Trade Talk – suppliers talk about their hopes for the end of 2022 and the new year

TRADE OPINION Trade talk

We asked key suppliers to give their views on the current state of the business, and their thoughts and feelings going forward. Here are words of wisdom from MV Sports, Orchard Toys, and Wilton Bradley

Calling all suppliers and distributors! We’d love to hear your views. Get in touch with tim@lemapublishing.co.uk to have your say!

CHLOE BAGSHAW

Senior product manager

MV Sports

How has business been in 2022 so far?

Despite rising inflation and living costs, MV continues to be a leading player in the UK’s supply of wheeled and outdoor toys. Our licensed business is performing well, with new signings coming on stream towards year end. The e-mobility category is expected to grow exponentially over the long term.

And how do you think the final quarter of 2022 will be?

It will be a challenging year end for many but we have established brands, evergreen properties and strong customer relationships, which will allow us to navigate the current turbulence in the economy.

How are you making your business more sustainable?

The majority of our products are either human- or clean energy-powered, which is better for the environment and for the health and wellbeing of the nation as a whole.

MV is very proud to be fully solar powered and has been for many years now. In fact, our solar panels accumulate enough energy to give back to the National Grid on a

regular basis. With expansion plans for our new warehouse well under way, we intend to incorporate solar panels there too. In addition, we actively encourage the use of electric cars with easy-access electric charging ports based in the car park, with plans to expand soon.

How do you think the cost of living crisis and rising inflation is affecting business?

Parents are less likely to cut back on spending on their kids for Christmas than perhaps other areas so while there will be some impact it will not be as marked as other sectors. If a child wants a licensed scooter for Christmas, then I am confident that’s what they will get."2023 looks How are you planning to help retailers with their very promising business in the latter part of 2022? with our new We want to remain flexible in terms of when and how to buy so we will be running various warehouse incentives towards the end of the year to enhance taking shape our overall proposition. and new What are you most looking forward to for the rest of the year? licences already Seeing new licences develop and get stronger on board'' plus our new beautifully airbrushed limited-edition licensed e-motorbikes.

Looking ahead to 2023, what will be the key issues for the business?

2023 looks very promising with our new warehouse taking shape and new licences already on board. We have missed the chance to meet our suppliers face-to-face so we are hoping to get out to Hong Kong and China as soon as possible.

SIMON NEWBERY

Managing director

Orchard Toys

How has business been in 2022 so far?

We’re seeing a good performance from our 2022 lines and our bestselling SKUs. There’s always a demand for entertaining games and puzzles, and shoppers are always looking for gift ideas.

And how do you think the final quarter of 2022 will be?

Consumers will be watching what they spend, and increasingly cost conscious they will be looking at price and value for money. Within our range, the mini games collection gives retailers a great low price point to offer customers, and many of our puzzles offer added value with the inclusion of posters and fun fact-based learning booklets.

How are you making your business more sustainable?

We’re constantly looking for ways to enhance how we help protect the planet. All our products are manufactured using

recycled board, we only use vegetable-based inks, and other than the box itself we never use any additional outer packaging. We encourage our customers to extend the life cycle of our "In a world full products by passing them on, and to support this we offer a misplaced pieces service. of electronics, How are you planning to help retailers with parents and their business in the latter part of 2022? We’re supporting our Christmas lines, and our children football-themed games in the build-up to the World still enjoy simple, fun Cup – with a strong digital mix of social media, PR, and online advertising, and a comprehensive instore point of sale support package. ‘traditional’ Looking ahead to 2023, what will be the key games'' issues for the business? In a world full of electronics, parents and children still enjoy simple, fun ‘traditional’ games, creating consumer demand for screen free games and puzzles that offer simple, engaging, appealing fun game play for children. And as cost-conscious consumers watch what they spend, they’ll be looking at quality, price and value for money.

Ross Bradley - sales director Carl Bradley – buying director Scott Eden – design director

What have been the company’s most successful products this year?

RB: With the launch of the new electric range, our Xootz brand has had a real buzz around it this year with considerable growth. At the forefront were our Elements kids’ electric scooters, which have been one of our best-selling products across the group, as well as the award-winning Comet Go-Kart, created using in-house tooling and design.

Our electric ride-on range has also been a success. This range of exclusive, officially licensed electric ride-on models allows kids to experience the thrill of getting behind the wheel of their very own electric ride-on car. Many of these products were recognised for their design and innovation, bringing home some of the top awards in the industry.

