The Smiley Company Explained

Smiley Company
Type:Private
Industry:Brand licensing, Marketing
Predecessors:-->
Successors:-->
Founded: in France
Founders:-->
Hq Location City:London
Hq Location Country:England
Area Served:Global
Key People:Franklin Loufrani (Founder & President)
Nicolas Loufrani (CEO)
Owners:-->
Revenue:$ 538 million (2020)[1]
Num Employees:40 (2016)[2]
Subsid:SmileyWorld

The Smiley Company is a brand licensing company, based in London, United Kingdom. It claims to hold the rights to the smiley face in over 100 countries.[3] [4] [5] The company creates products including textiles, puzzles, party goods, stationery, automobile accessories, and toys for licensed brand partners and retailers.[6] [7]

History

Franklin Loufrani worked as a journalist in France during the 1960s and 70s. While working for the newspaper France-Soir, he was tasked with creating a new segment in the paper, focused on good news.[8] [9] [10] Loufrani decided that the segment should focus on good news stories, but also needed a design to draw readers attention to the new section.[11] The concept he came up with was a smiling face, to be used as part of the logo, replacing the "o" in France-Soir.[12] The logo with the new smiley and subsequent good news segment were first used in the newspaper on January 1, 1972, and was accompanied with the slogan, "Take The Time To Smile."[13] According to recent publications from France-Soir, the new "good news" section was a huge success and caused other European-based newspapers to follow the trend.

While the Loufrani-designed smiley first appeared in print in 1972, he had foreseen its potential and taken the design to the French trademark office in October 1971 and begun the process of trademarking the design in France.[14] While licensing in the United States was becoming an increasingly popular commercial venture, in Europe it was still quite rare to see companies specialise in nothing but licensing.[15] After Loufrani's trademark was copyrighted, he quit his job as a journalist and began to look into options of how to commercialise the trademark. France at the time was dealing with the aftermath of numerous civil movements, including May 68 which began with student protests. Loufrani used this as an opportunity to increase awareness of the smiley and gave away stickers to French university students initially. The stickers became an overnight cultural success, appearing all over the country on lampposts and car bumpers. It spread from university students to the general public, with Loufrani giving away 10 million in total.

Its success meant brands were more interested in working with the smiley as part of one-off campaigns. In the mid-1970s, came Loufrani's first major deal. The forerunner to M&M's in Europe were known as Bonitos, with Loufrani agreeing a deal for smiley's to be printed on the front of the chocolates. Other large corporations began to deal with Loufrani, including Levi's who were the first fashion brand to use a smiley on its jeans in the 1970s.

While other smiling faces had been used in marketing and advertising elsewhere globally,[16] many of them used terms such as "happy face" and "smiling face." Loufrani was not the first documented person to use the term "smiley."[17] [18] [19] By the 1990s, Franklin and his son Nicolas Loufrani held trademarks for the symbol in around 70 countries and had licensed the smiley to brands including Levi Strauss & Co. In 1996, the Loufranis founded the Smiley Company in London, England, built around the Smiley brand. In 1997, Nicolas created hundreds of emoticons, including a 3D smiley logo.[20] [21] [22] [23] [24] His images, registered with the United States Copyright Office in 1997, were first published as GIF files on the internet in 1998, making them the first graphical emoticons used in technology.[25] [26] He launched the SmileyWorld brand shortly thereafter.[27] [28] In the early 2000s, the company licensed the rights to their emoticons to telecom companies, including Nokia, Motorola, Samsung, amongst others.[29] Nicolas Loufrani compiled his graphical emoticons, along with other existing images used for communication, into an online dictionary[30] which was divided into categories,[31] and by 2002, the dictionary included over 3,000 images.[32]

In 1997, The Smiley Company filed a trademark application with the United States Patent and Trademark Office. In 2001, Walmart opposed the registration, citing potential confusion between their design and Loufrani's.[33] Nine years later, the USPTO initially sided with Walmart, before another federal court case was brought forward by Smiley in 2009.[34] In 2011, the companies settled out of court.[35]

In 2005, the company announced the creation of the Smiley World Association, later renamed Smiley Fund and now Smiley Movement, as a charitable arm of the company, to which it donates 10 percent of its profits.[36] [37] In 2017, the company was responsible for 210 million products, that were sold under partnership and licensing agreements.[38]

In 2018, Loufrani announced the creation of a new non-profit organisation, The Smiley Movement. It operates Smiley News, which produces positive news stories. Journalists have recently commented on the growing trend in the west of people avoiding the news entirely. 36% in the UK said they sometimes or often actively try to avoid the news in 2024.[39] In interviews, Loufrani has spoken about the need for positive press to improve the mood of readers.

