The Toy Universe Magazine — Edition 13

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AUSTRALIA'S TOY MARKET NAVIGATES CHALLENGING TERRAIN FROM THE EDITOR

The Australian toy market has faced a relatively stagnant year, with a brief surge during mid-year sales providing temporary relief.

To stimulate consumer interest, major retailers have implemented various strategies, including discounts, bundle deals, and in-store experiences. Independent retailers, meanwhile, have focused on educational toys, catering to parents seeking learning opportunities for their children.

As the holiday season approaches, popular toys in Australia continue to be dominated by established brands like Hot Wheels, LEGO and Barbie, alongside other favorites such as Furby and Squishmallows. Emerging brands like Tonies and Mizzie The Kangaroo are also gaining traction, offering unique and innovative products.

Australian Toy Companies are expanding their global footprint as well with Moose Toys and HeadStart both making significant strides across International markets. Toys Down Under is also a new initiative which debuted this year at the LA Toy Preview, and this concept aims to further promote Australian toy brands on the global stage through collaboration.

The growing influence of Kmart's in-house Anko brand has had a significant impact on the market, as it expands its product range and distribution channels. Toy Mate and Amazon are also increasing their market share, offering increased competition and opportunities for new vendors.

Looking ahead, the 2025 Australian Toy Hobby & Licensing Fair, which takes please in early March in Melbourne, is poised to be a major event for the industry. With strong exhibitor interest and a focus on innovation and emerging trends, the show promises to shape the future of the Australian toy market.

We hope you enjoy this edition of The Toy Universe!

Managing Director — Tony Bugg tony@buggsolutions.com.au

Editor & Designer — Matthew Bugg matt@buggsolutions.com.au Published by Bugg

MARKET

ZURU TOYS

REIMAGINING PLAY, EVERY DAY.

www.zurutoys.com

ZURU Toys is one of the largest toy companies in the world, known for its innovation, creativity and disruption through automation.

Inspired by kids and imaginative play, ZURU Toys distributes to all major retailers in over 120 countries and has brought joy to millions of families all over the world with brands such as Bunch O BalloonsTM, X-ShotTM, RainbocornsTM, Robo AliveTM, SmashersTM, 5 SurpriseTM, Pets AliveTM and partnerships with entertainment properties, including Nickelodeon, Disney, Universal Studios and DreamWorks.

Need a pick-me-up? Dive into the land of snuggles with Hug-A-Lumps! Grab one of the 8 ultra-cute characters, each weighing 1.5kg/3.3 pounds and creating an ultra comforting effect. Will you choose the dinosaur, cat or maybe the bunny? Made from super soft and squishy plush, Hug-A-Lumps are your ticket to an anti-stress wonderland! When you need a snuggle give Hug-A-Lumps a cuddle!

WEIGHTED PLUSH: Each Hug-A-Lump weighs 1.5kg/3.3 pounds.

ANTI-STRESS EFFECT: Experience the calming effect of a weighted plush hug!

COLLECTABLE ITEM:

Collect all 8 characters, whether it’s the croc, cat, or even the goose!

SUPER SOFT PLUSH: Created from the softest plush for maximum comfort and coziness!

BLUEY BOOK READS ANNOUNCES FESTIVE DOUBLE-BILL

BBC Studios together with Ludo Studio are thrilled to announce two brand-new Bluey Book Reads that are sure to get fans of the phenomenal TV show Bluey in the mood for Christmas. The series was created by Ludo Studio and the BBC Studios Digital Brands team, who currate, commission and commercialise the digital footprint of the best-loved global IP.

'Christmas Eve with Verandah Santa' is available on the Bluey website bluey.tv, read by Australian stand-up comedian and TV presenter Adam Hills.

It's Christmas Eve and Bluey, Bingo and Muffin can't wait to open their presents. But Bluey's dad reminds them that no peeking or no presents! So, they decide to play a game called Verandah Santa to practice no peeking. What will Santa bring them?

Adam Hills says: "My kids are honestly more impressed that I'm reading a Bluey book than anything I've ever done. That includes going to the Coronation, meeting Lady Gaga, or the time I made pumpkin soup in an actual pumpkin."

READ MORE

HELLO KITTY SHINES BRIGHT AT JASNOR FOR HER 50TH ANNIVERSARY

As the biggest trend in pop culture for 2024, Hello Kitty has been in high demand across the globe as she celebrates her 50th Anniversary with Sanrio.

Jasnor’s global partnerships with acclaimed suppliers such as Spin Master, Blueprint, and Comansi, have helped to strengthen their position as one of the largest distributors of Sanrio products in the ANZ market. First showcased at the August Reed Gift Fair in Melbourne, Jasnor unveiled an impressive lineup that now spans over 85 new SKUs. Product formats include highly sought-after character plush, stylish stationery, and delightful collectibles. Most recently, Jasnor have launched kawaii themed Friendship Boxes that include stickers, accessories and a cute figurine of characters from the Sanrio universe. These products have been widely distributed and embraced by fans across Australia and New Zealand.

