July/August 2016

®

CONSTRUCTION TOYS

BUILD UP SUCCESS

CONTINUE DOWN A WINNING PATH

FRESH, FIERCE, & FABULOUS DOLL SALES ARE ON THE RISE

JULY/AUGUST 2016

®

Volume 32, No. 4 — Published by Adventure Publishing Group

Jonathan Samet Publisher jsamet@adventurepub.com Jackie Breyer Editor-in-Chief jbreyer@adventurepub.com

DEPARTMENTS 4

Editor’s Viewpoint

5

Sweet Suite 2016

6

Stat Shot

8

Industry Update

10 TIA Happenings

11 Compliance and Regulations

Ensuring Ethical Conditions During the Toy Production Peak

32 What’s New

49 Talking SEO

Marissa DiBartolo Senior Editor mdibartolo@adventurepub.com

Fad, Shmad. New Domain Extensions Are Here to Stay

Ali Mierzejewski Senior Editor amierzejewski@adventurepub.com

50 Flashback:

July/August 1996

Stephanie Grassullo Assistant Editor sgrassullo@adventurepub.com Maddie Michalik Assistant Editor mmichalik@adventurepub.com

48 Industry Marketplace

Varuni Sinha Assistant Editor vsinha@adventurepub.com Joe Ibraham Assistant Visual Media Editor jibraham@adventurepub.com

FEATURES 7

Kidz Global

Star Wars Stalls at Retail

12 Construction Toys Build Up Success

Sean McGowan discusses the steady growth of the construction toy category, and what that means for the category’s future.

Melanie Rainone Editorial Assistant mrainone@adventurepub.com

26 Fresh, Fierce, and Fabulous

Steven Vega Editorial Intern

Innovative and Classic Dolls Spur Sales Through Q4

Bill Reese Production Director breese@adventurepub.com

47 China Toy Expo

Verified star suppliers to help international buyers at China Toy Expo.

Lori Rubin Controller/Office Manager lrubin@adventurepub.com U.S. Corporate Headquarters

20 Board Games Continue on a Winning Path

Laurie Schacht President laurieschacht@aol.com

Mary Couzin looks at board game trends in 2016.

Adventure Publishing Group, Inc.® 307 7th Avenue, #1601, New York, NY 10001 Phone: (212) 575-4510 • Fax: (212) 575-4521

specialty toys & gifts: 33 34 ASTRA’s Insights: Tools at Your Fingertips

ASTRA’s Resources for Planning Your Fourth Quarter

36 Securing Funds for Your Prototype 38 Games Showcase

41 Euromonitor

Entertainment Brands Boost Building Toy Sales

42 Construction Toy Showcase 44 Dolls Showcase 46 Media Center

Classic Strawberry Shortcake Doll, from The Bridge Direct

The Toy Book Volume 32, No. 4 THE TOY BOOK (ISSN-0885-3991) is published bimonthly by Adventure Publishing Group, Inc.® Editorial and advertising offices are located at 307 Seventh Ave., Room 1601, New York, NY 10001, Phone (212) 575-4510. Periodicals Postage paid at New York and additional mailing offices. Copyright © 2016 Adventure Publishing Group, Inc.® All rights reserved. No part of this publication may be reproduced or transmitted in any form, or by any means, electronic or mechanical, including photocopy, recording, or any information storage and retrieval system, without written permission from the publisher. Printed in U.S.A. Subscription rates: $48 one year, foreign $200. The Toy Book is a trademark of Adventure Publishing Group, Inc.® Registered in the U.S. Patent & Trademark Office. Postmaster: Send address changes to: The Toy Book, c/o Adventure Publishing Group, 307 Seventh Ave., Room 1601, New York, NY 10001.

Opinions and comments expressed in this publication by editors, contributing writers, or solicited or unsolicited documents are not necessarily those of the management of The Toy Book.

On the Cover, Toy Book: Action Princesses, from The Haywire Group On the Cover, Specialty Toys & Gifts: Babblebaby Little Sister, from Madame Alexander

Member, International Toy Magazine Association

editor’s viewpoint

ON A WINNING STREAK SALES ARE UP ACROSS CATEGORIES

by JACKIE BREYER, Editor-in-Chief EVERYONE WANTS TO BE A WINNER. When you fail, you learn and grow. Absolutely. But right now, the toy industry overall is winning and we’re all entitled to bask in the glory. The NPD Group is reporting that the U.S. toy industry was up 7.5 percent in the first half of this year, and NPD estimates that the industry will grow approximately 7 percent, or $1.4 billion, for full-year 2016. This would equate to “the fastest growth of the U.S. toy market since 1999,” says Juli Lennett, senior vice president, U.S. toys industry analyst, The NPD Group. #winning Of course, not all products can be winners. As a trade publication, we see our share of “coulda, woulda, shoulda” products that either flop at retail or don’t make it to store shelves at all—but sales are up, and the outlook is good for the fourth quarter. Notwithstanding this fall’s presidential election, the National Retail Federation is also forcasting an increase in consumer spending, with the expectation that retail sales will grow 3.4 percent over last year.

In this issue, we take a look at three categories that are seeing significant success. It should come as no surprise that the construction category continues to makes strides, as this has been the most consistant growth segment of the U.S. toy industry over the past 15 years, according to industry analyst Sean McGowan. Flip to page 12 to check out his take on why this category is so steady, and what he expects to see from this segment in the future.

The games category is making tremendous strides, climbing 11 percent to $1.6 billion last year, and 24 percent this year, according to Mary Couzin, CEO and founder of Chicago Toy & Game Group. Couzin outlines the trends she sees contributing to this outstanding growth beginning on page 20.

The third category we are highlighting as a growth category in this issue might surprise you, as the segment has been struggling for

4 THE TOY BOOK | july/august 2016 | TOYBOOK.COM

“So, in the spirit of game night, you filled our drinks with dice cubes?” several years. The NPD Group is reporting a 16 percent uptick in doll sales for the first quarter of this year, and BMO Capital Markets predicts that doll sales will continue to grow by about 10 percent overall this year.

Dolls have been making headlines throughout the industry, particularly regarding Mattel’s new Fashionistas line of more diverse Barbie dolls, and consumers are responding positively. The Toy Industry Association’s Kristin Morency Goldman spells it out for us beginning on page 26.

There’s a lot more inside! Enjoy this issue

of The Toy Book, and let us know what you think. Tweet @toybook and @jackiebreyer, or email me at jbreyer@adventurepub.com.

We’d love to hear from you! »

Jackie Breyer is editor-in-chief of The Toy Book and the Toy Insider, and editorial director at Adventure Publishing. She has been reporting on new products and toy industry trends for 14 years. Contact her at jbreyer@adventurepub.com.

SWEET SUITE

FROM SNIFFING SWEET SCENTED PLUSH, TO DRESSING UP LIKE FAIRIES, TO TAKING photos with Peppa Pig, digital influencers rocked the boat in New York City.

The Toy Insider’s Seventh Annual Sweet Suite event took place on July 13 aboard the Majesty Yacht, docked in Manhattan. Known as The Biggest Night of Play, the premiere toy party of the year welcomed more than 400 influential bloggers and vloggers and more than 100 members of traditional media to connect with toy companies in advance of the holiday shopping season. And for the first time ever, 18 of the top influencers under the age of 18 joined in on the festivities, including babyteeth4, KittiesMama, KidToyTesters, and MommyandGracieShow.

Sweet Suite was the feature event at the third annual Blogger Bash, a two-day conference for experienced digital influencers featuring parties, exhibitions, and speed pitching sessions. Blogger Bash welcomed attendees into high-energy party atmospheres, giving them a chance to have fun while mingling with brands in a professional yet inviting setting.

This year at Sweet Suite, bloggers enjoyed one-on-one time with representatives from more than 80 of the hottest kids’ brands and properties on the market, including VTech, Activision, Jakks Pacific, LeapFrog, Hasbro, Spin Master, Lego, Warner Bros., Fisher-Price, and more. #SweetSuite16 generated more than 185 million Twitter impressions, more than 2.6 million Instagram impressions, and dozens of YouTube videos and blog posts.

Sweet Suite 2016 gave digital influencers and members of the press a chance to meet old and new friends while sipping on cocktails, feasting on scrumptious snacks, and—best of all—playing with the hottest toys of the holiday season before they hit the market.

Enormous swag boxes were shipped directly to attendees’ homes after the event, sparking a resurgence in social media impressions and ensuring bloggers and journalists have products onhand to review and share with their followers.

On September 21, 2016, the Toy Insider team will host its fifth annual HoliDAY of Play event in New York City, where 150 members of the media will be the first to see the Toy Insider’s Hot 20, Top Tech 12, and STEM 10 hot holiday toy picks, as well as meet with top manufacturers before the holiday season.

If you’re interested in learning more about these events, contact Laurie Schacht at thetoyinsidermom@gmail.com.

TOYBOOK.COM | JULY/AUGUST 2016 | THE TOY BOOK 5

STAT SHOT

5

Top

Building Sets

Dolls

Games/Puzzles

Top Item:

Top Item:

Top Item:

Star Wars Millennium Falcon

Shopkins 12Pack Assortment

Pie Face Game

LEGO Group

Moose Toys

Hasbro

1

LEGO Star Wars

1

Shopkins

1

2

LEGO City

LEGO Group

2

Barbie

2

Magic: The Gathering Hasbro

3

LEGO Super Heroes LEGO Group

3

Disney Princess

3

Monopoly

4

LEGO Friends

4

Disney Frozen

4

Yu-Gi-Oh

5

LEGO Minecraft

5

My Little Pony

5

UNO

LEGO Group

LEGO Group

LEGO Group

Moose Toys

Mattel

Hasbro

Hasbro

Hasbro

January-May 2016 vs. Last Year

Pokemon

Hasbro

Konami

Mattel

The total toy industry grew 7 percent from January to May 2016 versus the same time last year. Both Dolls and Games/Puzzles grew about twice as fast as total toys. Building sets grew 2 percent, or 5 points slower than total toys.

+15%

600

Dollar Sales ($MM)

Pokemon

+2%

+13%

400

200

0

Building Sets

Dolls Source: The NPD Group/Retail Tracking Service/Jan-May 2016

6 THE TOY BOOK | JULY/AUGUST 2016 | TOYBOOK.COM

Games/Puzzles

KIDZ GLOBAL

STAR WARS STALLS AT RETAIL The Star Wars brand has saturated the market with a variety of new products, but sales at retail have fallen short of expectations.

by PHILIPPE GUINAUDEAU, CEO, Kidz Global THE DISNEY ERA OF THE STAR WARS franchise finally launched in December 2015, and since then the retail industry has been saturated with a wide variety of branded merchandise. Disney widely opened up licensing for the Star Wars brand, and we’ve seen a vast array of products, from realistic BB-8 robots to branded mascara, all designed to market the Star Wars name to a variety of ages and demographics. The question is, how well has Star Wars merchandise really fared in the retail world?

It is estimated that the current total revenue for the Star Wars franchise is $28 billion, with box office revenue “only” generating $4.4 billion of that total. It seems then that a huge percentage of the franchise’s money is made through mer-

chandising and licensing. This is certainly a big win for Disney, but have retailers experienced the same levels of success? Many licensed Star Wars products have actually remained as in-store inventories rather than selling out, not as retailers would have expected for products associated with such a major evergreen franchise. So, what could have been done better?

MARKET APPEAL

Despite there being many licensed beauty products and clothing lines aimed at females, the Star Wars brand seems to have fallen flat with this demographic, particularly those between the ages of 3 and 25. According to the latest BrandTrends Research (a tracking service from the market research firm Kidz Global), in general,

it seems that the youngest generation has not had its hearts and minds fully engaged with the Star Wars franchise. It remained up to those ages 25 and up, who have nostalgic memories of Lucas-era Star Wars, to fly the flag for true Star Wars fans.