License Global magazine listed the company as one of the most influential brands of the 2010s in its December 2020 summary of the brands of the decade list. In early 2021, it was announced that The Smiley Company had produced a short film about the history of the Smiley in the run-up to the 50th anniversary since it was created by Franklin Loufrani.[40]

Fashion

In 2007, The Smiley Company set up a design studio in London. The company worked with a number of fashion houses from 2007 onwards, including the Moschino campaign, “Smiley for Moschino.”[41] In 2017, Smiley partnered with Crocs to create Smiley Jibbitz, charms which could be worn on Crocs.[42] They partnered again in 2021 with a smiley designed croc shoe.[43]

By 2022, the fashion division of Smiley Company generated €200 million in sales annually.

Business model

The Smiley Company's business model has been compared to Peter Drucker's theory that corporations could operate with a small team of senior management, with partnerships and outsourcing a major component when bringing products to market. In the book The Michelangelo Project: Making It in the Digital Century Workforce, author Isabel Wu explained that The Smiley Company deployed a real-world example of Drucker's business theory. Its vast library of images, designs and concepts are then used by other companies to develop and manufacture products.

Notes and References

  1. Web site: The Top Brands of the Decade . License magazine . December 2020 . 2024-08-15 . 2021-10-27 . https://web.archive.org/web/20211027090201/https://www.licenseglobal.com/node/71726#36 . live .
  2. Web site: Qui a Inventé le Smiley? Son Histoire va Vous Surprendre . . Marc. Hervez. 9 May 2016.
  3. Web site: Ses Petits Smiley Lui Rapportent de Plus en Plus Gros. Capital. Stéphane. Loignon. 3 August 2009. 5 August 2017. 16 February 2017. https://web.archive.org/web/20170216181630/http://www.capital.fr/enquetes/hommes-et-affaires/ses-petits-smiley-lui-rapportent-de-plus-en-plus-gros-423154. live.
  4. Web site: Wal-Mart Seeks Smiley Face Rights. BBC News. 8 May 2006. 5 August 2017. 4 November 2012. https://web.archive.org/web/20121104020132/http://news.bbc.co.uk/2/hi/business/4984138.stm. live.
  5. Web site: Profile: Smiley World. Transform Magazine. Jeremy. Owen. 29 March 2016. 5 August 2017. 5 August 2017. https://web.archive.org/web/20170805221121/http://www.transformmagazine.net/articles/2016/profile-smiley-world/. live.
  6. Smiley, Souriez, c'est Français!. LSA. Veronique. Yvernault. 30 April 2014. 5 August 2017. 17 November 2015. https://web.archive.org/web/20151117024155/http://www.lsa-conso.fr/smiley-souriez-c-est-francais,171796. live.
  7. Web site: Smiley Bets Big on Merchandise Market . The Hindu BusinessLine . Priyanka . Pani . 20 January 2014 . https://web.archive.org/web/20140626211721/https://www.thehindubusinessline.com/companies/smiley-bets-big-on-merchandise-market/article5597660.ece . 26 June 2014 . dead.
  8. Book: Stamp. Jimmy. Who really invented the Smiley face. 13 March 2013. Smithsonian. Washington DC. 29 May 2015. 15 April 2014. https://archive.today/20140415233744/http://www.smithsonianmag.com/arts-culture/who-really-invented-the-smiley-face-2058483/?no-ist. live.
  9. News: William H. . Honan . William H. Honan . H. R. Ball, 79, Ad Executive Credited With happy Face . . 14 April 2001 . 29 August 2009 . 29 June 2019 . https://web.archive.org/web/20190629121520/https://www.nytimes.com/2001/04/14/us/h-r-ball-79-ad-executive-credited-with-smiley-face.html . live .
  10. Web site: Cecil . Adams . . Who invented the smiley face? . 23 April 1993 . 18 April 2011 . 18 May 2013 . https://web.archive.org/web/20130518141340/http://www.straightdope.com/columns/read/961/who-invented-the-smiley-face . live .