READ MORE

INTRODUCING A DEDDY BEARS CHRISTMAS SPECIAL… THEY’RE DEAD FESTIVE!

The new Christmas characters from popular plush toy brand, Deddy Bears, is the ultimate way to inject some spooky fun into the holiday season! Perfectly timed for the festive rush, this eerie collection features six unique characters with a blend of creepy-cuteness: Frostpee the Snowman, Gingerbear, Santa Clawz, Blitzer, Gnomer, and Elfvis.

The range continues the pattern of the three distinct product formats to appeal to collectors and toy fans alike. The large 30cm plush toys offer super-soft & squishy comfort, while the 14cm Lil' Coffin Dodgers are perfect for displaying in quirky scenarios. The mini bag-clips, sold in blind bags, bring an element of surprise – ideal as stocking fillers for younger fans this Christmas.

READ MORE

UNISNACKS INTERNATIONAL, CLOUDCO ENTERTAINMENT AND BORN TO LICENSE LAUNCH CARE BEARS KATO FRUIT-BASED BEVERAGES RANGE

Leading British company Unisnacks, one stop distributor for global food in the UK, is launching Care Bears’ first ever UK beverage range. Unisnacks is the leading distributor for many global brands and the licensing partnership with Cloudco Entertainment is a pivotal milestone with the launch of Care Bears Kato fruit-based beverages range.

The range was showcased for the first time in this month at the BBC Good Food Show Winter in Birmingham with product set for sale across the UK from January onwards.

Kato, the number one fruit juice beverage brand in Thailand, is a refreshing and tropical beverage that combines the natural flavour of fruit with the chewy texture of nata de coco. The range will include seven different flavours (strawberry, lychee, orange, mango, melon, peach, watermelon), with each flavour being carefully matched to a different Care Bear.

READ MORE

SUMMER-READY SANTA SLEIGH DISPLAY

www.lego.com

The LEGO Group Unveils a Summer-Ready Santa Sleigh Display Designed by Aussie Kids

From bilbies to sea turtles, young Aussies have reimagined Santa’s sleigh, with their designs celebrated in a new Christmas story by children’s author Sophie Beer

The LEGO Group has unveiled a magical holiday display at the World’s Largest LEGO Store in Sydney, featuring six sleighs built from LEGO bricks. Reimagined for an Aussie summer, these builds were designed by talented young Australians who were tasked with creating a sleigh for Santa that would be fit for deliveries down under.

10-year-old Owen Harris from Bondoola, Queensland, has had his unique sleigh design brought to life as a large-scale LEGO build. A conservation advocate and former Wildlife Warrior of the Year, Owen created a concept inspired by Australian native animals. To ensure Santa’s sleigh is ready for summer deliveries, he swapped out reindeer for the ultimate bilby-powered, four-wheel-drive

sleigh. Featuring a green-tree python to guard Santa’s sack of presents and a koala

jumping on board for the ride, Owen’s sleigh puts a playful twist on Santa’s traditional form of transport. Other young designers include 11-year-old Amelia Bryant from Melbourne, who created a surfboard sleigh pulled by sea turtles, allowing Santa to glide across the Tasman Sea. Nineyear-old Apolosi Fosita from Melbourne designed a swamp strider sleigh, featuring feathers that tickle crocodiles, making them laugh instead of bite, ensuring Santa’s safe passage.

Not only will these sleighs be showcased in brickform until Christmas, they will also be featured in a new digital book, downloadable by visiting — LEGO.com/Christmas

LEGO Australia has partnered with award-winning children’s author and illustrator Sophie Beer to turn this into an exciting Christmas story families can enjoy together. Perfect for cozying up with loved

ones, it makes a magical ‘night before Christmas' listening experience that adds a fun Aussie twist to holiday traditions.

Sophie Beer, children’s author and illustrator, said: “Bringing these incredible sleigh designs to life has been such a joy. Each one captures the playful imagination and festive spirit of Christmas in Australia, with surfboards, bilbies, and turtles giving Santa’s ride a true Aussie twist! I hope Santa’s Summer Sleigh becomes a story families love sharing, inspiring kids everywhere to see the magic in their own ideas and holiday traditions.”

10-year-old Owen Harris said:

“I’m so excited to see my sleigh idea brought to life, not only in LEGO bricks but also in a book. I wanted it to be perfect for Santa’s trip across the outback, and since I love animals, especially Australian wildlife, it’s pretty cool to see bilbies pulling

the sleigh just like I imagined. I hope Santa loves his Aussie sleigh as much as I do, and I can’t wait for everyone to play and create their own holiday adventures with LEGO bricks.”