It appears that there is better uptake of the brand among boys ages 3 to 9, rather than the 10 to 14 and 15 to 25 age brackets. However, perhaps boys ages 3 to 9 do not have the buying power that older fans may have, which is why sales of merchandise are not as successful as they could have been.

A SATURATED MARKET

In opening up licensing to such a wide variety of products and brands, it could be that Disney has saturated the market with Star Wars-branded products that the general public simply don’t need or want. Star Wars fans were expected to covet licensed games, toys, figurines, and even clothing, but how much use do they have for Star Wars-branded cereals or coffee creamers?

Are products such as Star Wars-branded makeup collectible, coveted items, or are they mere novelties that do not fully capture the attention of the target market?

Overall, it’s safe to say that the latest opus of worldwide franchising of Star Wars has performed well for Disney, but for retailers themselves, it’s only a partial success. » *Source: BrandTrends, brandtrends.com

In the major countries, Star Wars improved its position among the most favorite brands by seven points to eight points over October 2015. For girls, far fewer rank Star Wars in their top three favorites.

Phillippe Guinaudeau is CEO of Kidz Global, a quantitative market research and consulting firm with offices in Europe and the U.S. It provides intelligence and research on preschoolers, kids, teens, and family consumer markets in more than 40 countries. For more information, visit kidzglobal.com.

TOYBOOK.COM | JULY/AUGUST 2016 | THE TOY BOOK 7

INDUSTRY UPDATE Floogals

JUST PLAY BECOMES MASTER TOY PARTNER FOR FLOOGALS IN U.S. AND CANADA Zodiac Kids Studios named Just Play the master toy partner in the U.S. and Canada for the Floogals animated series.

Brand Activation Consulting helped secure the deal as the consumer products agents for Floogals in the U.S. The 52 x 11-minute series launched on Sprout earlier this year.

Floogals is a mix of photo real CGI and live action for preschool TV and is a story about pocket-sized aliens Fleeker, Flo, and Boomer on an adventure to explore earth. Zodiak Kids owns worldwide distribution and licensing rights to Floogals, and Discovery Kids represents the licensing rights in Latin America. »

MOOSE TOYS LAUNCHES TWO NEW LINES OF COLLECTIBLE FIGURES Moose Toys, makers of Shopkins, launched two new lines of collectible brands at major retailers this fall: The Grossery Gang and Twozies.

The Grossery Gang is designed to look like gross versions of everyday snacks found at a convenience store, with more than 150 pint-sized characters such as Putrid Pizza and Fungus Fries. Limited Edition characters will include Faked Beans and Shoccoli Broccoli.

Twozies combines babies and pets, and includes pairs such as Jangles and Bangles, the baby and the pet giraffe. As soon as collectors create a match, they can display their pair in a shadow box, which is included in each Twozies surprise pack. »

Grossery Gang, from Moose Toys

8 THE TOY BOOK | JULY/AUGUST 2016 | TOYBOOK.COM

HASBRO ACQUIRES BOULDER MEDIA ANIMATION STUDIO Hasbro acquired Boulder Media, an Irish animation company based in Dublin. Boulder has produced a variety of award-winning series for Cartoon Network, Nickelodeon, Disney, and BBC. As a wholly owned subsidiary, Boulder will continue to produce animated series on behalf of third-party clients, in addition to producing animation projects for Hasbro’s brands. Terms of the transaction, which closed on July 13, were not disclosed. »

MATTEL NAMED MASTER TOY LICENSEE FOR JURASSIC WORLD NBCUniversal Brand Development named Mattel as the worldwide master toy licensee for Jurassic World beginning in July 2017. Under the terms of the deal, Mattel will design, produce, and bring to market a variety of toys and consumer products inspired by the franchise and its multiple feature films, including the next film, which is set to release in 2018.

Mattel’s license

rights include action figures, play sets, vehicles, games, plush, role-play, preschool, and activity toys. NBCUniversal and Mattel will begin to design and develop the new lines immediately, with initial products hitting shelves in early 2018.

Hasbro previously held rights to make toys based on the Jurassic World series. According to Bloomberg, Jurassic-themed toys accumulated approximately $100 million in sales for Hasbro last year. »

JAZWARES ACQUIRES FIRST ACT Jazwares LLC, a subsidiary of Alleghany Capital Corp., recently acquired First Act Inc. Headquartered in Boston, First Act designs, markets, and supplies musical products, instruments, and accessories for kids and young adults under the First Act and First Act Discovery brands, as well as an array of licensed properties.

“We are excited to build upon First Act’s unique merchandise offering by accelerating new product development, expanding existing licensor and retailer relationships, and leveraging Jazwares’ world-wide operations to increase First Act’s global presence,” says STAY CONNECTED!

@ToyBook

industry update Judd Zebersky, president and CEO of Jazwares LLC. “The First Act transaction is the first acquisition by Jazwares since Alleghany Capital increased its equity interest in it this year and is consistent with the company’s strategy of accelerating its growth through targeted acquisitions,” says David Van Geyzel, president and CEO of Alleghany Capital. »

BANANAGRAMS SIGNS NORTH AMERICAN DISTRIBUTION DEAL WITH BIG POTATO Bananagrams Inc. partnered with UKbased independent games company Big Potato to bring several new party games to the U.S. The games—Bucket of Doom, Obama Llama, Mr Lister’s Quiz Shootout, and Scrawl are now available in Target stores and online.

Bananagrams currently distributes Big Potato’s trivia game Linkee throughout the U.S. and Canada. The new games were also featured at the Gen Con game convention in Indianapolis from August 4 to 7.

“We are thrilled to further cultivate our

relationship with Big Potato,” says Rena Nathanson, CEO of Bananagrams Inc. “2016 marks the 10th anniversary of Bananagrams, the game that started it all for us, and we’re continuously evolving and looking for ways to grow our portfolio both internally and with creative partners that share our vision.” »

IAMELEMENTAL RELEASES SERIES 2/WISDOM IAmElemental will ship its Series 2/Wisdom figures next month. This latest series of action figures specifically designed for kids will include Creativity, Ingenuity, Curiosity, Logic, Exploration, Mastery, and Oblivion, modeled after STEM pioneer, Hypatia.

Series 1/Courage, which debuted in 2014, features seven 4-inch poseable female figures based on Joan of Arc, including Bravery, Honesty, Fear, Enthusiasm, Energy, Industry, and Persistence. IAmElemental started as a Kickstarter campaign and was fully funded in two days, with backers from all 50 states and six continents.

Series 1 is now available worldwide, and

Series 2 will be available as individual characters or as complete Lunchbox sets in retail stores worldwide and online. »

BARBIE, SHE SHOULD RUN TEAM UP FOR PRESIDENT AND VICE PRESIDENT DOLLS Mattel introduced new President and Vice President Barbie dolls and teamed up with She Should Run, a non-partisan organization dedicated to expanding the talent pool of future elected female leaders, to help motivate more women and girls to explore leadership opportunities. As partners, the companies are working together to highlight female leaders, offer products that enable leadership storytelling, and get parents talking to their kids about being a leader.

Although Barbie has run for president in the past, this is the first time that she will run on an all-female ticket, now uniting with the new Vice President Barbie. The doll set is available in a variety of hair colors, skin tones, and face shapes, and are sold at retail in packs of two. »

TOYBOOK.COM | JULY/AUGUST 2016 | THE TOY BOOK 9

Photo: Matt Pasant

tia happenings

COAST-TO-COAST TOY PREVIEW MONTH TO CULMINATE AT TIA SHOW

IN DALLAS

by KRISTIN MORENCY GOLDMAN, Toy Industry Association ALL EYES WILL TURN TO DALLAS THIS September when the global toy industry converges at Fall Toy Preview to see a flood of innovative new products and line extensions for the 2017 holiday season. Owned and operated by the Toy Industry Association (TIA), Fall Toy Preview will take place at the end of Toy Preview Month, when the bulk of coast-to-coast product preview meetings wind down.

“September is a hectic month for the collective toy industry, with buyers traveling across the nation—from California to Connecticut to Rhode Island, before finally arriving in Dallas—to view what’s new and cutting edge in toys and games for holiday 2017,” says TIA president and CEO Steve Pasierb.

“Though Fall Toy Preview has historically been held in October, this year it shifts to the final days of September due to calendar holidays. TIA is working to coordinate efforts with the toy community as we all have to do everything we can to make it easier for retailers navigating the calendar and the country.”

A broad audience of long-lead mass and specialty buyers, wholesalers, importer-distributors, and manufacturers’ reps will hit the road this fall to see the new toys on the block that will appeal to their respective markets.

Brand marketers and product development teams from toy companies of all sizes will present their new toys and games—including educational products, puzzles, action figures, dolls, building sets, and tech toys—for the

following year’s all-important holiday season.

Buying activities will culminate at the Dallas Market Center in Texas, when Fall Toy Preview opens its doors on September 27 for three action-packed days of trend spotting, order writing, and networking. Building on last year’s successful show, the event will continue to broaden its appeal in format and content, offering educational sessions, open booths, and networking activities to ramp up the experience for first-time and veteran visitors alike.

Playthings seen at Fall Toy Preview will lay the groundwork for next year’s hottest trends. TIA’s trend-spotting team will be onsite at the show to hold one-on-one meetings with exhibitors to discover the latest trends and developments in toys, play, and youth entertainment. Trend information will be kept under embargo until the North American International Toy Fair in New York City in February, when TIA will unveil the biggest trends of the year in front of media and buyers.

“Our trend-spotting activities in Dallas and throughout the year help to ensure that our industry’s wonderfully creative and developmentally beneficial ‘tools’ of play are recognized by the media and, ultimately, by consumers,” says Adrienne Appell, TIA’s leading trend expert. “Our key goal is to remain ‘in the know’ about what’s hot for kids, while highlighting the critical role that toys play in the healthy development of children of all ages.”

10 THE TOY BOOK | july/august 2016 | TOYBOOK.COM

Registration for Fall Toy Preview is now open, with hundreds of buyers already signed on to peruse multiple floors at the Market Center. Frequent attendees include big-name retailers, such as Amazon, Dollar Tree Stores, Hobby Lobby Stores, Michael’s, Toys “R” Us, and Walmart, as well as buyers from novelty, eco-friendly, museum, homeschool supply, and specialty toy shops.

“Each fall, Walmart’s toy buying team dedicates itself to discovering the best of what’s new and exciting for the next year’s holiday season,” says Anne Marie Kehoe, vice president of toys at Walmart. “We truly appreciate the convenience and efficiency of TIA’s Fall Toy Preview in Dallas, which brings together hundreds of lines under one roof.”

“The entire toy industry is gearing up for a jam-packed month of previews,” adds Marian Bossard, senior vice president of global market events at TIA. “We’re proud that Fall Toy Preview remains an essential stop for brands and buyers who have come to value the show’s fantastic mix of business and networking opportunities.” »

More information about Fall Toy Preview, including registration details and an updated roster of participating buyers, is available at falltoypreview.org.

Exhibitors interested in meeting with a member of the TIA trends team are encouraged to contact TIA’s Adrienne Appell at (646) 520-4853 or aappell@ toyassociation.org to book an appointment.

compliance & Regulations DEPARTMENT

ENSURING ETHICAL CONDITIONS DURING THE TOY PRODUCTION PEAK: Responsible Recruitment Practices

by MARK ROBERTSON, director of communications and stakeholder relations, ICTI CARE Foundation SEASONAL FLUCTUATIONS IN production are an ever-present feature of the global toy market. The shift of the production demand at toy factories during the summer creates a need to substantially increase the workforce for that time.

This seasonal extreme in demand has a major effect on toy production scheduling.

ICTI CARE estimates that the number of employees at toy factories can fluctuate by up to 58 percent between the high and low production seasons.

The added pressure this creates—plus the high intake of workers that are needed to meet the demand—generates risks that can lead to poor recruitment practices. Given the labor-intensive nature of toy manufacturing, it is essential that toy brands and retailers work with toy factories in their supply chain to adopt good recruitment processes and avoid key risks, which may threaten to undermine efficiency.

