The Big Interview - with Malcolm Ottley, VP of sales EMEA at Funko

Something for every fan

With its broad range of appeal, Funko is in a solid position despite the pandemic and global uncertainty, as Malcolm Ottley, VP of Sales EMEA, explains

What’s your career background?

After 10 years in the toy industry with Hasbro, within a number of senior roles in both the UK and Germany, I was given the opportunity to join Funko in Sept 2020 at an incredibly exciting time; to help lead the EMEA sales team into the next phase of their growth journey.

Tell us a little bit about Funko.

Everyone is a fan of something, and at Funko we have something for every fan. Whether you are eight or 80, our USP as a business is our wide product offering, newness rolling in monthly across a multiple of genres, and our products spread

Funko isn’t like “ other ‘toy’ companies. The average age of our fans is mid30s, and our products are largely sold to be collected ”

Fact!

Over the course of the pandemic, Funko launched its own direct to consumer business - www.funkoeurope. com - to extend its reach to its current consumer base

across several categories. We are a ‘one-stop’ shop for all your crosscategory needs.

How has trading been in the past 12 months?

The biggest plus for me since joining Funko is the incredible demand for our products from consumers and fans.

What opportunities has the pandemic created?

While it was a difficult time for all, the pandemic presented an opportunity to step back and assess the business and make some changes in a number of key areas, which should ultimately benefit our partners and consumers in the longer term.

We launched our own direct to consumer [DTC] business - www. funkoeurope.com - during this time, which has extended our reach to our current consumer base.

From a fan engagement perspective, company-wide, we leveraged virtual platforms to create fun and immersive fan experiences when in-person events weren’t possible. You’ll continue to see those virtual elements going forward, as they’ve been tremendously popular with our fans - and successful for the company. Covid put paid to movie releases for some time - how did you handle this with such a large part of your business being related to film licences?

Our business thrives on evergreen content, meaning that about two-thirds of our product assortment is not tied to big theatrical releases.

For 2022, we have a fantastic opportunity to support big tentpole programmes with a now-packed movie release calendar, but that will be incremental to that core strength in fanfavourite evergreen content.

Apart from Covid, what’s the biggest challenge and opportunity facing toy retailers?

It’s worth reminding readers that Funko isn’t like other ‘toy’ companies. The average age of our fans is mid-30s, and our products are largely sold to be collected. We have a DTC channel and extensive wholesale partnerships across a broad set of channels and product categories.

We’re not immune to global uncertainty, but we feel pretty good about the business we’ve built, both in the UK and as a global brand.

How do you see the company developing over the next 12 months?

Product diversification into new areas such as games and softlines is one of our key priorities, as well as continued investment in our core Pop! Vinyl business and expansion of our DTC platforms.

How will you support your retail partners in 2022?

We look forward to working closely with our retail partners in 2022 and give them greater visibility of our tremendous product portfolios, enabling us to plan better for events and key launches.

What can visitors look forward to from Funko at the upcoming trade shows?

Toy Fairs are always a great opportunity for us to showcase the innovation that is happening at Funko and celebrate what makes our company unique.

We’re working with new IP in some highly popular and growing genres. This is specifically to bring in new audiences, who are not necessarily familiar with our product line - we’re excited to be showcasing new product in music, sports and anime. Is there anything that visitors shouldn’t miss? I remember my very first day with Hasbro was a product preview with a prominent UK retailer. I recall we had a very tense meeting and it did not go well. I remember thinking ‘what have I done? – I thought this was a fun industry where we just played with toys all day!’ Thankfully, things quickly sorted themselves out and I went on to experience much more of the brighter side of the industry, including meeting many of its unique characters over the following years.

We’re excited to welcome everyone to the Funko booths at both Nuremberg and London and have folk learn more about the brand and what makes us so unique.

A couple of years ago you had a Funko one-armed bandit on your stand. Are you planning any other ways to add interest to exhibition displays?

We’re always looking to ensure our presence at toy fairs is one of the most exciting aspect for visitors attending. We’re well known for making everyone feel welcome and not only excited about the incredible array of product on display, but about the future and the exciting new directions we’re taking the brand. This year’s fairs will be no different.

What do you miss from your early days in the toy industry? What don’t you miss?

Well, since Covid, I miss the international toy fairs where you met everyone in person. There were long days, and often even longer nights - but great experiences and a chance to really align your plans with retailers for the coming year. I don’t miss some of the hangovers at those fairs though! We’re working with “ new IP in some highly popular and growing genres. This is specifically to bring in new audiences, who are not necessarily familiar with our product line

What change would you like to see in the toy industry?

Not so much a change, but I think we all want the industry to settle down again once more after the past few years. What’s the most challenging aspect of your job?

The number of virtual meetings I attend every day can be mentally draining. I think many of us are finding this dynamic challenging.

Fortunately, we are balancing office and home working effectively to counter this Teams fatigue.

What advice would you give to someone starting out in the toy industry?

Go in with a positive attitude to learning, listen to the advice of those around you, and don’t be afraid to challenge the status quo. It’s a great industry.

Which is your favourite Funko

Pop! figure?

The classic Iron Man in movie pose.

What’s the most rewarding aspect of your job?

Without doubt, the people I deal with both internally and externally. There is not a day that goes by where I don’t learn something from conversations I have with employees or with retail partners, and I thrive on that constant learning. It’s also a friendly industry and people often make me smile - that’s important in everyone’s life, and I’m lucky I get to experience that often at work.