  11. Web site: Smiley ou l'histoire d'une OPA sur un sourire. Le Figaro. Florentin. Collomp. 5 January 2010. 5 August 2017. 17 July 2017. https://web.archive.org/web/20170717140043/http://www.lefigaro.fr/societes/2010/01/05/04015-20100105ARTFIG00704-smiley-ou-l-histoire-d-une-opa-sur-un-sourire-.php. live.
  12. Web site: Il y a 50 ans, le smiley faisait son apparition chez France-Soir . . French . March 13, 2022.
  13. Web site: Behind the HYPE: The Surprising Beginnings of the Smiley Face Design . 5 May 2020 . Hype Beast.
  14. Web site: Smiley Face is Serious to Company. The New York Times. Thomas. Crampton. 5 July 2006. 25 February 2017. 14 January 2017. https://web.archive.org/web/20170114092237/http://www.nytimes.com/2006/07/05/business/worldbusiness/05smiley.html. live.
  15. Web site: Crockett . Zachary . The $500m smiley face business . The Hustle . July 8, 2022 . August 15, 2024 . June 25, 2024 . https://web.archive.org/web/20240625003912/https://thehustle.co/who-owns-the-smiley-face . live .
  16. Web site: Focus on Deejay Scene . . 34 . 15 December 1962.
  17. News: THE STORY OF ONE CHINESE FAMILY . 1934-12-20 . 8 . The Stuart Advocate . Stuart, Nebraska . Newspapers.com . 2023-12-01 . Dr. Esther Morse.
  18. News: Forecast: Bright and smiley faces when you serve this double treat. . 1954-07-18 . 107 . Fort Worth Star-Telegram . Fort Worth, Texas . Newspapers.com . 2023-12-01 . 2024-08-15 . https://web.archive.org/web/20240815193749/https://www.newspapers.com/article/fort-worth-star-telegram-forecast-brigh/136105903/ . live.
  19. News: Mr. C. C. Reece . 1909-01-19 . 3 . New Berne Weekly Journal . New Bern, North Carolina . Newspapers.com . 2023-12-01.
  20. Web site: With the smiley, "we get to relax everybody". 4 February 2016. Europe 1. 5 August 2017. 5 August 2017. https://web.archive.org/web/20170805222619/http://www.europe1.fr/societe/avec-le-smiley-on-arrive-a-decontracter-tout-le-monde-2662759. live.
  21. Web site: Dear . Brian . PLATO Emoticons, revisited . www.platohistory.org . 19 September 2012 . 2017-08-10 . 2017-09-07 . https://web.archive.org/web/20170907225233/http://www.platohistory.org/blog/2012/09/plato-emoticons-revisited.html . live .
  22. Web site: The History of Smiley Marks . Staff.aist.go.jp . 2013-03-14 . dead . https://web.archive.org/web/20121203061906/http://staff.aist.go.jp/k.harigaya/doc/kao_his.html . 3 December 2012 .
  23. Web site: Yasumoto-Nicolson . Ken . The History of Smiley Marks (English) . Whatjapanthinks.com . 2007-09-19 . 2017-08-10 . 2021-05-01 . https://web.archive.org/web/20210501111054/https://whatjapanthinks.com/2007/09/19/turns-25-but-how-old-are-japanese-emoticons/ . live .
  24. Web site: Jargon file, version 2.6.1, February 12, 1991 . 2013-03-14 . 2010-05-27 . https://web.archive.org/web/20100527213335/http://catb.org/jargon/oldversions/jarg261.txt . live .
  25. Web site: Emoji Users Are Shaping The Future Of Messaging. Rene Mahfood. The Light Magazine. 2017-08-05. 2017-08-05. https://web.archive.org/web/20170805221736/http://www.thelightmag.com/preferences-changes-in-social-media-marketingroberta-b-turner/. live.
  26. Web site: Niclas Loufrani in the Interview: "My father has invented the smiley face.". 23 June 2014. inter/VIEW.
  27. Book: Symbols: A Universal Language. Michael O'Mara Books. 25 October 2013. 978-1782430735. 15 August 2024. 15 August 2024. https://web.archive.org/web/20240815193809/https://books.google.com/books?id=XRbdAgAAQBAJ&q=Nicoloas+Loufrani#v=snippet&q=Nicoloas%20Loufrani&f=false. live.
  28. Web site: The Big Interview: Nicolas Loufrani, CEO, Smiley. Licensing.biz. Samantha. Loveday. 22 May 2015. 5 August 2017. 14 September 2015. https://web.archive.org/web/20150914083416/http://www.licensing.biz/big-interviews/read/the-big-interview-nicolas-loufrani-ceo-smiley/042070. dead.
  29. Web site: SmileyWorld's CEO Nicolas Loufrani on Plagiarism, the School Market and a Push for More Toys. Licensing.biz. Jade. Burke. 7 March 2016. 5 August 2017. 5 August 2017. https://web.archive.org/web/20170805222028/http://www.licensing.biz/big-interviews/read/smileyworld-s-ceo-nicolas-loufrani-on-plagiarism-the-school-market-and-a-push-for-more-toys/043525. dead.