Our Playhouse Waterwall won the Top Summer Toy Award from Toy Insider in the US, and Silver in the ITA Toy Shop Awards, plus a recommendation from the Good Play Guide. Our Xootz Bumper Car won Gold in the ITA Toy Shop Awards.

How was trading for Wilton Bradley in 2022?

RB: This year has been strong for the Wilton Bradley Group. Today we supply a range of more than 4,000 products to more than 30 countries, employing 125 people across the UK and in Hong Kong. We are eager to have a fresh start to 2023, with lots of exciting new products for retailers to see, and clear direction for our brands and ongoing new product development. This year we will be celebrating our seventh year of having a permanently manned showroom in Hong Kong, helping to serve our global customer base and enhancing their sourcing capabilities, with four full-time staff working in the showroom.

We were also proud to be recognised in the London Stock Exchange Group’s Report last year - 1000 Companies to Inspire Britain - which acknowledges the fastest-growing businesses across sectors and regions who have achieved ‘significant performance not only in consistent YOY revenue growth but also against sector peers’.

What’s the biggest challenge and opportunity facing toy suppliers?

Carl Bradley: In a normal year, we plan our buying trips around various trade fairs, which generally align with our development timeline. We have multiple members of the team travelling to attend these exhibitions, looking to source new products and seek out new suppliers. We always ensure we have a presence at the trade fairs, but our trips don't finish when they end. We spend most of our time travelling the Far East visiting new prospective suppliers and our many existing partner suppliers that we have worked with for decades. During these visits we continue to develop new products as well as conduct quality inspections on our current production.

Of course, 2020 was a different year for everyone and threw plenty of challenges our way, but our business has adapted very well, and our foundations have allowed us to continue to move forward. We have a vast supply base, many of which we have been working with for several years, so despite the lack of buying trips in 2020 we have still managed to push on with developing great new product, all on time to launch to our customers.

What support is your team able to offer retailers? What sets you apart?

CB: Many of our customers value the flexibility that we offer when it comes to product selection. Because of our strength in product design and sourcing, we can provide a range of options; these include buying our own finished products or working on joint projects, from concept to delivery, in the customer’s own brand. We’ve always had extremely high standards when it comes to compliance and quality control. We have strict processes in place for vendor selection, product certification and QA, with a compliance team that spans across both the UK and Hong Kong.

How has the direction for new product development changed over the past few years?

CB: Our focus has really changed to developing new exciting, unique products, whether that be through licensing product, setting up our own tooling, or securing factory exclusives. We have a core range of products across each of our sub-brands that continues to grow year on year, and this allows us to invest time in creating new concepts, ensuring we stay relevant and exciting to our customers.

How important is new product development?

Scott Eden: Product development is continually important for us here at Wilton Bradley. We are launching 130 new toy SKUs this year, including new categories, new developments within ranges, and innovation. We pride ourselves on creating the right product at the right price, therefore investing in and producing a seamless product development process is vital.

How do you ensure all your products are fairly represented in the portfolio and managed at all levels of the business?

SE: Within our different in-house teams, we have experts who specialise in and are responsible for their own categories. Our in-house departments and facilities - including 3D design, photography studios and a customer service team - support the daily running of the company as well as the overall buying process for all customers. These in-house facilities allow us to deliver consistency, quality and innovation, saving on both time and money; savings that we can pass on to our customers.

Our in-house team designs and develops innovative new products for our own brands, as well as helping retailers to conceptualise their own product ideas. Starting with the product, our design team ensures that the packaging is eyecatching, appealing and communicates the USPs.

Our in-house photographers, videographer and copywriters produce quality product content and ensure it’s accessible for our customers to use. Our design and marketing teams create eye-catching packaging, POS and FSDUs, which helps products to stand out in store. We invest in brand marketing campaigns to drive demand and awareness for our products as well as working together with customers on marketing campaigns. Finally, our after-sales team make sure that the customer is satisfied and supported with their purchase, helping to avoid retail returns.

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

SE: You can expect some other new products from Wilton Bradley. We are 'full steam ahead', and developing about 18 new lines; most are within the brands we already own and work with but there are new products that are exclusively ours. At a time when most companies are playing it safe, it offers an opportunity to be more creative.

I’m excited about 22/23! We have the mix right and I think we have huge potential. Summer went well for us and we are known for our summer products, but our brands and toys are becoming more recognised and we are gaining credibility in the toy market.

Ross Bradley Carl Bradley Scott Eden