exposure.

Official Perspectives on Industry Agility

Guy Yaniv, President of Kornit Digital Europe, emphasized the strategic necessity of this transition in recent industry commentary. "Licensed merchandise is all about capturing the connection between fans and the culture they love, and those moments can happen incredibly fast," Yaniv noted. "On-demand production gives the industry the agility to respond when those moments happen, while reducing the inventory risk that has traditionally come with expanding merchandise portfolios."

This sentiment is echoed by current users of the technology. Companies like Sweden’s Hybris Production have successfully integrated these systems into their workflow to serve the movie merchandise market. Similarly, firms such as Basic Thinking and Fifth Column have applied these digital methodologies to the music industry, where demand for tour-related merchandise can fluctuate drastically depending on the success of an album launch or a viral social media moment.

The Personalization Factor

A critical advantage of the digital printing ecosystem highlighted by Kornit is the capacity for personalization. Modern consumers, particularly Gen Z and Millennial cohorts, demonstrate a strong preference for bespoke products. Digital textile printing allows for the addition of names, specific dates, or regional branding to standard licensed items without disrupting the production line.

Moreover, this technology enables "distributed manufacturing." Rather than manufacturing in one central location and distributing globally, licensees can utilize a network of localized micro-factories. This not only speeds up delivery times but also mitigates the risks associated with global logistics disruptions, such as port closures or sudden tariff increases.

Broader Market Implications

The push toward on-demand printing is fundamentally altering the relationship between the licensor and the licensee. With reduced risk, brand owners are more willing to grant licenses to a wider variety of partners, as the barrier to entry—specifically the capital requirement for inventory—is significantly lowered.

Furthermore, this shift addresses the mounting pressure for environmental accountability. The textile industry is frequently criticized for its contribution to landfill waste through overproduction. By printing only what is sold, licensees can make a tangible claim toward sustainability, a metric that is increasingly being used by major retailers to evaluate their supply chain partners.

Conclusion: A New Standard for Licensing

As attendees gather at Brand Licensing Europe 2026, the discussion will inevitably revolve around the tension between speed and sustainability. Kornit Digital’s focus on the intersection of these two priorities suggests that the future of licensed merchandise is not found in massive, automated factories turning out millions of identical units, but in highly responsive, technology-enabled hubs that treat every garment as an individual data point.

The integration of on-demand production represents a maturation of the licensing sector. By shedding the reliance on speculative forecasting and embracing the flexibility of digital manufacturing, the industry is positioning itself to be more resilient, more diverse, and more aligned with the immediate desires of the global consumer base. For stakeholders in the textile, fashion, and entertainment sectors, the lessons presented in London this October may define the operational standards for the remainder of the decade.