Justine McKenny, Senior Director, Head of Marketing at LEGO Australia & New Zealand, said: “It’s been wonderful to see the creativity of Australian children who have reimagined what Santa’s sleigh could look like for down under. We believe every LEGO build tells a story which is why we're also delighted to team up with beloved children’s author, Sophie Beer, to create a Christmas story that will inspire families to embrace the magic of the holiday season together.”

Families can view the sleigh display at the LEGO Certified Store Sydney Pitt Street from the 28 November – 27 December and access the book at LEGO.com/Christmas, on Spotify, Apple Podcast and all key podcasting platforms.

THE AUSTRALIAN TOY ASSOCIATION

THE AUSTRALIAN TOY ASSOCIATION

ATA Welcomes Our New Board of Directors

With less than a month until Christmas, retail activity is ramping up for members, which is fantastic news. Black Friday and Cyber Monday sales are expected to be highly successful, with families eager to snag bargains ahead of the festive season.

The ATA office has been buzzing with activity following our move to new premises at the end of October and the successful hosting of our Annual General Meeting on November 13th. Members attended both in person and online as we reviewed the end-of-year financials and highlighted ATA's achievements over the past year.

During the AGM, elections were held, resulting in Chris Maggacis being re-elected, joined by two new Directors: Ajit Jacob of VTech Electronics Australia and Rosanna Cilmi of Just Play. Tim Clarke announced the retirement of Jeff Keighran (Bensons Trading) and Jonathan Zimbler (Zimbler), thanking them for their invaluable contributions, particularly Jonathan’s remarkable 21 years of service.

Tim then concluded his presidency, handing the baton to Jacqui Webster of Spin Master, who becomes ATA’s first female President.

The final board meeting of the year followed the AGM, where it was confirmed that Anni Atkinson (Warner Bros) and Tim Nolan (Mattel) will continue as Directors for another term, and Troy Taylor (LEGO) will fill the remaining board position. We’re thrilled to have such a strong and committed team driving the industry forward.

Preparations are well underway for our annual Toy Fair, scheduled from March 2nd to 5th, 2025. With nearly 90% of stands already sold, a few spots remain for those looking to showcase their products to buyers from across Australia.

The ATA Awards are now open to all participating exhibitors, featuring categories such as Product of the Year, Environmental & Sustainability, Kids’ Choice, and Judges’ Choice. Licensing partners can also submit entries for the Licensing Awards.

For details, deadlines, and criteria, visit our awards page at: www.austoy.com.au/toyfair/ata-awards/.

This month, we also launched our new Mentor/Mentee Program, open to ATA members. Applications close on December 20th. The program pairs members with experienced mentors who provide valuable insights, guidance, and support to help mentees achieve their professional goals.

Whether you're new to the industry or ready to take the next step, this program is a fantastic opportunity to grow and learn.

Lastly, the ATA office will close for the Christmas break at 12pm on Thursday, December 19th, and reopen on January 2nd. On behalf of the ATA Board and Staff, we wish you a successful Christmas buying season and a happy, safe New Year. Thank you for your support throughout 2024, and we look forward to working together in 2025. If you need to reach us, feel free to email us at admin@austoy.com.au

STORIES FROM GG'S TOY BOX

WRONG VIDEO, MR KIM — PUCCA GOES ALL KILL BILL

COLUMN

Stories From GG's Toy Box

WRONG VIDEO, MR KIM

PUCCA GOES ALL KILL BILL

The MiP Junior Licensing Challenge is a competition that looks for a new TV children’s program with great merchandising potential.

Out of more than 80 entries, a panel of judges, comprising representatives from Mattel US, Zinkia Entertainment Spain, Stella Projects Australia (Grahame Grassby), Exim Licensing Argentina and Chorion UK, chose five finalists, who presented their properties in live pitches at MIP Junior 2011 held at the Martinez Hotel in Cannes, France.

And the judges unanimously chose Mia and Me as the winner!

Yes, that’s all true but wait that is only half the story — we, the judging panel, did choose Mia and Me as the winner and yes Mia and Me was the standout choice being that Mia is a pink unicorn and “Me” is a young girl dressed up as a fairy princess and you don’t get more merchandising friendly than that, especially when your chief judge is the head of international licensing at Mattel, the home of Barbie.

So Mia and Me got the chocolates, but what was the most memorable

presentation was the one given by Mr Kim from Vooz in South Korea, who was the first cab off the rank presenting to a full room of about 50 children’s TV executives.

The panel of judges were lined up on stage facing the audience like a row of ducks in a shooting gallery in front a large screen that projected the short video clip of each property being presented.