Migrant workers are often prominent in toy factory workforces in China, India, and Vietnam. These workers—in particular low-income migrants—are often among the most vulnerable to exploitation and human rights abuse. Poor recruitment procedures may occur as factories struggle to recruit the quantity of workers they need to fulfill orders

during peak production periods.

From inadequate planning and forecasting to poor production management, research has also shown that buyer-purchasing practices can also undermine a factory’s compliance with a company’s code of conduct.

This puts the rights and welfare of toy supply chain workers at risk.

RECRUITMENT PRACTICES AND POLICIES If proper recruitment processes are not followed, there is an increased risk of hiring underage workers or forced laborers. Other risks may include wage violations, excessive hours of work, unauthorized subcontracting, or precarious work, all which may result in non-compliance with the standards required under a responsible supply chain program.

Both toy buyers and factories have clear responsibilities in relation to responsible recruitment, and there are specific steps that toy companies should take to ensure that recruitment practices respect the rights and welfare of toy supply chain workers.

To start, companies should develop written policies and procedures on responsible recruitment. Like toy brands, toy factories should have written recruitment policies and procedures on the subjects of child labor, forced and prison labor, and discrimination, and they must follow through with them during the recruitment process.

Policies should be clearly communicated to the human resources staff, with clear direction on the legal and ethical practices that should be followed throughout the recruitment process. Factories should also employ qualified human rights personnel with good understanding of labor laws to oversee recruitment. Keeping good personnel files for all workers is vital in verifying key attributes, such as age and other important information.

It’s also important to ensure that workers’ identification documentation is never withheld for an unreasonably long period of time. It’s wise to have photocopying resourc-

es near the recruitment center to expedite the process.

ICTI CARE INTRODUCES RECRUITMENT PRACTICES BRIEFING To help the industry adopt the best practice in tackling recruitment challenges, ICTI CARE has published a new Recruitment Practices Briefing. Available at icti-care.org, the briefing includes an introduction to ethical recruitment issues to look out for at factories in your toy supply chain, guidance on how to tackle these issues, and practical tips to help ensure you adhere to the ICTI CARE code.

The briefing also serves as a useful resource for brands and retailers to increase their general understanding of issues their suppliers face during peak production season.

Forward thinking toy companies—and the factories that supply them—are increasingly adopting better recruitment practices that pay close attention to how workers are recruited and hired. Experience tells us that when a factory develops a robust and practical hiring procedure, they can avoid serious risks related to forced student labor, child labor, and discrimination. Providing highquality training in critical areas such as health and safety helps to ensure that workers are well-protected and able to transition to the correct practices from the start.

Throughout China, factories are experiencing for themselves the benefits of ethical recruitment through higher retention rates and a happier, more productive workforce.

We encourage more factories—and their customers—to follow their lead. »

Mark Robertson has more than 15 years of experience with sustainability. He leads on global communications and stakeholder outreach at ICTI CARE Foundation, and is passionate about sustainability.

TOYBOOK.COM | July/August 2016 | THE TOY BOOK 11

Construction

Toys Build Up

Success

by SEAN MCGOWAN, managing director, Liolios Group THE CONSTRUCTION CATEGORY accounted for about 10.5 percent of total U.S. toy industry retail sales in 2015, according to The NPD Group. The category rose 9 percent in 2015, on top of a rise of 11 percent in 2014. Over the past 15 years or so, construction toys have been the most consistent growth segment of the

U.S. toy industry. Growth has been so strong and so consistent that if you were to exclude construction toys from total industry sales, there would have been essentially no growth in U.S. toy industry sales from 2003 through 2014 (prior to the massive surge in action figure sales last year), especially excluding the effects of inflation. It is the only one of the NPD toy industry super categories not to show at least one year-on-year annual decline during this period.

It is notable that not only does the category not owe its strong and steady growth during this period to the increased use of technology (electronics, Wi-Fi connections, apps, etc.), but also that the growth is actually in spite of an explosion in consumer interest in video games and smart gadgets. The category’s best years actually came after the introduction of the iPhone. (A side corollary here is that the biggest gains in Lego’s profitability came at a time when its main raw material—plastic resins—were undergoing a dramatic increase in costs, although recent years have offered some relief. Lego may be the most “plastic” of all toys, and yet wild

Lego Friends Adventure Camp Treehouse

12 THE TOY BOOK | july/august 2016 | TOYBOOK.COM

gyrations in the cost of the feedstock did nothing to disrupt its growth, even as other toy makers were blaming rising resin costs for their own dips in profitability.)

So, what accounts for the success of the category? I would argue that first and foremost, it is due to the strength of Lego, the category leader. Just as it is impossible to discuss the fashion doll category without discussing Barbie at some length, any discussion of construction toys likely needs to begin with Lego. The Danish juggernaut, poised to assume the mantle of “World’s Largest Toy Company” in the coming months (if it has not already happened), has been on a roll that is unprecedented in the industry in terms of its growth rate, the consistency of that growth, and the staggering profitability of its sales.

Lego’s category market share, which we estimate at greater than 80 percent, suggests that Lego did not simply ride the strength of the category—it created it. In my view, the company’s success has been based on several key components operating both separately and together. First, it changed its corporate culture (with astonishing speed, given its size, age, and prior success) to become more attentive to feedback from both retailers and consumers. Second, it stepped up its already impressive research and development efforts, developing a team of designers with an uncanny ability to discern what consumers

worldwide would be interested in seeing in the way of new themes. Third, it expanded its licensing efforts to incorporate a broad range of topical as well as timeless licenses. However, it is crucial to note that Lego’s growth over the past decade has not simply been the result of a significant increase in licensed toys. This is not all about Marvel and Star Wars. The company’s City line sets have seen growth that keeps pace with licensed categories. Fourth, it introduced Lego Friends, by far its most successful effort to attract girls to the play pattern that for so many years was considered one for boys.

And, in a sense, it is this success that leads to what I consider the fifth reason for Lego’s striking and consistent growth: It effectively expanded the construction category to incorporate elements of play that had previously been associated with other, non-construction toys. The rising popularity of its movie-licensed play sets and figures effectively put Lego in the action figure category, since kids would be playing with the Lego figures and play sets in much the same way that they might play with other licensed action figures. The Friends line tapped into young girls’ desire for dollhouse play, for collectibles, and for mini-dolls. Original themed sets, such as Ninjago and Chima, feature extensive vehicle play. The company even branched out into “board games” (although with less success than some of its other efforts). The Dimensions and Fusion lines are strong entrants in the toys-to-life and smart toy categories. In other words, much of Lego’s growth came as a result of taking the brand into new toy categories. In doing so, it effectively grew the construction toy category by taking over some of the play patterns previously held by non-construction toys.

Looking at the category more broadly than just its bigger player, what is interesting lately is that Lego is not the only construction toy maker that is seeing growth. For most of the years between 2005 and 2015, Lego

essentially got more than 100 percent of the category’s growth, while many of its construction toy rivals were seeing declines in sales. More recently, these other brands have seen growth.

• Since its acquisition by Mattel, Mega Bloks sales have stabilized and resumed growth (following a period of forced contraction after the acquisition).

• The Bridge Direct has picked up some share with its C3 line of construction sets (featuring licenses from the NBA, WWE, and Shopkins).

Spin Master’s Meccano Micronoid • K’nex may be a fraction of its peak size, but it has resumed rapid growth, benthemes), a play pattern that is inherently efitting from a shift back to domestic manugood for a developing young mind, an opfacturing, use of key licenses, and expansion tion that millennial parents see as part of the of the brand into other play patterns. In other highly coveted STEM movement, and incredwords, following a similar playbook as Lego. ible durability. (My parents’ basement was • Meccano, acquired by Spin Master in flooded during Hurricane Sandy, and the only 2013, has enjoyed a strong surge in shelf toys that survived were Lego bricks.) I believe space, sales, and innovation.

Lego is likely to continue to be the dominant It is worth noting again that with the player in this category, but the fact that it is exception of some of the Lego and Meccano longer the only player that is doing well is no lines, none of these toys are tech toys. a very good sign for the whole segment. » Indeed, I believe a big part of their appeal is that they are not screen-based; they appeal to parents’ nostalgia for their own toys and Sean McGowan is managing director at Liolios Group. He has been their desire to keep their kids from staring closely following the toy industry at screens all day. In this sense, perhaps the for 30 years, analyzing product future of construction toys has never been trends, cost changes, marketing brighter. practices, and other aspects of how I’ve learned you can never say never— products and companies succeed and that you can never say always—in the (or don't). He also follows digital gaming, sporting toy industry, but it certainly feels like this is a goods, and juvenile products. McGowan started category with a promising future. ConstrucSMG Leisure in January 2016 to continue this work tion toys offer boundless hours of open endbeyond the parameters of Wall Street. ed-play (even if they are based on licensed

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With the MEGA BLOKS American Girl Grace’s 2-in-1 Buildable Home, kids can build Grace’s house with multiple rooms. Once built, kids can cook up a snack in the kitchen, watch a movie in the living room, and then get ready for bed in the bathroom before turning in for the night in the bedroom’s bunk beds. The set comes with three American Girl mini fashion figures, including Grace, as well as detailed accessories for each of the house’s rooms.

With THAMES & KOSMOS’ Barbie STEM kit, kids can help Barbie and Nikki prepare for the Annual Animal Shelter Gala as they learn important STEM skills.

They can explore physics and engineering as they construct seven different models, all compatible with the Barbie Dreamhouse (sold separately). Build a jewelry holder, a washing machine, a hammock, a shoe rack, a greenhouse, a designer platform, and a spinning closet rack. Then, kids can conduct experiments to learn how and why the designs work.

With this set, kids can also create three unique types of dresses for Barbie, while learning important lessons in biology and chemistry. The full-color storybook manual guides their journey through the seven building projects and more than 10 experiments. A doll is also included.

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The MAGFORMERS Walking Robot 45-piece Set lets kids click, connect, and create. Following the step-bystep idea booklet, kids can build eight walking characters using the S.T.E.A.M. engine block and walking accessories.

Little engine drivers can push the LEGO Duplo Push Train around the track, stopping to load up the crates of fresh apples and pumpkins as they go.

There is also a level crossing and a car to operate, so parents can talk to kids about traffic safety while creating role-play stories together. Lego Duplo bricks are specifically designed to be fun and safe for little hands. This 45-piece set includes two Duplo figures.

With the new BRACKITZ Inventor 170 Piece Set, builders ages 3 and up can attach Brackitz to traditional planks at any angle to construct everything from small-scale builds to larger 3-D structures. With plastic planks and new rotating pieces, the Inventor Series enables anyone to create builds with moving parts. Versatile, durable, and portable, Brackitz bring STEM principles into play.

Kids can blast darts as fast as they can with the K’NEX K-Force Flash Fire Motorized Blaster Building Set. First, kids build their blaster and then load the clip with up to 10 darts. The new motorized rapid fire chamber will fire darts as fast as they can pull the trigger. Each building set includes a motorized rapid fire chamber, a 10-dart clip, 10 foam darts, a quick fit grip, and downloadable instructions for six additional custom blasters and targets. This blaster is compatible with the entire K-Force Build and Blast line.

The Vex Robotics Zip Flyer, from HEXBUG, is a re-envisioned take on airborne adventures. This robotic gadget is capable of shooting propellers more than 30 feet in the air. Kids can pull the zip-cord stick to release—the faster kids pull, the higher the propellers go. The Vex Robotics Zip Flyer can be built for both handheld and tabletop action. The Vex Robotics line is designed to promote rewarding and exciting handson learning with STEM-based kits.

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THE BRIDGE DIRECT’s Shopkins C3 Deluxe Set Food Court features a pizza parlor and a sushi restaurant. The set includes Shopkins characters Candy Apple, Candi Cotton, Suzie Sushi, Little Slipper, Banana Splitty, and Pretz-Elle. The Bridge Direct’s entire Shopkins C3 Kinstructions line lets kids expand the world of the popular collectible characters.

