The Big Interview - TnP talks to the Basic Fun

General manager Tim Ives

General sales manager Lynne Swatton-Reed

Opportunity knocks

The Basic Fun! UK team discuss the company’s products, plans and projections with TnP

What’s your background? Tim, Lynne and Holly:Toys, toys and more

toys, with a touch of golf, kangaroos and calculators! Collectively, the three of us have spent more than six decades in the toy industry, having worked for the likes of MGA Entertainment, Mattel, Flair, Hasbro, Tomy, Vivid and Lexibook.

Tell us a bit about Basic Fun!

Tim: Formally known as K’NEX until Basic Fun!’s acquisition in 2018, Basic Fun! UK is a multi-line toy company playing in many core toy categories. Our extensive portfolio of brands spans preschool, plush, construction, retro toys, licensed toys, collectables - and, come A/W21, we’ll be breaking into the youth electronics category too. Holly: The Basic Fun! UK team is made up of just the three of us but, as the expression goes, ‘great things come in small packages!’. We’re using our 60-plus years of combined experience to support the continued growth of the business and cement Basic Fun!’s position as a top 40 UK company in the toy industry. Lynne: While many consumers may not yet have heard of Basic Fun!, we have so many strong brands that consumers love: Care Bears, Tonka, Cutetitos, K’NEX, Lite Brite, Fisher Price Classic, Monopoly Surprise and many more. Our toys appeal to all ages and are recognised throughout all age groups.

What changes have you made considering the restrictions that Covid has created?

Lynne: With the unpredictable closure of retail stores and changes in consumer behaviour, we’ve had to be extremely light-footed; constantly reviewing forecasts and business potential to cater for changing demand. Reacting to this change has been key to the continued success of the business. Holly: For us, it’s been a matter of redirecting some of our marketing and PR efforts to make the most of the opportunity to engage with and connect with consumers online. To build awareness and heighten engagement with our brands, we’ve invested in social and digital activity; collaborated with infl uencers; and generated online reviews through parental outreach. We’ve also invested budget in YouTube pre-roll, TVCs [television commercials] and campaigns on parenting consumer sites.

What opportunities has the pandemic created?

Tim: We’re expecting footfall to be high when retail reopens. Physical retail has been missed and people have had fewer opportunities to spend their hard-earned cash in the past 12 months. Excitement for the reopening of retail, combined with pent-up savings, presents a great opportunity for the industry - especially for the likes of the collectables category, which is more affected by impulse purchasing. That’s why we’re so excited for the A/W21 rollout of Monopoly Surprise Collectables. Holly: With the games and puzzles category thriving, not least Monopoly, this collectable range is really going to be able to capitalise on that success. Kids will love the peel ‘n’ reveal unboxing experience: there are fi ve surprises to discover in every pack, including exclusive tokens, unique coins, Mr. Monopoly expressions, chase tokens, and more. Not just fun to collect, these multi-purpose collectables can also be used while playing with nearly any version of Monopoly.

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

Tim: On a global scale, there will be continued innovation within our core categories. This is something which Basic Fun! is renowned for and we work really hard to keep up with the trends. Take retro: this has been a big trend for us. Think Fisher Price Classics, Lite Brite, Care Bears, Tonka and Pound Puppies. You can also expect plenty more nostalgic fun later in the year too - not just from these brands, but also in the form of a new kidult collectable that is going to be an absolute smash! Holly: And creative unboxing is a trend that’s going nowhere anytime soon, so expect plenty of newness here. We’ll be introducing an incredible Carnival theme to Cutetitos in A/W21, which is scented to smell like candyfloss, wrapping up the delights of the carnival, with fun, vibrant designs. Of course, there’s also our Monopoly Surprise Collectables, which blend together two huge categories: games and collectables. This fabulous new collectable is bringing innovation and cross-generational appeal. Lynne: We’re looking at double-digit growth this year, with the longer-term ambition of achieving a top 20 company position. Given the strength of our range, we’re feeling extremely confident.

Will you be looking to expand into other categories?

