Traditional Toys and Games Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

Traditional Toys and Games Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

The Global traditional toys and games market is projected to grow at a CAGR of 3.1% during the forecast period, 2022 - 2027.

As an impact of COVID-19, the market witnessed a strong growth among the high-income and middle-income consumers, leading to the launch of numerous stay-at-home product ranges by the leading players. During the pandemic, toys and games sales were primarily driven by the online retail of products. However, due to delays in much-anticipated movie releases like “Trolls World Tour” and “Top Gun: Maverick,” the toys, collectibles, and other merchandise based on the character of these movies that already reached the retailer stores observed no or minimal sales. Thus, it negatively impacted the market growth over the medium term.

The core strategy used by toy manufacturers to attract children is to commercialize favorite movies and cartoon characters such as Spiderman, Ironman, Superman, and Doraemon. Moreover, construction toys are driving the market, as it aids the children in developing their brains and inculcates different learning methods.

Players in traditional toys and games must adapt to the digital era to stay relevant to children. Children are spending more time online, especially on mobile devices, which is expected to restrain the future market studied.

Parents are increasingly encouraging their kids to buy outdoor and sports toys due to the growing prevalence of childhood obesity and other health problems in many countries across the globe. Apart from outdoor and sports toys, demand for construction toys is also growing fast, mainly driven by their vast cognitive and intellectual benefits among kids of different age groups. Currently, parents and teachers are recognizing the importance of these construction toys for fostering spatial and creative skills among preschool kids. Thus, the sales of this traditional toy variety are increasing. Also, the rising usage of construction toys among adult kids to boost their learning capabilities is one of the key factors driving the overall growth of this traditional toy category. In the last few years, several toy manufacturers have focused on bringing new shapes and design options that allow children to create an array of innovative constructions.

In Asia-Pacific, the nations are witnessing a significant surge in disposable income due to which parents are increasingly focusing on their child’s development, in which toys and games play an important role. In addition, China abolished its one-child policy. Thus, there is a rise in the child population, which may fuel the growth of the toys and games market during the forecast period. Additionally, parents and educators prefer to develop child’s skills through educational toys rather than giving them core skills, which is anticipated to offer lucrative opportunities for the toys and games market. Moreover, India and China are the two prominent countries across the region, and several vendors are entering the market.

Further, the growing number of middle-class groups and an increasing number of retail outlets are some of the factors that are fueling the demand for toys and games. Furthermore, the growing interest of children and their parents in art-based gadgets, science & technology, and math is positively impacting the sales of educational toys and games. Thus, these factors are anticipated to propel the growth of the regional toys and games market in the upcoming years.

Some of the key players in the global market are Hasbro Inc., Dream International Limited, Kirkbi A/S (LEGO System A/S), TOMY, Moose Enterprise Holdings Pty Ltd (Moose), AKKS Pacific Inc., Simba-Dickie Group, Funskool (India) Ltd., Mattel, BANDAI NAMCO Holdings Inc., NetEase, Inc. and are focusing on R&D to launch innovative games as per consumer preference. Moreover, the kids' comfort and safety are considered while making a new product. Manufacturers are focusing on expanding their sales or business by broadening their product offerings or setting up new production plants in the global market.

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