Kids can play with the new Peppa Pig—Peppa’s House Construction Set, from JAZWARES. Builders can put together Peppa’s three-story house with Peppa, George, Mummy, and Daddy figures. With 107 building pieces, kids can get creative while playing with their favorite characters from the Nick Jr. TV show.

With the Roominate Emma’s Townhouse, from PLAYMONSTER, kids can create a townhouse for the Emma doll and her pet pig Hodgkin. The pieces can be snapped together to build the townhouse vertically or horizontally.

Once built, kids can cook up breakfast with the play food in the kitchen, or build a spiral staircase to the bedroom, then use the stickers for décor. The set allows kids to hook up circuits and a motor to add a ceiling fan, a spinning pottery wheel, or another creation of their own.

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WIDU blocks, a new brand from CLICK BLOCK, are cut from real beech wood, come in 14 different geometric shapes, and feature safe, embedded magnetic connection points, visible as brightly colored rings on block faces.

These connection points have been placed to maximize the architectural potential of each shape as an element of the WIDU block system. These blocks feature free-rotating magnets inside, which can attach any connection point to another. WIDU builders will never face the disappointment of blocks repelling each other.

REVELL’s new Junior Kit construction sets for kids ages 5 and up blend build-your-own vehicles that promote STEAM learning with designs that fuel creative play. The kits let kids assemble cars and trucks with a patented easy-screw system, take their vehicles on imaginative adventures complete with moving parts and assorted accessories, and then disassemble and rebuild them for educational fun. The Revell Junior Kit collection currently includes a race car, a convertible, a roadster, a police car, an off-road vehicle, and a fire truck.

The Real Construction Deluxe Workshop, from JAKKS PACIFIC, includes tools, material, fasteners, and eight project ideas.

The Real Construction brand encourages kids’ imaginations, while also incorporating key elements of the STEM curriculum. This line inspires creativity, craftsmanship, and pride of accomplishment.

The tool-based construction line gives kids the experience of safely sawing, nailing, and building real wood without the mess.

PLAYMOBIL’s Furnished Children’s Hospital lets kids role play to help others. Those in need of help can enter through the double doors and check in at the front desk. There, a nurse can take the patient’s height and weight before they go downstairs to see the doctor in the exam room.

Once they receive treatment, the patient can go to the second floor aboard the functioning elevator. Upstairs are recovery rooms, including a baby room and a bathroom with toilet and sink. The set includes three adult figures, a child figure, a baby figure, rolling beds, a reclining exam table, a respirator, a defibrillator, bandages, stethoscopes, medical charts and tools, a baby doll, a teddy bear, and other accessories.

With DGL TOYS’ new Constructechs line, kids can build multiple tri-colored R/C models with the more than 400 pieces included in each set. They can build an SUV, a race car, a semi truck, or any other vehicle that they choose. Designed for kids ages 8 and up, Constructechs feature precision gears, detailed stepConstructechs SUV by-step instructions, a unique connect and lock system, and a high-strength signal remote control.

Kids can take on any construction job with the EITECH Mega Bulldozer/Digger. Build two different heavy-duty construction vehicles using more 1,470 steel parts with full-color instructions. This set features rubber tracks so the machine can cover all terrains and get the job done. Designed to promote and develop three-dimensional thinking, creativity, and learning, this educational building set is designed for kids to exercise their hands-on skills, imagination, and cognitive performance. All pieces are made of high-grade polished steel and manufactured in Germany.

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E!

TZE

YAH

BINGO!

CONTINUE DOWN A WINNING PATH

by MARY COUZIN, CEO and Founder, Chicago Toy & Game Group MANY GAME INDUSTRY EXPERTS consider this the golden age of board games.

History will decide if the moniker sticks, but one thing is for sure: Games and puzzles were the fastest-growing toy category last year, climbing 11 percent to $1.6 billion, according to The NPD Group. This year, game sales continue to grow at 24 percent, more than three times the growth of the toy industry overall. And that number could be even higher if you consider all the crowdsourced board games, a category that has become a major player (pun intended) in the publication and manufacturing of board games. Platforms such as Kickstarter allow independent game designers to reach thousands of consumers, and retailers are tuned in to this trend, which will only continue to rise.

Though lots of games sell at retail for less than $20, and some fall into the impulse category at less than $10, other more complicated games are selling for more than $50, contributing to the overall rise in game sales. During a recent trip to Target, I spotted 10 games selling for more than $50 each. Target.com has 67 titles selling for more than $50, including multiple strategy games.

There is a perfect storm of many trends contributing to strong game sales. Below are

the top trends from my research. We could meet over signature cocktails at one of the growing number of board game cafes and enjoy a long discussion on this topic, but it’s tough find an open table!

GETTING SOCIAL

One of the best things about board games is that they allow for face-to-face social interaction, and many small business owners are seeing the value in this. Game cafes are opening worldwide, bringing people together over cocktails and board games. Specialty game stores have increased their game nights, where friends and strangers can come together to play, and some stores have added workshops to teach people how to play new games. Some local businesses will even send people to your home to teach you and your family how to play games you want to learn.

Even larger retailers, such as Barnes and Noble, are getting in on board game events. The specialty retailer recently expanded their game events to all 640 of their stores. This trend is spilling over into corporate lunch hours and after-hours work events. If I had a dollar for every time someone outside our industry mentioned this, I could buy more of those $50 games.

tion, and of that, $265 million went to board games alone, outpacing video and digital projects.

Both independent companies and inventors use Kickstarter to launch their new products, and larger companies use the platform to find products to add to their lines. Looney Lab’s successful launch of Pyramid Arcade decreased many risks for the company. On a larger scale, Hasbro part-

CROWDSOURCING CONTINUES

The crowdfunded trend continues to be strong. More than $500 million has been pledged on all types of games (digital, video, projects, board, etc.) on Kickstarter since the platform’s incep-

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Looney Labs’ Pyramid Arcade is a complete game library in a box, containing pyramid-shaped game pieces players ages 8 and up can use to play 22 different games. Pyramid Arcade launched on Kickstarter in April and earned more than $150,000 from more than 2,000 backers.

nered with Indiegogo last year to source new games from independent game designers, and it was so successful that the company will repeat the effort this year. Of all the trends in games over the past few years, crowdfunding has probably had the biggest impact.

SILLY AND SIMPLE

While complicated strategy games for adults are populating the shelves, games that require almost no instructions for silly and simple fun are also selling out at retail. The incredible success of Hasbro’s Pie Face last year proves that easy-to-learn, laughter-inducing games are popular with consumers.

And this year, North Star Games’ Happy Salmon will be a sure hit in this category. At ASTRA Marketplace & Academy, the fastpaced action card game drew a huge crowd.

Goliath Games also has a wide range of products in this genre, which has contributed to the company’s growth in North America.

ADULT PARTY GAMES

Games aren’t just for kids. Adult party games that gather lots of people together for a good laugh have been gaining traction in the past few years, thanks to mega hits like Cards Against Humanity. And by “adult” I mean “cheeky,” and by “cheeky” I mean “kinda dirty.” This not-so-family-friendly trend continues this year with games such as Galactic Sneeze’s recent release Spank the Yeti, No Kidding’s Rotten Apples, PlayMonster’s Game of Nasty Things, and more.

GOING GREEN

Game companies are jumping on the conservation train this year by using smaller boxes, pouches instead of boxes, and less internal packaging. This not only helps the environment, but it also helps cut costs and allows retailers to expand their offerings since smaller packaging means more products fit on a shelf.

Hasbro recently earned Newsweek’s 2016 Green Rankings at No. 1 out of the 500 largest publicly traded Happy Salmon from North Star Games is filled with mini-celebrations. Players flip over their cards and try to find another player with the matching action card, including “High 5,” “Pound It,” “Switcheroo,” and “Happy Salmon.”

Each time a player celebrates a match, he or she quickly discards a card. The first person to get rid of all of his or her cards wins.

companies in the U.S. on overall environmental performance.

THE IMPORTANCE OF STREAM

Hot on the heels of the familiar STEM (science, technology, engineering, and math) and STEAM (which adds art to the mix) trends, is STREAM (which includes reading and writing). Games are a great way to help kids learn these important educational concepts, and demand for these products is at a high. This year, ThinkFun’s Circuit Maze, Foxmind’s Pack’n Go!, Griddly Games’ Rocket Lander, Pressman’s Pass the Pen, and Blue Orange’s Dr. Eureka are great options for STREAM learning.

SCREEN FATIGUE

Peggy Brown, game inventor and producer of the upcoming documentary film OPERATION Operation: The Power of Play, believes the rise in the popularity of board games across all genres is because people are unconsciously longing to connect with more meaningful story-based experiences, and desperate to connect with each other. She says, “While board games can be perceived as old-fashioned, there’s no doubt that they bring us together and force us to interact with each other in ways nothing else does. Playing board games, for players of any age, can reconnect us, compel us to discover and invent new and different ways to communicate and solve problems, and refresh our basic social skills which, for most of us, get rusty in the fast and often

A party game for adults, Spank the Yeti from Galactic Sneeze features dirty and quirky action cards and object cards. One player must match the action and object cards together, while other players guess what matches that player made. Designed for adults ages 18 and up, Spank the Yeti is the second game from Galactic Sneeze.

lonely connections of the interwebs. In an era where we’ve become connected to everybody and are subsequently close to nobody, board games plug us in to each other as we unplug from our devices, even if it’s only for a short time.”

I don’t see an end in sight to the continued rise of board games. At London, Nuremberg, and New York Toy Fairs, as well as ASTRA Marketplace recently, I heard many times from retailers that they were increasing their board game selection and allocated space, all of which is golden news, contributing to a burgeoning golden age. » Mary Couzin is CEO and founder of the Chicago Toy & Game Group, with a mission of promoting the importance of play through hosting consumer, fashion, inventor, and media events. Events include Chicago Toy & Game Fair, Inventor and Innovation Conferences, Toy & Game Innovation Awards, PlayCHIC Fashion Show, Young Inventor Challenge, and more.

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BINGO!

Winning Moves Games WINNING MOVES GAMES is balancing out game night with its latest offering. Designed for kids ages 7 and up, Brynk requires kids to place pieces on a teeter-tottering base without sending the tower crashing down.

Players take turns placing one interlocking piece at a time, as the tower glides around the curved base. Brynk comes with 42 plastic playing pieces and a game unit that doubles as a storage container.

PlayMonster

PLAYMONSTER is betting on fun with Prove It!, a new game that challenges players to bet on who can do a task best, and then prove it. Designed for three to eight players ages 6 and up, the game features four categories: Mad Skills, Know-How, Fingers Crossed, and Buddy System. For example, a card may read, “Bet how far you can launch a card, flicking it finger-football style!” Two competitors bet back and forth until one person ends the betting by saying “Prove it!,” which prompts the other player to perform the task to earn a point.

Gamewright

GAMEWRIGHT brings creativity to game night with Imagine. Three to eight players ages 12 and up can combine, overlap, and animate the transparent cards in this fast guessing free-for-all. With 61 unique icons and more than a thousand prompts, it’s a game as big as kids’ imaginations.

Once the icons are combined, players convey the chosen subject without saying a word. The game enhances artistic expression, language and vocabulary development, and creativity.

Hasbro

It’s time to mouth off. Speak Out, from HASBRO, challenges players ages 16 and up to put a dental retractor in their mouth, draw a card, and try to speak the phrase without getting completely tongue-tied. Once the speaking player’s teammates guess the phrase correctly, he or she may draw another card and keep speaking out until the timer runs out to earn as many cards as possible. If a player passes on a card, the other team will automatically earn that card. The team with the most cards after two turns wins. The game includes five washable retractors, 200 double-sided cards, and a one-minute sand-timer.

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BINGO!

