Charlie is surprised by the call from his procurement department asking about the trademark renewal service. He has been working with the same service provider for years and he is happy with their performance. Trademarks are renewed like clockwork and he’s paying a fair amount, or at least that’s what he thinks.
Procurement suspects that Charlie is missing something. They are right.
The service fee is reasonable; however, Charlie’s unaware of the 20% foreign currency markup and that the agent fees are not competitive. Plus, Charlie is paying for an unneeded level of renewal service. Charlie feels, well, embarrassed.
To ensure you will not end up like Charlie, Dennemeyer is hosting a webinar, the Secret World of Trademark Renewals, on December 16, 2015 at 1PM CST.
This webinar dives into the cost components of a trademark renewal and breaks down actual renewal invoices to reveal what companies are actually paying. After this webinar, you will be poised to evaluate your trademark renewal costs.
For a webinar taste, here are the 7 Main Cost Categories of a Trademark Renewal:
1. Official Fee
The Official Fee is charged by each Patent and Trademark Office to renew the trademark and does not vary by provider.
2. Agent Fee
The Agent Fee is highly variable for two reasons. First, each provider has a set of jurisdictions that they pay directly, thus eliminating agent fees for that jurisdiction. Second, even if two providers both pay through an agent in a jurisdiction, the fee can vary significantly.
As the second largest global renewal provider, Dennemeyer’s established and annually reviewed agent network provides some of the best industry rates. Through our invoice analysis, we’ve discovered difference of over $200 per mark in jurisdictions between our lower agent fee and the other provider’s.
3. Service Fee
The Service Fee is the stated fee the renewal provider charges for conducting the service. This fee varies based on the nature of the renewal service and varies by portfolio size. Typically, people focus on the service fee. Interestingly, other charges can have a larger impact on the renewal cost.
Dennemeyer provides tiered service options that you can choose from regardless of portfolio size. Your choice to match your needs. Our standard service is just $39 per mark - for everyone.
4. Foreign exchange fees
Many renewal providers mark up their exchange rates above the prevailing interbank exchange rate. These can vary wildly from one renewal provider to the next. Typically, this markup is to cover currency acquisition costs. However, some providers pad this percentage to increase profit margins.
5. Legalization and Notarization Costs
Various countries require notarization and legalization of renewal documents. This can be expensive and fluctuates by provider.
Want to know more? Be prepared to ring out maximum value in 2016 and register today for the Secret World of Trademark Renewals, on December 16, 2015 at 1PM CST. Seats are limited.
This example is hypothetical and is used for marketing purposes. Any similarity to an actual situation is unintended. Not all trademark renewal providers charge foreign currency markups.