Mr Kim who was standing at the front of the room just in front of the judging panel, turned to the projectionist, who was right up the back of the room and gave him the go-ahead to start the Vooz show reel.

And then all hell broke loose...

Instead of the presentation video for a gentle pre-school property called Myo & Ga being shown on the big screen, a video of Pucca began to play out and not the traditional shy animated Korean girl Pucca rather this was “Kill Bill” Pucca who with an animated sword was killing and maiming and dismembering countless foes and splattering their bodies all over the walls, floors and ceilings of the rooms she was carrying out her deadly massacre.

As the video started to play out on the big screen, Mr Kim’s face turned to one of

horror and he started running up the centre aisle to the back of the room, crying out no! no! wrong video!

And as the video continued to play out on the big screen, we watched the faces in the audience turn from confusion to various forms of shock, to open jawed stunned mullet, to horror and finally, for some, even to laughter, as Pucca extracted her deadly revenge upon her hapless adversaries.

The video stopped, the room was silent, Mr Kim took to the stage, bowed to the audience and spoke into the microphone.

“I am very sorry. That was the wrong video.”

No kidding, Mr Kim — that truly was the wrong video.

After all the presentations were finished, the jury met in the private jury room to make their decision.

The Head of Mattel International Licensing, Holly Stein, addressed the other judges: “I think it’s pretty clear that Mia and Me is the winner unless anyone thinks otherwise”.

I started to say, “I thought that the first one was …”

“Oh shut up Grahame — you’re an idiot”

And with that Mia and Me was voted the unanimous winner and the MiP Junior Licensing Challenge was over for another year.

MARKET WRAP

WILLIAM VALENTINE

WILLIAM VALENTINE TURNS 21

SECURES DISTRIBUTION FOR KEYCRAFT GLOBAL

WILLIAM VALENTINE TURNS 21

SECURES DISTRIBUTION FOR KEYCRAFT GLOBAL

Established in 2004 as a fashion wholesale business selling belt buckles and fashion accessories; William Valentine is ready to celebrate our 21st year of operation in 2025!

William Valentine is Sydney based and focused on distribution of the most unique gift, toy and pop culture brands. With over 25 exclusive brand partners and 3500 individual products, we’re able to serve customers of all types including independent & specialty stores across toy, gift & newsagency, fashion, garden, books; travel, online sellers to larger chains across Australia & New Zealand.

We believe our point of difference and appeal to retail is a one stop hybrid distribution solution – we offer a wide selection of products across multiple categories, not just toys and games. We can supply everything from Bath Bombs, Garden Planters, Stationery, Whiskey decanters and glasses to Sensory and fidget toys!

In November 2024 William Valentine was appointed the exclusive distributor for Keycraft Global in Australia & New Zealand; effective January 1st 2025. In the interim customers can order from either Keycraft or William Valentine.

Keycraft is a leading brand in impulse & pocket money toys. The range is ever changing to bring you the very best in exciting pocket money toys, and to reflect emerging trends. The range is curated from animals to transport to ever popular sensory and fidget toys; there is something to suit everyone. Our retail display units are designed to drive sales and enhance your retail experience and really make a statement!

Keycraft is also the home of Living Nature. Living Nature is a premium range of animal soft toys. Created in 2008, this best-selling brand continues to grow and evolve with today’s consumer preferences. We take inspiration from animals all over the world to bring these realistic and lovable characters to life. Made with soft-touch fabrics and beautiful craftsmanship, they stand the test of time with their enduring quality and appeal. Some of the themes include dogs, small pets, ocean, farm & safari animals as well as Australian animals. All Living Nature toys use 100% certified recycled plastics for either the stuffing or the whole toy. They’ve become treasured friends and memories for many families, charming children and adults throughout generations.

— Sales Director

FEATURE ARTICLE

THE FRENCH TOY MARKET

THIS YEAR DELIVERED FLAT RESULTS

FEATURE ARTICLE

The French Toy Market Has So Far This Year Delivered Flat Results

The French toy market has so far this year delivered flat results. As of the end of August, volume is -5% and price +5%

The main driver, the “Outdoor Toy” category, was strongly impacted by terrible weather in spring and, again, lousy weather in the West/ North area in July (three years in a row with bad Spring) even if August was finally better and saw +21% in sales.

Inflation is going down compared to last year (+2,3% price increase). In addition, prices in energy and gasoil are finally decreasing. Births are still decreasing (678 000 in 2023, -130 000 in 10 years). 2024 looks not good with -2,4% in the first 6 months.