Wonder Forge

WONDER FORGE’s new Dr. Seuss Thing Two and Thing One Whirly Fun! Game lets players ages 4 and up engage in some messy mayhem. With Mother out of the house for the day, The Cat in the Hat has brought Thing One and Thing Two to play, and they are ready to destroy the house. Kids take turns drawing cards and spinning the top to mess up the house, or pick up different objects in an effort to clean up before Mother comes home. This cooperative game enhances physical dexterity and color and shape recognition.

Mattel There’s nothing worse than a Draw 4 Wild card—until now. MATTEL gives the family-friendly card game Uno a wild refresh, with four additional wild cards. Designed for players ages 7 and up, the classic game now includes three customizable cards that allow players to incorporate their own rules into the game, bringing creativity to the game night classic. The game also includes a new “swap hands” card, to help inspire players to create their own new rules.

Bananagrams A 10th anniversary is a perfect excuse for a party. BANANAGRAMS celebrates 10 years with Bananagrams Party, a new spin on the classic word-building game. Bananagrams Party features 14 new tiles that change up the rules, including The Re-Gifter, The Thief, Switcheroo, and Pouch Head.

Each tile gives the receiving player the power to unleash a special action on the opponent of his or her choice. Whether it’s making them play without using their thumbs, or forcing them to do a lap around the table, each action is sure to cause mayhem while players race to use all their letter tiles and complete their own word grids. The new party power tiles put a social, silly spin on the anagram game, designed for players ages 10 and up.

Ravensburger Players ages 10 and up can go on a magical quest with Broom Service, a new strategy game from RAVENSBURGER. Wild witches soar on their brooms, covering miles with their vials throughout the magical realm. Players will gather roots, herbs, and fruit to brew new concoctions, and Drizzelda will help charm away the cloudy weather in this card-based game. Broom Service is a combination of luck and skill, and challenges players to play the right card at the precise moment to fly into victory. Designed for two to five players, it even involves some bluffing and clever card management.

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Zing

Cool down with ZING’s Wet Head, a water roulette game for kids ages 4 and up. Players can fill the Wet Head with water, strap themselves in, and spin the spinner to see how many pins they have to pull out of the Wet Head hat. In addition to the spinner, players can also download the Wet Head Challenge app for some trivia fun and a special recording feature, or create their own way to challenge family and friends.

USAopoly

USAOPOLY’s Rollers is a family game that combines fast dice shaking, quick combo making, and collecting chips. Two to five players ages 8 and up race to be the first player to fill up the game board by “opening” and “closing” the game board sets.

The better the roll, the more chips other players have to pay up. Wild Stars will help players make their sets, but they must beware the dreaded Zap that cancels the roll.

The game takes about 15 minutes to play, and the first player to score five points wins.

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Innovative and Classic Dolls to Spur Sales Through Q4

by KRISTIN MORENCY GOLDMAN, communications specialist, Toy Industry Association THIS SPRING, THE NPD GROUP reported a 16 percent uptick in doll sales for the first quarter of the year, and industry experts at BMO Capital Markets predict that doll sales will continue to grow by about 10 percent overall this year, thanks to a slew of innovative, licensed, and classic dolls hitting store shelves through the holiday season.

“The initial launch of Hasbro’s version of the Disney Princess dolls, the introduction of the curvy Fashionista Barbie from Mattel, and a new line of DC Super Hero Girls action dolls, also from Mattel, appear to be generating strong sales at retail,” says Gerrick Johnson, toy analyst at BMO Capital Markets.

Johnson said this could be the strongest year for dolls since 2009, when Mattel introduced Barbie Fashionistas and the I Can Be… Barbie line; MGA Entertainment brought Moxie Girls to market; and Spin Master introduced its Liv dolls. In 2010, Mattel introduced

Monster High, “adding even more firepower to the category,” says Johnson.

“The doll segment went from being a negative trending category for the five years prior, to one of the strongest categories for the next five years,” says Johnson, adding that he is expecting a similar reaction this year. “We’ll see in the fall if kids keep up the momentum.”

Innovations and new licenses in the category are stimulating demand, but the enduring value of classic play is also having an impact on doll sales, according to Adrienne Appell, trend expert at the Toy Industry Association (TIA).

“We know that toys in general are faring quite well, and some of the classic categories—including dolls—are experiencing a surge because kids still love to use their imaginations and role play,” says Appell.

Earlier this year, TIA identified the top

Betty Spaghetty dolls, from Moose Toys

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trends in toys for 2016, including toys-to-life, which combine technology with traditional play, as well as toys that encourage families to play together.

“We are seeing tech-driven dolls, as well as licensed fashion dolls that appeal to both kids and adult collectors, which coincide with two of our top trends and tell us that the doll category is one to watch,” says Appell. “And we can’t forget about the enduring popularity of traditional dolls—like the classic baby doll—that allow kids to act out their future roles as parents.”

New introductions from leaders in the doll segment (Mattel and Hasbro) will spur interest in dolls—and sales—across the entire industry. From new innovations to tried-and-true classics, the following are just a few examples that are expected to impact the market through Q4: Cabbage Patch Kids Baby So Real (coming in August), from Wicked Cool Toys, is an interactive, lifelike Cabbage Patch Kid that combines traditional doll play with groundbreaking technology. The soft and cuddly doll comes to life with animated LCD eyes that open, close, and look around as well as sensors for peek-a-boo, tickle play, and other interactions. An accompanying app heightens the play experience by allowing kids to bring the fun of parenting online with a virtual nursery, games, and video clips.

Little Friends Doll Feli, from Haba, is unlike any other Little Friends doll because her clothes and hairstyles can be removed and interchanged, allowing for customization. The 4-inch tall bendy doll is posable and compatible with all Haba dollhouse furniture and dollhouses.

Asana Yoga Girl, from Azaim Girlz, is

Barbie Fashionistas, from Mattel

an aspirational doll that encourages children to be active and develop lifelong healthy habits. The doll is sold with a pilates ball, hand weights, a yoga mat (which doubles as a slap bracelet), and a hair brush. A percentage of profits from the sale of each Asana doll will benefit the Alliance for a Healthier Generation, which is dedicated to reducing the prevalence of childhood obesity.

Mon Premier Bébé Bath Sail Away (Corolle) is a classic 12-inch doll for kids to play with in the bath, pool, or ocean. The lifelike baby doll is soft and posable, making it perfect for rocking and cuddling. It can also be hung to dry from the tab on the back of its neck after bathing or water play.

Based on the popular line of Star Darlings books and animation, the Disney Star Darlings

doll line from Jakks Pacific encourages kids to "be confident, believe in themselves, and to shoot for the stars!” The fully posable dolls are decked out in outrageous fashions, and feature shimmer skin and sparkly eyes.

Harley Quinn, The Joker, and The Penguin are the new DC Comics Fashion Squad dolls, slated to “hit the runway” this fall. Appealing to doll lovers and collectors of all ages, members of the DC Comics Fashion Squad are decked out in couture costumes and represented in Madame Alexander’s 16-inch fashion doll sculpt.

Splashlings, from TPF Toys, is a beautiful line of collectible dolls and characters from under the sea with unique personalities.

Collectible items within the line include mermaids and their “splashlings” (pets),

treasures, gems, and play sets. Accompanying webisode content can be found at the Splashlings website.

Moose Toys is bringing back the classic Betty Spaghetty doll. First introduced in the late ’90s, the all-new Betty Spaghetty will let kids use their imaginations as they mix and match her outfits and hair to create a personalized doll that is completely unique.

The Hanna, Jane, and Theresa dolls from Little Poland Gallery are beautifully made of 100-percent cotton and other natural resources. The 15-inch tall playmates are perfect for little ones ages 18 months and up. » Visit www.ToyAssociation.org/Trends for more information about this year’s hottest trends in toys and games.

The Sea Sparkles line, from AURORA WORLD, feature seven sirens of the sea with hair colors ranging from blonde to turquoise and sparkly matching or contrasting tails. Each mermaid is available as an 18-inch doll or a 7-inch clip-on.

Splashlings, from TPF TOYS, is a line of collectible mermaid-themed characters and their friends. The line features an ocean full of friends, including a group of mermaids and shells, and more than 130 of their pets, underwater gems, and treasures for kids to play with and collect. The Splashlings Mermaids 6-Pack and 12Pack Assortments include the mermaid dolls, Splashlings, and seashells.

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Disney Frozen Musical Lights Elsa Singing Doll

Cabbage Patch Kids Baby So Real, from WICKED COOL TOYS, combines traditional play patterns and technology for kids to interact with their doll in a new way. Baby So Real wakes up with touch, and has LCD eyes that open, close, and look around. Its sensors lets kids play peek-a-boo, tickle it, feed it from a special bottle, burp, change its diaper, and rock it to sleep. For advanced play, kids can download the free accompanying app to simulate a baby monitor, play with it, feed it, change its diaper, and more.

When kids press the snowflake on the bodice of HASBRO’s Disney Frozen Musical Lights Elsa Singing Doll, it plays the “Let It Go” song as Elsa’s dress lights up from the bottom to the top. They can press the snowflake again to activate a different light pattern to go along with the song.

Kids can create dazzling hairstyles with the Disney Princess Royal Ribbon Salon Assortment.

Kids can sit the Ariel or Rapunzel figures, sold separately, in their special salon chairs and create stylish hair extensions using colorful ribbons.

Barbie Dancing Horse/Doll

The Strawberry Shortcake Retro collection, from THE BRIDGE DIRECT, brings back the sweet-smelling nostalgic dolls from the 1980s for a new generation of kids and collectors. The Strawberry Shortcake Classic Small Dolls are individual 6-inch dolls that are authentic reproductions of the original characters, including Strawberry, Blueberry, and Raspberry. The Strawberry Shortcake Classic Doll 2-Pack Assortment features the Strawberry doll in a variety of fashions paired with either Huckleberry, Blueberry, or Lemon. Each set also includes two classic pet figures.

Strawberry Shortcake Classic Doll 2-Pack Strawberry and Huckleberry

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Inspired by the film Barbie and Her Sisters in a Puppy Chase, MATTEL introduces the Barbie Dancing Horse/Doll. Designed to work in three separate modes, Barbie and her horse can dance together with Barbie seated on top in the horse’s pink saddle, standing next to her horse, or the horse can dance alone. The horse plays three different pieces of music to hold the beat.

The DC Super Hero Girls Action Doll Assortment is inspired by a new interpretation of iconic DC Comics characters in a high school setting, who are learning to hone in on their super powers. Each doll is highly articulated and comes with fashion elements from the original characters and accessories to highlight their super powers.

The Powerpuff Girls Plush Dolls

Kids will be swept into the world of Sofia the First with the Sofia the First Magic Dancing Sofia Doll, from JUST PLAY. The doll interacts with her lightup wand and performs specific dance moves such as twirling, spinning in circles, and figure eights. Sofia first teaches kids each move, then practices it with kids until they’re ready for a full performance and a grand finale. The doll is dressed in her tiara and ball gown, which lights up as she dances, talks, sings, and plays music.

Kids can save the world before bedtime with The Powerpuff Girls Plush Dolls, from SPIN MASTER, which include Blossom, Bubbles, and Buttercup. With these dolls, kids can act out their favorite adventures from the show.

Spin Master also introduces Brightlings, an interactive toy with more than 100 phrases, activated by the way kids hold the doll. Kids can create their own song in music mode, record any sound and listen as it plays back in a silly voice, or respond to phrases such as, “How are you feeling?” Each Brightlings’ face lights up and talks though its animated mouth.

Shoppies Rainbow Kate

MOOSE TOYS brings back Betty Spaghetty with a new, modern look. Kids can braid her hair and mix and match her outfits in various ways to create a unique look that’s all their own. The line includes the Season 1 Single Pack, Hair Fashion Pack, and BFF Mix ‘n Match Pack. Each pack comes with an assortment of dolls, outfits, and hair accessories.

The Shoppies line expands with Pam Cake, Sara Sushi, and Rainbow Kate. Each doll comes with two exclusive Shopkins, her own brush to style her hair, a specially themed bag to match, and a coded Shoppies Credit Card.

