Industry composite royalty rates can be applied in practice.  These market-based benchmark royalty rates measures give support for various purposes.  The royalty rate reports available include an

1. Annual Summary that details the average, median, maximum, minimum and interquartile range royalty rate benchmark measures for 15 different industries.
2. Industry Overview that details license party profiles and a more in-depth royalty rate analysis of benchmark measures and high-level deal terms by licensee product.

Transactions —Control compensation expectations in licensing and purchase/sale of IP transactions by establishing the royalty rates playing field.
Litigation — Lower infringement damage litigation costs by using royalty rate benchmarks to model possible damage awards before moving forward with costly litigation.
Financial Reporting — Test royalty rate analysis to strengthen intangible property valuation analysis and supporting documentation under audit review in purchase price allocations under IFRS 3/ FASB ASC 805.
Taxation — Test intercompany transfer pricing agreements using benchmark royalty rate data and the interquartile range

Access our benchmark reports resources here.