Play Reimagined: New Revenue Streams for Toy Companies

Delivery

This report comes in PPT.

Key Findings

Traditional toys growth is slowing over the forecast period

Sales of traditional toys are projected to increase at a CAGR of just 1% over the forecast period. Toy companies must embrace innovation and explore new business models and reimagine toys to grow their revenues streams.

Sensory aspect of physical toys is still valued by consumers

Toys promote hands-on exploration, creativity, imagination and social interaction. Parents will continue buying toys for their children and the rise of “kidults” will continue to drive demand for traditional toys.

New business models to exploit more revenue from IPs

Toy companies could still extract more from their IPs and need to push to attract new consumer demographics such as older consumers and engaged consumers who are eager to help shape the future of toys.

Digitalisation of toys ushers a new era of interactive play

As consumers spend more time online, toys need to adapt accordingly to cater to the change in lifestyles. Toys need to offer interactivity and be fun and engaging to appeal to these consumers who are seeking new ways to play with their toys.

Experiential play enhances the play experience

The excitement of a new toy every month, the exploratory experience of discovering a new toy in a store or engaging with like-minded toy lovers in the metaverse can create a memorable and immersive experience.