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Magical Wand Cinderella

With Magical Wand Cinderalla, from JAKKS PACIFIC, kids can help Cinderella get ready for the royal ball with a wave of the Fairy Godmother’s wand to transform her look. When kids wave the wand longer, they can create a colorful light show on Cinderella’s dress, and have her sing “Bippidi Bobbidi Boo” or “A Dream is a Wish Your Heart Makes.”

Kids can also help Elsa bring back the Northern Lights and restore her powers with Northern Lights Elsa. Kids can wave their hand over the snowflake and create colors, lights, and sounds, and when they hold their hands over the snowflake for a longer period of time, they can watch as the Northern Lights are returned and sparkle on her dress.

INTEK’S TrendyDOGS are runway-ready plush dogs, each hailing from a different city around the world. The dogs include Thomas from London, Louis from Paris, Giorgio from Milan, Ralph from New York, and more. Each TrendyDOG has a distinct style that represents their city of origin, wears oversized trendy glasses, and comes in perfume bottle packaging. There are six designs to collect, as well as 4-inch mini dogs, mini dogs four packs, and tin purses with the likeness of the different dogs. Kids can collect them all as they gain an interest in fashion and learn about new cities and their varying fashion trends.

SKYROCKET TOYS introduces Mebo the robot. Mebo fosters STEM skills and creative open-ended play, and is controlled with a free app available on iOS and Android devices.

The robot has six wheels, allowing for easy turns and spins, making it easy for him to help kids with chores or play. A point of view camera streams what Mebo sees live in HD, while its two way audio and microphone enables conversations. Mebo’s articulated arm and gripping claw let it lift and move items. It can be controlled remotely using the robot’s hotspot. With its complex movements and sophisticated mechanics, Mebo encourages kids to imagine, explore, and create.

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JAZWARES brings the excitement of the Animal Jams online games to the toy aisle with its new line of Animal Jams toys. In partnership with National Geographic, the toy line introduces kids to the world of Jamaa, where all of nature’s creatures are friends.

The Adopt a Pet series comes with a pet and two accessories, while the Club Geoz Playset comes with an exclusive Diamond Arctic Wolf. The play set sets the scene for an Animal Jams dance party, complete with a spinning disco ball, music, and LED spotlights.

FUNRISE TOYS’ Sing-A-Ma-Lings are colorful plush characters that speak and sing in their own unique language. Each Sing-A-Ma-Ling has three different modes of play—harmony, jibber jabber, and song. Kids can change their modes when they squeeze the plush’s hands, and then sing along with their silly songs. Characters in the line include Noodle, Darcy, Bo, Blush, Sawyer, and Frankie. Each sings different individual songs, such as Row Your Boat and Mary Had a Little Lamb. Once kids collect all six, the Sing-A-Ma-Lings can harmonize together.

ALL THE RIGHT MOVES»

NEW BOARD GAMES KEEP SALES STRONG

BUILDING UP FUN»

A LOOK AT THE CONSTRUCTION CATEGORY

Specialty toys & gifts I Astra’s insights

TOOLS AT YOUR FINGERTIPS ASTRA’s Resources for Planning Your Fourth Quarter

by KIMBERLY MOSLEY, president, American Specialty Toy Retailing Association THERE’S NOTHING LIKE THE DOG DAYS of summer to get you thinking about...Yes, the holiday season!

If you own an independent toy store, what’s really on your mind is how you can get your business ready to maximize sales and profit during the all-important fourth quarter.

As always, American Specialty Toy Retailing Association (ASTRA) is standing by, ready to help with the growing list of business resources and tools we provide for our members.

Here are things you can do right now to help position your store for a strong fourth quarter: Gather Ideas Over the next week, put aside 10 minutes a day to call an ASTRA retailer in the member directory and ask for a couple of ideas that he or she implemented last season that worked well. Offer some of your own successes in return, and use ASTRA Connect to solicit ideas from fellow retailers on the message boards.

In a week, you are likely to collect at least a half a dozen viable new ideas that could fit your store. Year after year, ASTRA asks its members which membership benefits they value over all others, and access to networking opportunities such as this are at the top of the list.

“Over the years, I’ve gotten thousands of product suggestions and ideas which have helped shape our stores,” says Jonny Girson, owner of The Learning Tree stores in Kansas City. “I cannot imagine where I would be today without my ASTRA connections.

Priceless.”

Forecast Inventory Needs With the help of past sales analytics and insights from sales representatives, make sure you have the most popular products in stock when the busy season comes your way. To make the process easier, ASTRA’s Best Toys for Kids list highlights 24 winners in 17 categories. Featuring these toys in your fourth quarter promotions can help attract custom-

ers and valuable media coverage leading up to the holidays. Many manufacturers offer ASTRA members special offers on these toys.

ASTRA provides professionally designed marketing materials and ideas for using Best Toys for Kids award winners to increase sales.

Prepare Your Promotions Schedule Start planning now. Decide on your fourth quarter marketing plans with specific dates, times, and messages. On the second Saturday in November, ASTRA retailers nationwide kick off the holiday season by hosting Neighborhood Toy Store Day to celebrate their community, the shop local message, and the joy of play. The event delivers focused messaging to consumers on ways local businesses keep communities unique and vital. ASTRA offers a complete guide to planning your store’s celebration, including press releases, downloadable marketing materials, and special giveaways and offers from manufacturers to make your event even more special.

Get Yourself and Your Staff Ready ASTRA members have always been ambassadors for healthy play. Get an extra competitive edge this holiday season and become a Certified Play Expert (CPE). Let your customers know they can depend on special expertise when they shop at your store. Designed to help toy professionals strengthen their knowledge of how toys and play affect child development, the program will deepen your knowledge about child development and the importance of play, and put you in a position to advocate for healthy play in your community. ASTRA members have free access to a growing catalogue of on-demand webinars that cover key business topics and skill-building. You will learn about leveraging social media, creating a service culture in your store, motivating your staff and more—all in time for you to implement this fall.

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If the holidays are on your mind while you try to stay cool this summer, check out everything you can get from ASTRA to help you plan and execute. ASTRA has business strategies already crafted by the top retailers in the specialty toy industry, press releases already written for you, marketing materials already designed for you, and webinars waiting for you to click.

“ASTRA has such a rich resource of retail information available whenever you are ready to use it,” says Mary Sisson, owner of Kazoodles in Vancouver, Wash. “Check out astratoy. org; it’s a matter of taking a look at what’s available for members, and carving out some time to take advantage of tools that can help take your store to the next level.” »

Kimberly Mosley, president of the American Specialty Toy Retailing Association, is an experienced, award-winning, results-oriented association executive with a long track record of success in managing association operations, developing innovative programs, and growing revenue.

SPECIALTY TOYS & GIFTS

SECURING FUNDS FOR YOUR PROTOTYPE

by SHARIQ TOOR, content strategist, Pivot International YOU’VE GOT A GREAT IDEA, AND NOW it’s time for prototyping—something that will not only show off how great your creation is, but will also show how much others will want whatever you have to offer. In many cases, the prototype is the first true test of a potential product’s viability because it is the first tangible example of your product.

Generally, a prototype is a no-frills kind of endeavor. It’s only necessary to give others a good idea of what you’re trying to accomplish, or to have proof that your concept really works. Even so, it can be expensive to produce a prototype—especially if you have a technically complex idea in mind, or anything that needs special knowledge, tools, or parts to produce.

Prototypes are used to attract people to your idea, but if you don’t have funding to build it, you can get the money you need by using your own resources, attracting investors, or convincing others to financially support your project.

THE FIRST STEP

Since there’s no prototype, you have to have the next best thing—a thoroughly complete presentation. You have to know the market you’re seeking inside and out—including any potential competitors you might have—so you can explain where your idea fits and how it’s better than anything else that’s out there. You have to give details about how it can be used, what its intended purpose is, how much you expect it to cost, how much you plan to produce, and how you intend to produce it. All of this must also be assessed for how much it will cost to manufacture at the aforementioned scale. Once your concept is fully detailed, you can start looking for ways to make your prototype a reality.

INVESTORS

Investors are the old tried-and-true method for getting money, but they can be difficult to find, especially in the pre-prototype stage. However, if you have someone already in mind, or feel confident in approaching someone with your idea, this could be a great way to jumpstart your product.

Venture capitalists are traditional investors. They are a group or organization that already has money and if they like your idea, they may be willing to invest money in it.

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As an investor, their goal is to make sure your idea is as lucrative as possible, because they’re going to want a share of whatever profit you make.

Angel investors are solo investors who put up their own money to help you develop your concept. The money is either loaned or invested, depending upon the terms presented by the investor. Unless you already have someone in mind, or you have connections in your chosen industry to begin with, it can be difficult to find just the person you need to take your idea forward.

SPECIALTY TOYS & GIFTS

CROWD FUNDING

This relatively new method grows in popularity each year. With crowdfunding, your potential customers are also your investors.

Your idea is posted to a website with an accompanying pitch and a convincing video.

People who want to support your project can pledge whatever amount of money they wish.

It’s typical for the creator of the crowd-funding campaign to offer benefits to those who pledge certain amounts of money. Some of these benefits include the finished product itself, the ability to give input as to the features they would like you to implement, or customized items.

A good crowd-funding campaign can attract more traditional investors as well, once they see how many people seem to want what you have to offer. An example of a successful crowd-funding campaign was the Pebble E-Paper Watch that raised more than $10 million in 37 days on Kickstarter to create one

of the first affordable smart watches on the market. The Dash, Oculus Rift, and 3Doodler are other examples of success through crowd funding.

FRIENDS AND FAMILY

Perhaps the original investors, friends and family, can be a viable source of money. After all, they already believe in you and may be very excited to make your concept a family venture. Most of us don’t have rich friends and family members, but if you can get a number of people to chip in what they can, that can add up to a lot. Naturally, just as with other investors, they should get a share of any potential profits, but these shares will probably not be nearly as high or long-lasting as those you’d get from other investors.

KEEPING IT SIMPLE

Depending on what you have in mind and the resources you have available, you may be

able to use your savings and put your own money on the line. That means not going overboard with the bells and whistles. This is a prototype, so all you need is the bare minimum to make it functional. Your idea has a core purpose, and that’s all your prototype needs to serve, no matter how many great things you want to add to it later on. In the initial stages, the idea is to keep the costs low and create a prototype that can clearly depict what the product will do. »

Shariq Toor writes about business for product developers and engineers at Pivot International. In his spare time he loves discovering the latest trends in technology, social media, and health. Follow him on Twitter @Shariqtoor.

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SPECIALTY TOYS & GIFTS BINGO!

Twizmo Games Emojis are going back in time.

TWIZMO GAMES’ new Emoji Wars is a strategy-based card games that puts our modern emoji characters in a medieval, fantastic setting. Players can choose an Emoji Commander, surround him with allies, and use magic and weapons cards to establish dominance over the emoji empire and become the one, true ruler. Designed for two to four players ages 8 and up, the game includes 102 cards in a metal tin.

R&R Games

Swipe Out is a new quick-paced game from R&R GAMES. Two to four players ages 6 and up try to be the first to swipe their chips off the board to match the pattern on the card.

The player who completes the pattern the fastest wins the card, and the first to win five cards wins the game.

!

ER WINN

Spicy Doodles

Emoji Cards, from SPICY DOODLES, is a party game that puts a modern twist on charades by incorporating emojis. Players divide into two teams and take turns using the emoji cards on the table to get their teammates to guess as many clues as they can. The game includes multiple categories such as children’s literature, games and sports, history, movies, and more.

Educational Insights

EDUCATIONAL INSIGHTS brings game night to the seashore. In Sophie’s Seashell Scramble, two to four players ages 3 and up can help Sophie the Otter find seashells to eat in this pattern-matching game. Players spin the spinner and use the Sophie Squeezer to pick up a shell with a matching pattern. The first player to collect one shell of each pattern is the winner. The game teaches kids patterns, develops critical pre-reading and strategic thinking skills, enhances fine motor skills and hand-eye coordination, and promotes sharing and turn taking.