Of 11 super categories tracked by CIRCANA, some categories are doing well:

• Plush are doing very well and saw Olympics PARIS 2024 mascottes plush selling 2,5 million units, especially in july and august (+41%)

• Building is still up (+24% in August) driven by Lego (Icons, speed champions or Star Wars) and Kidult trend

• Electronic Junior, smallest category tracked by CIRCANA is growing again in August (+12%)

TOP PRODUCTS

• Skyjo from Blackrock games (card game) is still N° 1 as last year

• POKEMON has 6 products in TOP 10

• Olympics PARIS 2024 mascotte plush from GIPSY is N°4 in August

TOY RETAIL

• La Grande Récré (133 shops + 3 new ones in 2024), bought by JOUE CLUB in 2023 is back to success (+2 digits growth for 2024 sales).

• Smyths Toys is opening 3 new shops in 2024 and start to renovate old Toy shops.

• Joue Club is doing well in sales (+1,5% end August)

DISTRIBUTION

• Toy specialists and multi-specialists are still growing sales (main channel)

• Internet (-5%) and Hypermarkets/ Supermarkets (-8%) and down in sales as last year.

LICENSING

• It has been a good year again with vigorous activity in licences (+3 pts, 25% of total sales)

• The top licenses are Pokemon, Olympics, Paw Patrol, Marvel, Star Wars and Barbie (-30%)

• Some good blockbusters for children will be on theatre for this Christmas 2024, it could increase sales (Vaiana 2, Transformers or Sonic 3)

TRENDS

• Made in France” accounts for 14-15% of total sales (stable). Buyers are giving these products T more visibility with their Fairs, media coverage, and space in Christmas catalogs.

• 2nd hand sales are growing (80 000 units/ year sold in King Jouet, 10% of their shops are 2nd hand specialists and Joue Club has nearly all shops with 2nd and corners, selling more than 100 000 units/year)

• Kid-adult games are growing, representing 28% of total toy sales. The adults are buying regularly, and the average price is high. They have a unique space in Christmas catalogs (Games and puzzles, collectibles, and building with licenses).

• Christmas buying should grow in value/child (+5%), more buying through physical shops and especially Toy specialists and more 2nd hand buying.

Yann has 30 years of experience selling Toy products to European retailers and e-retailers. He has worked for companies like Berchet (Smoby), Newell Brands, BERG Toys, and SmarTrike. Yann started his toy sales consultancy in May 2021. He named it Toy Influence . The company represents foreign Toy firms in Europe and France. He conducts direct sales and marketing with retailers / e-retailers, as well. If you are looking to invest in EUROPE and enter direct to retail, you can learn more about Yann on LinkedIn or by calling him at +33 6 48 94 02 05 or emailing him at yann@toyinfluence.com

MARKET WRAP

DIVISIBLE BY ZERO

CLIXO: A FAMILY FUN, EDUCATIONAL ADVENTURE

www.dbz.com.au

CLIXO — A MAGNETIC BUILDING

TOY WITH A MODERN TWIST!

MAGIC OF ORIGAMI + EASE OF CLASSIC BUILDING BLOCKS

Clixo is a magnetic building toy which is redefining family fun and classroom learning! With its vibrant colors, versatile shapes and endless possibilities, Clixo sparks creativity and cognitive development in children of all ages.

Family Fun with Clixo

The Clixo Family Pack is the perfect way to bring the whole family together for hours of imaginative play. This all-inone set includes a diverse range of magnetic pieces, including suction cups, wheels, and prism pieces, allowing kids to build 2D and 3D structures limited only by their imagination.

Clixo in the Classroom

Clixo is not just for home fun; it's a powerful educational tool that can be used in the classroom to enhance STEAM learning. The Clixo Classroom Pack, designed for up to 15 children, comes with a comprehensive educator's guide, activity cards, and access to the Clixo Classroom online portal. This portal offers a wealth of free resources, including lesson plans, video challenges, and educator testimonials, to help teachers incorporate Clixo into their curriculum.

Additional Fun with Mobi

Mobi, a leading toy company, has introduced two exciting new water play toys: Oomplz and Skwooshlz. Oomplz's drip-drop suction cups and Skwooshlz's water-squeeze bulbs offer endless fun for bath time and outdoor play.

Whether you're looking for a fun family activity or an engaging classroom tool, Clixo and Mobi's water play toys offer something for everyone. These innovative toys promote creativity, problem-solving, and fine motor skills, making them perfect for kids of all ages.

www.clixo.com

FEATURE ARTICLE

DASHING THROUGH THE HOLIDAYS

THE U.S. TOY INDUSTRY LOOKS TO UNWRAP A WIN

FEATURE ARTICLE

DASHING THROUGH THE HOLIDAYS

The U.S. Toy Industry Looks to Unwrap a Win

It’s the peak of autumn, and I am writing this column from my home office in Illinois. It’s Halloween season, and festive parties and trickor-treat events are populated by masses of kids, many of whom are decked out in costumes purchased at the local Spirit Halloween, a seasonal pop-up retailer that often inhabits the shell of a defunct retailer, like Toys “R” Us or Kmart.