  30. Web site: Emoting Out Loud: The Origin of Emojis. di9it. Souvik. Das. 4 August 2016. 5 August 2017. 5 August 2017. https://web.archive.org/web/20170805224613/http://www.digit.in/internet/emoting-out-loud-the-origin-of-emojis-31252.html. live.
  31. Web site: A picture paints a thousand words: Today is World Emoji Day. Jack Quann. 17 July 2015. News Talk. 5 August 2017. 11 August 2015. https://web.archive.org/web/20150811013424/http://www.newstalk.com/Emojis-World-Emoji-Day-history-of-emoji-Ireland-Nicolas-Loufrani-Vyv-Evans. live.
  32. Web site: Who invented the Smiley? Its history will surprise you…. Marc Hervez. 9 May 2016. Le Parisien. 5 August 2017. 15 August 2024. https://web.archive.org/web/20240815193821/https://www.leparisien.fr/economie/business/qui-a-invente-le-smiley-son-histoire-va-vous-surprendre-09-05-2016-5777881.php. live.
  33. Web site: Scott's Wal-Mart in Trademark Clash Over Smiley Face. Forbes. Parmy. Olson. 8 May 2006. 16 September 2017. 11 August 2018. https://web.archive.org/web/20180811134846/https://www.forbes.com/2006/05/08/walmart-smiley-trademark-cx_po_0508autofacescan08.html. live.
  34. Web site: Walmart's Smiley is back after 10 years and a lawsuit . Smith . Aaron . . 3 June 2016 . 2017-07-16 . 2017-06-26 . https://web.archive.org/web/20170626204928/http://money.cnn.com/2016/06/02/news/companies/walmart-smiley/index.html . live .
  35. Web site: Law . Natasha . From Nirvana and Marc Jacobs to the Smiley Co. and Walmart, the Enduring Fight for the Smiley Face . September 2019 . TheFashionLaw . 2024-08-15 . 2024-04-17 . https://web.archive.org/web/20240417183149/https://www.thefashionlaw.com/from-nirvana-and-marc-jacobs-to-the-smiley-co-and-walmart-the-enduring-fight-for-the-smiley-face/ . live .
  36. Web site: Van Es Shows Off Home Textile Range for Smiley. License Global. 11 January 2010. 5 August 2017. 5 August 2017. https://web.archive.org/web/20170805220528/http://www.licensemag.com/license-global/van-es-shows-home-textile-range-smiley. live.
  37. Web site: A Smiley Face Goes a Long Way. The Guardian. Eva. Wiseman. 2 July 2006. 5 August 2017. 15 August 2024. https://web.archive.org/web/20240815193815/https://www.theguardian.com/business/2006/jul/03/supermarkets.usnews. live.
  38. Book: Wu . Isabel . The Michelangelo Project: Making It in the Digital Century Workforce . 120.
  39. Web site: Kelly . Laura . How the Smiley evolved from newspaper icon to movement for a better world . . March 18, 2024 . August 15, 2024 . April 16, 2024 . https://web.archive.org/web/20240416211115/https://www.bigissue.com/life/how-the-smiley-evolved-from-newspaper-icon-to-movement-for-a-better-world/ . live .
  40. Web site: Tracing 50 years of the iconic Smiley, a symbol of defiant optimism . . January 6, 2021 . August 15, 2024 . December 10, 2023 . https://web.archive.org/web/20231210005758/https://www.dazeddigital.com/life-culture/article/51567/1/tracing-50-years-of-the-iconic-smiley-a-symbol-of-defiant-optimism . live .
  41. Web site: The Smiley Company's Evolution From Licensor to a €350m Lifestyle Brand . Business of Fashion . March 15, 2022.
  42. Web site: Halliday . Sandra . Smiley and Walton Brown in Asia licensing deal, also links with Crocs . Fashion Network . April 25, 2017 . August 15, 2024 . December 2, 2023 . https://web.archive.org/web/20231202152759/https://uk.fashionnetwork.com/news/smiley-and-walton-brown-in-asia-licensing-deal-also-links-with-crocs,820201.html . live .
  43. Web site: Crocs Give Its Classic Clog a Vibrant Smiley Makeover . Hype Beast . May 17, 2021 . August 15, 2024 . May 2, 2023 . https://web.archive.org/web/20230502174750/https://hypebeast.com/2021/5/crocs-clog-smiley-yellow-sandal-hbx-release-info . live .

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