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University Games UNIVERSITY GAMES reimagines the Rubik’s Cube into a twoplayer game. Designed for kids ages 7 and up, Rubik’s Race challenges players to shake the scrambler to create a new Rubik’s pattern. Then, players slide the tiles on their respective boards to match the pattern on the scrambler. The first player to complete the match and slam down the center frame wins the game.

ThinkFun

Ignite kids’ logic and sequential reasoning skills with Circuit Maze, from THINKFUN. The goal is to arrange the tokens to create a real circuit that lights up the different colored Beacons. These clever circuit-building puzzles provide a boost of brainpower and provide an introduction to electrical engineering. With 60 challenges ranging in difficulty from beginner to expert, this logic game will provide engineers of all levels with hours of electrifying fun.

SPECIALTY TOYS & GIFTS BINGO!

The Haywire Group Playing princesses gets a silly spin this year. THE HAYWIRE GROUP’s action-packed cooperative game Action Princesses challenges kids to perform zany actions in order to make their way down the stone path to the castle. Designed for two to four players ages 5 and up, kids may find themselves quacking like a duck, kicking like a ninja, or even somersaulting, all on their way to defeating the dragon.

Games Workshop

Battle for Vedros, from GAMES WORKSHOP, brings the strategic fun of Warhammer 40,000 to a younger audience. Designed for two players ages 8 and up, Battle for Vedros features 28 unassembled easy-fit game pieces. The game involves six turns with four phases each and takes about 45 minutes to play. The more game pieces kids collect, the more the game expands and changes.

Plus, consumers can purchase add-on items such as paint sets and smaller kits to enhance and customize their gaming experience.

WINNER!

Blue Orange Games

BLUE ORANGE GAMES’ new Dr. Eureka brainteaser game is positively scientific.

Kids ages 8 and up can pick a challenge card and use three test tubes and six colorful balls to solve the formula on the card. Kids must carefully move the balls from tube to tube without dropping them, and position them as illustrated on the challenge card. Kids can play solo, or with up to four players. R. Eureka helps develop fine motor skills, visual perception, focus and attention, and processing speed.

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Thames & Kosmos

Imhotep is a new strategy game from THAMES & KOSMOS. Designed for players ages 10 and up, the game consists of six rounds. Each round, players move wooden stones by boat to create five seminal monuments, and on each turn, a player can choose one of four actions: Procure new stones, load stones on a boat, bring a boat to a monument, or play an action card. But the path to victory is not clear—other players constantly thwart building plans by carrying out plans of their own. Only those with the best timing—and the stones to back up their plans—will earn the title of Egypt’s best builder, and Imhotep champion.

SPECIALTY TOYS & GIFTS | EUROMONITOR

CONSTRUCTION RISES Licensed Products Boost Building Toy Sales

by MATTHEW HUDAK, toys and games analyst, Euromonitor International FOR NEARLY A DECADE, CONSTRUCTION toys have been the fastest growing category within traditional toys—led largely by the success of Lego—and 2015 was no different, with the category growing 14 percent globally in U.S. dollar fixed exchange rates to reach more than $9.6 billion in global sales.

Licensed toys have been an important, stable part of the product mix in construction toys. The success of The Lego Movie and other tentpole features suggests that entertainment—whether licensed or proprietary— will play an increasingly important role for the category in the years to come.

SMARTPHONES, TABLETS DRIVING LICENSED GROWTH While many parents today grew up feeling connected to licensed properties due to the influence of movies, comic books, and cartoon shows, their children are forming a much stronger connection due to the proliferation of smartphones and tablets. In

2015, more than half of households globally had a smartphone and more than 1.2 billion smartphones were sold. These smartphones are ending up in the hands of children, and with the increase of mobile data usage and proliferation of streaming services, access to content is greater than ever.

The resulting constant interaction with media content, which frequently features licensed properties, is forming a powerful bond between children and licensed characters. Licenses from films and television shows will not be the only beneficiaries as numerous online video sites now heavily feature video game properties, something increasingly utilized by Mega Bloks with Halo, Destiny, and Warcraft products.

OWNING MEDIA CONTENT

Although some of the strongest licensed construction toys feature long-standing properties such as Star Wars, Lego has shown that companies can successfully create their

Licensed vs. Non-Licensed Global Construction Toy Sales 2015-2020, projected

16 14

Non-Licensed

Licensed

US $Billion

12 10 8 6 4 2 0

2015

2016

2017

2018

2019

2020

own media content, allowing for a form of self-produced licensed media seen with Transformers or My Little Pony. In 2013, Lego sales stalled after previous years of doubledigit growth. However, with the immensely successful release of The Lego Movie in 2014, the company saw its growth rebound and has created a film franchise with planned sequels and offshoots in the years to come. The Lego Ninjago TV show has been well-received, with a movie planned in the near future. The company’s media initiative has helped it to create a line of products that sell on par with its licensed portfolio but without the cost of licensing fees. Further, it will continue to help the company push its brand into new areas, such as its toys-to-life product Lego Dimensions, which features both The Lego Movie and Lego Ninjago characters, as well as licensed properties.

CONSTRUCTION’S FUTURE

Construction toys are expected to grow dynamically through 2020, when sales are expected to reach $13.5 billion globally.

Entertainment properties will be a key driver of this growth. As children interact with more entertainment media via smartphones and tablets, media-driven toys—whether licensed or self-produced—will become vital. The construction toy market will likely see an upward cycle for licensed products as higher sales will attract more licensors and toy companies to enter the market, which will further fuel licensed toy growth. » Matthew Hudak is a toys and games analyst for Euromonitor International. In his role, he researches and writes on the global market for toys and video games, and drives analysis on the ever-evolving ways children and adults play.

Source: Euromonitor International

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Specialty Toys & Gifts

Go Colours, from ARCKIT, lets kids learn design skills early on. Designed for kids ages 10 and up, large floor plates and easy click and connect components make this a starter set for younger architects. The 170-piece set features an illustrated instruction booklet and free online access to Arckit Digital components in the SketchUp program’s 3D Warehouse, Arckit interactive digital builds, and Arckit Arckitexture.

SMART TOYS & GAMES’ GeoSmart is magnetic construction that features bright colors, strong pieces, and a patented double-safety system. GeoSmart offers safety and durability for endless creative play. GeoSmart Mars Explorer is a 50-piece set with lights, track wheels, a motor, and a remote control. With Mars Explorer, kids can cruise the red planet and beyond.

One of the first five sets in the new LASER PEGS Junior collection, the Junior Construction set makes three different models: Dump Truck, Crane, and Bulldozer. The Laser Pegs Junior collection is designed specifically for kids ages 4 to 7, using larger parts for smaller hands and simpler assembly. Laser Pegs Junior kits are compatible with all Laser Pegs kits, other 32mm brick toys, are STEM-inspired, and light up.

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IKOS is a tool for changing the shape of kids’ imaginations through play. Short for Icosahedron on Sphere, IKOS are designed to open the mind to the power and potential of creating with curves. IKOS are made in the U.S. out of BPA-free recycled plastic.

IKOS allows for open-ended, imaginative play that encourages kids to bend the rules and create with curves.

Specialty Toys & Gifts

Designed by artist Mark Bouling, BOULDING BLOCKS’ Single Cube explores positive and negative space in three dimensions. Multiples of two shapes—one white and one black—interconnect as a challenging puzzle. Rearranged, the pieces make an unlimited portfolio of architectural and artistic expressions.

LUX BLOX’s snap and lock hinge system allows kids to create structures that curve, bend, flex, twist, turn, and move while retaining strength and stability. Lux Blox is an educational tool that can help develop problem-solving, fine motor, hand-eye coordination, and spatial awareness skills. The Lux Medium 200 Piece Set allows kids to build larger models, such as star ships, dinosaurs, gimbals, capillarion, and more.

WONDERHOOD TOYS’ Grand Hotel is a deluxe, creative building set designed for kids ages 5 and up. A pulley-and-crank elevator system and 24 illustrated, themed plastic panels spark the imagination and storytelling. Panels and components clip together with easy-to-use, durable plastic connectors. The set’s inventive, open-ended design means there are no detailed instructions; kids use their own creativity and spatial, fine motor, and problem solving skills to build whatever structure they can dream up. The set comes with two 3-D figurines and an Activity Journal featuring Chelsea, an aspiring architect.

Zoob Racerz Deluxe Vehicle Designer, from ALEX BRANDS, has everything kids need to build a four-wheeler, a 16-wheeler, or a 22-wheel drive vehicle. From a zippy little dragster to a large flatbed to take kids’ toys on a long haul, there are plenty of pieces to create a custom car.

Designed for kids ages 6 and up, all pieces fit in a drawstring bag, which can be worn as a knapsack so the play pieces are completely portable.

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SPECIALTY TOYS & GIFTS

MADAME ALEXANDER’s Middleton Doll line offers lifelike dolls that feel like real babies with realistic facial features, bodies, and heads full of soft hair.

Kids can pretend to be new little parents with these dolls.

Babblebaby Little Sister is great for any expectant big sister or brother. It promotes traditional doll play that teaches kids to care for and nurture their doll. Babblebaby Little Sister has advanced technology that allows the baby to talk back with more than 80 sounds.

MIDDLE SCHOOL MOGULS is a collection of dolls, books, and online “edutainment.” These four middle school friends turned successful entrepreneurs attend Mogul Academy. Each doll is distinct in culture, personality, and talents. They include: McKinley, the Business Boss; Sunny, the Coding Queen; Izzy, the Digital Diva; and Jada, the Graphics Guru. The Middle School Mogul dolls are dressed modestly but trendy, and have realistic body frames with natural features.

Babblebaby Little Sister

BathTime Baby Kitty, from ADORA DOLL, is a 13-inch doll for the bath, pool, and water. Each BathTime Baby comes with its own washcloth and removable animal-themed bathrobe. Their exclusive QuikDri bodies dry fast so they are ready to be played with again.

Part of the Mixxie Mopsie line, Mixxie Pony features interchangeable parts and accessories that can be mixed and matched in a variety of ways. The parts include the pony’s body, four buttonon-and-off legs, leg bands, a tutu, a flower necklace, a unicorn headband, and a bow band for its tail.

BathTime Baby Kitty

Kids can follow the yellow brick road with Dolly Pockets The Wonderful Wizard of Oz/Tan, the latest addition to NORTH AMERICAN BEAR CO.’s collection of storybook dolls. The tricot, cotton, and velour 14-inch doll features an embroidered face and screen print accents. The doll comes with three finger puppets—Scarecrow, Tin Woodman, and Cowardly Lion—that fit in the pockets of the dress, complete with appliqued Toto. Other dolls in the Dolly Pockets line include Goldilocks, Alice in Wonderland, Snow White, Cinderella, and more.

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SPECIALTY TOYS & GIFTS HABA expands its Little Friends collection with Little Friends Vanessa and Little Friends Lena.

The Vanessa and Lena dolls are 4-inch “bendy dolls” made from soft plastic with metal wires inside, which allow them to be poseable. Additional characters include Horse Leopold, measuring 4.5 inches and featuring poseable legs. More accessories and play sets are also available, including Little Friends Horse Stable and Little Friends Gym & Ballet Studio.

With yellow yarn hair and an embroidered face, The Little Prince & Fox 12-inch Soft Toy, from YOTTOY, is ready for interplanetary travel. The doll wears his removable classic green jumpsuit with a red grosgrain ribbon belt and a soft fleece scarf. The fox is made of soft velboa with a furry plush tail, and connects to The Little Prince with a Velcro tab and loop.

WONDER CREW is a line of Crewmates that bring emotional intelligence and creativity to boys’ play. Will is the first Crewmate and comes fully outfitted for a superhero adventure, including a matching child-sized cape and mask. Wonder Crew also offers additional Adventure Packs—Builder, Dino Explorer, Chef, and Dream—so kids can keep the same Crewmate and change the adventure.