Once one of the largest toy retailers in the U.S., Kmart recently closed its last full-line store after years of slow and painful decline, a cruel and unusual end to the legacy of S.S. Kresge. Meanwhile, Toys “R” Us, which closed its U.S. stores in 2018, is blazing a comeback trail by forging partnerships and opening new store concepts.

Nearly 10,000 miles away, in Australia, it’s the height of spring, and Kmart is doing booming business.

It’s stocked for the holidays and ready to delight shoppers with a wide array of trendy, exclusive merchandise. On the other hand, Toys “R” Us ANZ hasn’t fared quite as well, stalling in its efforts to rejoin the brick-and-mortar world while spinning its wheels in the digital realm of e-commerce, fighting for brand awareness.

While the opposites of life in the U.S., Australia, and New Zealand can feel like “The Upside Down” or “Bizzaroworld,” the reality is

that we’re all headed in the same direction. The holiday rush is on, and Christmas comes on the same day, whether you’re in Sydney, Auckland, or Chicago.

Parents, grandparents, and other gift-givers are on the holiday hunt, looking for the perfect toy or game for the kids in their lives.

Here in the States, this holiday season is one peppered with uncertainty. Mixed messages regarding the

strength of the U.S. economy and its job market loom amid the tumultuous political climate in a Presidential election year. While Christmas, Hannukah, and Kwanza collide in the same week this year, the selling season is five days shorter.

According to the National Retail Federation, overall U.S. retail spending during the November-December holiday season is set to grow between 2.5% and 3.5% compared to 2023.

While the organization doesn’t include toys in its breakdown, Adobe Analytics does and expects digital sales of toys — driven by what it’s calling “the first truly mobile-first holiday season” — to hit $8.1 billion, an increase of 5.8% over the same period last year.

Ultimately, the U.S. toy industry and its global peers seek a win this season.

Given the challenges of the past 6-7 years, ending 2024 flat to slightly down would achieve that goal as the industry looks forward to next year for a return to real growth. I expect skewed sales numbers reflecting fewer units sold at a higher price, continuing a trend of recent years.

With orders shipped and Q4 moving quickly, retailers are now responsible for much of this season’s success as the toys have been handed off. I always say that you can’t simply pile a bunch of toys and games on a shelf and expect them to sell themselves. No matter where you operate, basic retail fundamentals remain the same: a toy store or department should be

well-stocked, well-merchandised, constantly maintained, and staffed by people passionate about the product. Those key ingredients can move product and allow competition on more than price alone, but aggressive pricing is occurring earlier than ever, at least here in the States.

As the industry charges forth with the holiday homestretch on the horizon, now is the perfect time to check in with partners and collaborators to see how you can best support one another to ensure clean inventory channels on the other side of the holidays.

Being set up for success in 2025 just might be the greatest gift of all.

James Zahn, best known as The Rock Father, is the Editor-in-Chief of The Toy Book, the leading trade publication serving the North American toy industry since 1984. He is also a Senior Editor of The Toy Insider and The Pop Insider and is frequently called upon for expert commentary on the toy industry. He has been featured in The New York Times and Forbes, and has appeared on Yahoo! Finance, CNBC, BBC, NBC, ABC, CBS, FOX, CNN, and more. Connect with him on LinkedIn or follow him on X and Instagram @therockfather

COLUMN

ACCORDING TO DOWNSEY

The 25th Brand Licensing Europe

It's been a busy couple of months in the UK Licensing market, most notably as the industry assembled at the 25th incarnation of Brand Licensing Europe (BLE) and people's attention turned to the key Christmas trading period.

BLE celebrating its 25th Anniversary was cause for celebration and also reflection. The show has come a long way in its 25 years - it was originally sited at the Business Design Centre in Islington and is now sited at ExCel in London's Docklands. The two venues are some 10 miles apart. The distance in miles traveled is modest when compared to the strides the licensing industry has made in the same time.

Licensing is definitely now more established in a range of business sectors and recognized as an opportunity by more retailers. This is due in part to the collective effort of the industry but of course this

has been bolstered by the work of individual companies. Licensing is a cooperative business but also one that is highly competitive. BLE 2024 reinforced the growing level of competition on the supply side of the business - there are more rights than ever available to license. Maybe we need to be a little more circumspect about launching new properties?

It also reinforced my view that as an industry, we need to redouble our efforts to develop licensing opportunities in new business sectors, and that we need to encourage new suppliers to try licensing. One aspect of this is trying to nurture "new to licensing" companies more carefully with a view to them becoming longterm players rather than being "one and done" licensees.

Categories like "live licensing" give cause for encouragement in regard to new business and how licensing can

make an impact in new sectors. There are lots of examples of licensed rights being used to create "experiential" activations at the moment.