Tim: Absolutely! This September, we’re launching a brilliant new range, which straddles several categories: youth electronics, collectables and licensed toys. Bitty Boomers are the miniature, ultra-portable, wireless Bluetooth speakers that will change the way kids hear music through pop culture! Tiny in size but big in sound quality, Bitty Boomers are shaped like kids’ favourite characters, including Spider-Man, Venom, Darth Vader and The Child. These speakers can be synced for extra boom and can even be used as a selfie remote. Already hugely successful in the US, we will be launching with the top six best sellers this September. To say we’re excited is an understatement!

Where do you see opportunities for growth?

only at the very start of our journey with so many brands. Care Bears celebrates its 40th anniversary next year and consumers can’t seem to get enough of the extensive range of plush; the new Togetherness Bear will be uniting us all in 2021. Then there’s Tonka’s 75th anniversary: the Steel Classics sell-through has proven that Tonka really is tough enough to continue to grab headline sales! And not forgetting K’NEX, which unbelievably enjoys its 30th anniversary next year - so, perfect timing to bring back old favourites such as the best-selling Amazing 8 Roller Coaster. But there are so many other opportunities for growth too. We’re only at the cusp of seeing the real potential with Lite Brite, where more than 1.4 million units were sold in the US last year. Plus, there are so many new waves arriving of our “Excitement for the award-winning Cutetitos, reopening with Donutitos, Carnivalitos, Unicornitos, and so much more. of retail, Holly: I think one of the things combined we’re most excited about this with pentyear are the developments for K’NEX. After an amazingly up savings, successful year, due to home presents learning and how well the a great collection lends itself to the teaching of STEAM principles, opportunity for we felt that to continue to the industry - grow the brand we needed especially for to create easily identifiable subcategories. As such, we’re the likes of the launching K’NEX Classics, collectables a newly defined multi-build category, sub-segment. We’re also reintroducing the core which is more rollercoaster builds within affected the themed Thrill Rides & more sub-category, which will complement the entrypoint Kid K’NEX sub-category by impulse purchasing ” as well as the advanced Architecture segment. Tim: Within the toy sector in general, another area where we are seeing scope for growth is through the blending of core categories in toys to create new opportunities. I think this is a natural progression and it’s something we’re already branching into with our upcoming launches. Monopoly Surprise Collectables combines the collectables category with the games category. Bitty Boomers blends youth electronics with collectables and licensed toys - giving collectables a new purpose.

How are you planning to support your retail partners this year?

Holly: To make sure awareness and demand is there for the full brand portfolio, we have extensive marketing and PR plans in place throughout the year. We’ll have TV support on Cutetitos, Care Bears and Lite Brite, but we are also moving to where Generation Alpha are - and that’s online/digital. That’s why we’re investing in heavyweight YouTube brand advertising, plus a host of social and digital activity. Tim: For indies specifically, we’ve got some really strong in-store branding options, including a selection of POS displays to present our ranges at their best. Plus, we’re strategically partnering with some of our retailer partners, offering exclusive lines to create a point of difference, while also complementing the core ranges.

During your time in the toy industry, which retailers have impressed you most and why?

Tim: Over the years? Too many to list! But in the past year, we’ve been really impressed at how quick off the mark Smyths Toys Superstores and the indies were to introduce click-andcollect services. Lynne: I agree. And I do admire how John Lewis has been able to maintain its core values but move with the everchanging landscape while still supporting its business partnerships. Plus, of course, the marmite of marmites: Amazon, which has deftly reacted to the pandemic and played a vital role in supply for both consumers and manufacturers alike.

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

Holly: Find a mentor, ask questions, network and most importantly, don’t lose integrity - kindness and honesty go a long way. Lynne: What I love about the industry is that there’s always so much going on, so much changing, so much to do! Don’t be afraid to question, keep an open mind, listen, learn and work hard… while not forgetting to play hard too! Tim: Listen. You learn a lot from buyers, customers, colleagues and people in the industry. Be prepared; you just can’t wing it. And learn from your mistakes - you will make them. But, most of all, have fun!