A few good examples are: the National Trust working with Aardman to create a Shaun the Sheep Art trail at its Winkworth Arboretum property, the ongoing success of the Horrible Histories Terrible Thames sightseeing tour, and the Paddington experience which recently opened in London.

Live licensing isn't confined to children's brands though. TV quiz shows like Taskmaster have spawned live shows whilst sports brand owners like the Formula One authority have created live "hands-on" experiences.

Ian Downes Start Licensing Ltd

It is also good to see retailers like Sainsbury's use licensed IP to create their Christmas TV commercials; these campaigns are high-impact and very visible. Sainsbury's commercial features Roald Dahl's BFG character.

It is also encouraging to see categories like food and drink using licenses more frequently for new product launches. Chocolate and confectionery firm Zertus just announced a new deal with premium alcohol brand Bailey's that includes a range of Bailey's Chocolate products.

In my own experience, I have seen how well-chosen character brands can be used to create engaging new products like Tyrrell's Wallace & Gromit Wensleydale & Cranberry flavored crisps.

This launch, as an exclusive to Co-op stores, is thriving. To reinforce what can be done in FMCG, the Wensleydale Creamery have launched a range of Wallace & Gromit shaped cheese truckles in the run-up to Christmas.

Getting your timing right is also a key contributor to licensing success.

I am not sure I will be attending BLE 2049, but I feel sure the UK Licensing industry will be surviving and thriving then. I'm hoping that as an industry we are looking forward to seeing how we can all help the industry grow and reach new market sectors.

It's hard to predict what the Licensing landscape will look like in 2049, but I am sure the leading properties in that landscape will be ones built on solid foundations and ones that are delivering an audience that is emotionally engaged with them.

INTERNATIONAL TOY AND STATIONERY AGENT

www.about.me/thierrybourret

OPINION PIECE

I AM THIERRY

INTERNATIONAL TOY AND STATIONERY AGENT

Gone are the days, or they should be, when companies could hop over to China, tweak a few colours and slap on new packaging, then proudly present this as “innovation.” Yet, here we are, with plenty still at it. We all know the usual suspects and could name them – though that’s usually kept for private conversations. And let’s not overlook the distributors who will pick up a brand, scrutinise what’s selling well, and then simply turn around and clone it. I call them “copy shops” – and I know many of them.

It’s not just the small and medium-sized businesses copying each other; big companies do it too, and they even sue each other for the privilege. Good for the lawyers, no doubt. It’s a convenient strategy –taking fewer risks once a range has proven itself in the market, a “me too” approach that costs next to nothing in R&D. These days, Amazon data has made it easier to get relatively accurate insights into sales, and several software tools can give you a fair idea of what’s moving and what’s not. Amazon, of course, has their data at hand and uses it to fuel their own brands. While I haven’t seen them move into toys in a big way with private-label products, it’s really only a matter of time.

Amazon is no stranger to using data to their advantage, as Toys “R” Us certainly learned. Amazon once partnered with Toys “R” Us to help drive toy sales, only to later cut them loose. Was that the first step in TRU’s downfall in the US? I’d say it was, without a doubt. But I digress; let’s get back to the real issue here – the persistent lack of genuine newness in toys.

Endless

Products

The market is saturated with copycat toys that do little more than offer cosmetic changes to existing ideas. Rather than bringing anything genuinely innovative, many brands simply recycle popular concepts with minimal tweaks, crowding the market with a stream of indistinguishable options. These “metoo” products add noise rather than value and only serve to highlight the lack of genuine originality within the industry. It’s an approach that offers little by way of growth, as it’s merely retreading old ground.

'Me-Too'

Over-Reliance on Licensing

Too many companies rely heavily on licensed characters and franchises, rather than building original intellectual property. While licensed toys can certainly be profitable, this dependency stifles creativity and often leads to products that feel generic, lacking the uniqueness needed to capture children’s imaginations. Relying on licensing has its merits in the short term, but it’s ultimately restrictive, as it creates a reliance on pre-existing characters, instead of innovating and creating memorable toys that stand alone. It’s a path welltrodden but increasingly stale.

Minimal Investment in R&D

Most companies these days seem focused on immediate returns, often opting to skimp on research and development and instead replicate existing trends. This reluctance to invest in genuine R&D stifles innovation, resulting in toys that are often just rebranded versions of last year’s bestsellers. It’s a strategy that saves on costs but ultimately sacrifices long-term growth. Without meaningful investment in R&D, companies remain on a loop, endlessly rehashing what’s already been done.

Short-Term Thinking Driven by Fads

Rather than developing products with staying power, many companies chase quick returns, latching onto shortlived fads. Although this approach can yield immediate profits, it discourages the creation of classic, enduring toys. The industry is filled with products that pop up and then disappear just as quickly, rarely leaving a lasting impact. There is little incentive to build products with a legacy; instead, it’s all about what will sell for the next few months. The result? A market with little sense of permanence and even less vision.

Resistance to Embracing New Play Concepts

The toy industry has also been slow to embrace new play trends, from STEMbased toys to sustainable materials or digital integration. These areas have real potential for innovation, yet many brands remain content with safe, traditional approaches rather than exploring new concepts that could propel the industry forward. But it’s not solely the companies at fault; retailers share the blame here. Risk-averse to the extreme, they tend to stick with tried and tested products, avoiding anything unfamiliar at all costs. This is one of the reasons we miss Toys “R” Us in the US; they weren’t as cautious and were more willing to give new ideas a chance. In their absence, the market’s tendency towards safety-first thinking has only increased, making it all the harder for truly innovative toys to see the light of day.

In summary, “newness” is becoming a rare quality in the toy industry, lost amidst an ever-growing landscape of imitation, safe bets, and short-term thinking. Until there’s a shift towards genuine creativity and a willingness to invest in original ideas, we can expect more of the same – a market of toys that all look rather familiar.

Thierry, a seasoned international sales and marketing expert, founded Konomocha in 2015. With over 20 years of experience, he helps toy and stationery brands expand into EMEA and APAC markets. Konomocha provides tailored solutions for sourcing and distribution, leveraging strong connections in regions like China, Thailand, Indonesia, India, and Vietnam. Before Konomocha, Thierry successfully founded Asobi, a UK-based toy distribution company. He also held executive roles at Hitachi Europe, gaining valuable experience in strategic growth and operations. Currently based in Bangkok, Thierry combines industry knowledge with a practical, results-oriented approach. Beyond Konomocha, he's passionate about rugby and supports his wife's fashion accessories business, ako & sila.

ARTICLE

THE RISING TIDE OF ANIME

WRITTEN BY JASON WANG

GENERAL MANAGER — BRAND LICENSING @ SUGOI CO

Unlock Your Product’s Potential with the Power of Anime ARTICLE THE

As anime continues to dominate global pop culture, its influence on entertainment, fashion, and collectibles is only growing. Iconic franchises like Dragon Ball, One Piece, Naruto, and Attack on Titan have become licensing mainstays, engaging fans across generations. Sugoi Co’s mission is to bring the excitement of anime to fans in innovative and meaningful ways through Theatrical, Home Entertainment and Merchandise Licensing with our growing list of licensee partners.

October 2024 kicks off Dragon Ball’s 40th anniversary with a new series, Dragon Ball Daima, now streaming in AU/NZ on Crunchyroll and ranking in at No. 1 on Netflix in Kids category on the day of new episode release and a new video game from Bandai Namco. Add this to Dragon

RISING TIDE OF

ANIME

Ball Z and Dragon Ball Super, which is available on ABC TV as well, we have a fan base spanning 4 decades. Sugoi Co is also proud to be the Theatrical partner to bring this new series into cinemas in AU/ NZ from November 14th 2024 with exclusive first-in-market English Dub episodes.

October 10th is Naruto Day, celebrating Naruto’s birthday and beginning its 25th anniversary year. In 2024, Naruto, Dragon Ball and One Piece all featured in key campaigns by EB Games/ Zing Pop Culture such as Ani-May, Pop Culture Fan Club, and the upcoming Xmas promotion. Our partnership with EB Games/Zing Pop Culture saw for the first time, a wide variety of merchandise at over 350 locations across AU/NZ, with Naruto’s Ramen Bowl and

Chopsticks the best seller. This tells us that consumers are excited for new products and we are looking forward to the launch of the Naruto Akatsuki range of Pet accessories next month. The success story of the Oodie x Naruto collaboration also further supports that anime can widen your product’s audience and boost sales.

Konami’s Yu-Gi-Oh! is celebrating its 25th anniversary through to 2025. Following the initial apparel launch at Jay Jays and Best and Less, Culture Kings has also released a range of tees for the older fans. We aim to continue support with our existing partners as we venture into new categories and retail partnerships for 2025.

An important portfolio to Sugoi Co, is the Kodansha library, known for classic Ghost in the Shell, featuring a premium mix of classic and new content available in Manga and Anime assets to offer licensees something to suit their product category and retail channel. Attack on Titan is in its 10th Anniversary year, and will top it off with a movie to bring its final season saga onto the big screen. Blue Lock, Fairy Tail, Seven Deadly Sins, That Time I Reincarnated as a Slime all have new seasons debut in 2024 and would be perfect to expand in apparel and accessories. Initial D and MF Ghost are perfect for Japanese car and street racing fans in street wear and auto accessories.

No matter what product category and retail channel, Sugoi Co has an anime license to suit your business. Connect with us to explore the world of anime and manga.

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