Lil’ Cutesies, from JC TOYS, are play dolls dressed in outfits with unique accessories for extra play. The Lil’ Cutesies Mini Nursery Gift Set comes with three Mini Cutesies, a mini tub, a tricycle, and a stroller. Each 5-inch doll in this exclusive collection features its own personality and facial expression, is made of vinyl, and is fully poseable.

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Specialty Toys & gifts i media center

SPEND A NIGHT AT THE SYMPHONY WITH DOCTOR NOIZE

Phineas McBoof Crashes the Symphony, distributed by Doctor Noize Inc, comes four years after the last Doctor Noize album and is the third installment in the Phineas McBoof series. This full-length, two-act musical comedy about a symphony, friendship, and purpose, features dramatic vocals and orchestral talents to entertain and engage kids.

Beneath the layers of fun and music, there is valuable information about orchestration, instrumentation, music history, famous composers, and musical form and structure.

Headliners on Phineas McBoof Crashes the Symphony include Grammy-winning opera singers Isabel Leonard and Nathan Gunn, Metropolitan Opera veteran John McVeigh, jazz saxophonist Anton Schwartz, plus Doctor Noize and Phineas McBoof.

FIGHT NIGHTMARES WITH THE PINKABOOS

The Pinkaboos series, by Jake and Laura Gosselin and distributed by Andrews McMeel Publishing, is a girl-powered adventure in which best friends Bitterly, Abyssma, and Belladonna attend Fright School, a magical academy that teaches young Frights how to enter the dreams of human girls and help them overcome their nightmares.

The first book in the series, Bitterly and the Giant Problem, proves that even Frights need to face their own nightmares. The second installment, Belladonna and the Nightmare Academy, teaches kids how to face a bully. Filled with positive messages and role models, The Pinkaboos series is sure to help kids overcome their nightmares.

FARMER’S MARKET CREATE-AND-PLAY MAKES HEALTHY EATING FUN

The Farmers Market Create-and Play Activity Book, by Deanna Cook and distributed by Storey Publishing, is a hands-on activity book that teaches kids where food comes from.

The activity book features more than 100 stickers and 150 punchout paper pieces. Kids will have everything they need to set up a pretend farm, including gardening tools, plant markers, and a toy tractor. Then, they can sell their wares using signs, price tags, and a cash register. The games and activities throughout the book will help kids learn while they play, and teach them to be inspired to learn more about the food they eat every day.

ALPHABET ROCKERS INVITE KIDS TO THE PLAYGROUND ZONE

Kid-friendly hip hop group Alphabet Rockers releasesThe Playground Zone, which delivers a set of six original songs aiming to change the way kids relate to each other and themselves.

The EP tackles tough issues such as race, ethnicity, and community in a way that is engaging for young listeners. These hip hop songs for all ages are also designed to get kids dancing with fun choreography. Brad Dollar produced the EP, which features production from Bosko Kante, and has support from The City of Oakland and East Bay Fund for Artists.

46 THE TOY BOOK | July/August 2016 | TOYBOOK.COM

International

VERIFIED STAR SUPPLIERS FEATURED AT CHINA TOY EXPO THE CHINA TOY EXPO, ORGANIZED BY THE CHINA TOY & Juvenile Products Association (CTJPA), is an annual event held in Shanghai in October that runs simultaneously with the China Kids Expo and China Licensing Expo. The combined event is the biggest toy, baby products, and licensing fair in Asia.

This year, the event will feature more than 1,700 global exhibitors. Thousands of innovative toys, as well as a big assortment of baby products, will be displayed at the event.

Buy Directly from Chinese Manufacturers The China Toy Expo directly connects overseas buyers with high-quality Chinese toy manufacturers. Each year, local government associations that consist of more than 20 major production regions for toys and baby products organize local factories—big and small— to exhibit and showcase their latest products at the fair.

More than 90 percent of these manufacturers take international orders and have high reliability for product innovation and quality control to satisfy global buyers’ demands. More importantly, many of them are new exhibitors and have never exhibited at any other trade event before.

Star Suppliers & ICTI Certified Suppliers: Sourcing with Confidence CTJPA helps buyers from abroad find the right suppliers. As the only national association in the industry in China, it has operated its Supplier Certification Program for more than six years. CTJPA evaluates suppliers according to five criteria: annual export value based on customs data; laboratory-tested product quality assurance; social accountability certification issued by organizations such as the International Council of Toy Industries (ICTI), The Business Social Compliance Initiative (BSCI), Supplier Ethical Data Exchange (SEDEX), and SA8000; corporate competitiveness; and membership in CTJPA. In addition, CTJPA became a member of ICTI in 1998 as the only official representative from China. As of last year, it has assumed the presidency of ICTI through next year. CTJPA is committed to the promotion of toy and baby product safety standards, as well as to help Chinese factories comply with ICTI’s Code of Business Practices.

Buyers will be able to identify reliable Chinese suppliers easier via the “Star Supplier” logo at the event, or they may visit www.tjpa-china.org for more information.

Pre-Register Now The China Toy Expo 2016 will run from October 19 to 21 in Shanghai. To participate in the toy, baby products, and licensing fair in Asia, international buyers and visitors can visit china-toy-expo.com/en/ or en.china-kids-expo.com/. Buyers may also contact Helen Zhang (zhangying@tjpa-china.org) or Owen Zhou (owen_zhou@ tjpa-china.org). »

INDUSTRY MARKETPLACE

Classifieds Playtime Sales & Marketing Co. LLC A Toy Manufacturers Sales Representative Corporate Office 331 Piermont Road Norwood, New Jersey 07648 TEL: 201-784-7727 FAX: 201-784-1912 E-MAIL: murraybass@playtimesales.com lensoyka@playtimesales.com carolleeman@playtimesales.com

The Playtime Sales & Marketing Company, LLC. is a Toy and Electronics Manufacturers sales representative organization. Our prime focus is to represent Toy and Electronics Manufacturers to the Mass Market Retailers. The principals of our Company are Len Soyka and Murray Bass. Our only vocation has been in the Toy Industry. We are dedicated toy professionals.

Our geographical areas of sales coverage and accounts include: • NEW ENGLAND…Connecticut North to Maine and Upstate N.Y. Accounts… CVS Drug, BJ’s Whle Club, Benny’s and TJ Maxx, • N.Y. METRO…N.Y. City and New Jersey. Accounts… Toys R Us and their DOTCOM and Global Divisions, Xmas Tree Shops, Shepher Distributors, Burlington Coat Factory, Buy Buy Baby, Marlon Creations, Party City, National Wholesale, Bed, Bath and Beyond, Steven’s Intl., TRU Express and NY area Supermarket Chains.

• MID-LANTIC…Pennsylvania, Washington D.C., Northern Virginia and Western Ohio. Accounts…Rite Aid Drug, Group Sales, Boscov’s, Omni Global, 5 Below, Dollar Tree, Variety Wholesale and Big Lots.

• K mart USA // JC Penney Catalog // Universal Studios Orlando // Gordman’s // Target and Walmart • CANADA…Walmart, Toys R Us, Canadian Tire and Costco • CHINA…We maintain a full time Hong Kong sourcing Office We employ a staff of 5 toy sales specialists. Our contact information is listed on our above shown letterhead. We welcome your inquiries.

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48 THE TOY BOOK | JULY/AUGUST 2016 | TOYBOOK.COM

To place a classified ad, please contact Bill Reese 212-575-4510 x2322 breese@adventurepub.com

I already have a .com address, why would I need anything else?

So much effort goes into selecting a domain name, and it’s great if you already have the .com. But what happens when you grow your business, start running ad campaigns, have more competition, and need to stand out on mobile and the web? Imagine that you’ve spent thousands of dollars on an ad campaign only to use a bit.ly link or QR code as your CTA. When was the last time you were driving down the highway and remembered a url on a billboard? This is why companies such as Nitro Circus now use the URL nitrocircus.live to take browsers straight to their tour dates page. You don’t have to create a new website: You can simply forward viewers who visit your new domain to content on your existing .com and get zero Search Engine Optimization (SEO) penalty for doing so. New domain extensions enable you to promote your campaign with a playful domain name that illustrates your brand and creates better brand recall and a stronger CTA that should translate into an increased conversion or response rate.

A company’s online presence is often

What is the business value for a brand to invest in new domains?

One determinant is whether the domain extension is a branded domain, a relatively new option focused on a company or brand name. For example, Apple has the ability to create iPhone.Apple, instead of iPhone.com.

In this case, Apple becomes the domain extension instead of .com, and iPhone becomes the second level domain. This is much more expensive because of the exclusivity aspect, which applies to any domain extension where exclusivity is desired. Still, for large companies or big brands, the opportunity to use the premium brand name as the domain has beneficial implications for both web bots and human searchers alike.

The International Corporation for Assigned Names and Numbers (ICANN) summarizes the benefits in this way: • Companies can create shorter, easy-to-remember internet addresses.

• They can intensify brand awareness among consumers, who will be able to access information regarding the company’s products and services more easily.

• Companies can control and diversify their web presence by creating second-level domains for disparate products and services.

.garden

.network

.guide

.share

.profit

.mile

.app

.guru

.street

.org .info .dome

.heaven

.arpa

.free

.ca

.kids

.social

.com

.focus .shopping .art .food

.blog

.gallery

.plumbing

.info

.shoes .venture .music .sport

.biz

.euro

.live

.eco

.com .uk

.insider

.nitrocircus .net .center

.int

.today .cyber

.house

.bakery

spread across several different platforms.

While the nuts and bolts of their business may still live on their primary website, content such as blogs, video, photos, and other social media are almost always hosted somewhere else. That usually means the loss of control over the brand, with the company name getting stuck after the slash such as www. youtube.com/user/ or www.twitter.com/.

Complementary domains give businesses the ability to maintain more control over their brands and create a better experience for their customers. “Complementary domains” simply means differentiating the url through the Top-Level Domain (TLD), while keeping the domain name itself static. The Los Angeles Times’ web properties are a good example of this strategy, splitting various pages into LATimes.video, LATimes.social, and LATimes.news.

.simply

TO SAY THAT INTEREST IN AND USE OF new domain extensions has exploded recently is an understatement, with approximately 12 million already in existence. Instead of being limited to domain names such as .com, .org, and .edu, businesses can select from literally millions of other options, with extensions such as .news, .live, .rocks, .attorney, .reviews, and .video.

Companies such as Apple, Google, Dow Jones, and Major League Baseball have embraced the use of new domain extensions, believing that more descriptive and targeted URL extensions offer diverse benefits such as better calls to action (CTAs) and enhanced brand recall, supporting both online and offline marketing initiatives. One of the newest domains is .family, which was announced last month and has already been embraced by companies worldwide, including Amazon, BMW, Deutsche Telekom, Google, Johnson & Johnson, Tyson Foods, and Viacom.

.bite

by BILL GLENN, vice president of marketing, Rightside

.wire

.world .portal .alley

.now

New Domain Extensions Are Here to Stay

.center

FAD, SHMAD.

.edu

SPECIALTY TOYS & GIFTS |TALKING SEO

• There is increased security against trademark abuses.

• New opportunities for website marketing campaigns and strategies become possible.

What is the Search Engine Marketing (SEM) value of new domains?

New domain extensions are a boon to SEO efforts. A controlled, PPC marketing study testing the use of different domain names to promote diamond jewelry found that new domain names have a dramatic impact on search engine results. The test compared www.3CaratDiamonds.com to www.3Carat.Diamonds using the same Google adwords ads and landing pages loaded with search-friendly keywords. The test found that the domain using the .com extension cost twice as much on a CPM basis and was a third less effective in producing conversions than the new domain extension.

Like any relatively new technology, data regarding the impact of new domain extensions is still accumulating. Early adopters who grasp the ways in which new TLDs and complementary domains can enhance the effectiveness of marketing initiatives are reporting favorably on their experience. New domain extensions are steadily growing and will soon become a part of our online ecosystem. » Bill Glenn has more than 20 years of experience in the technology industry and has held business development leadership positions at Software as a Service (SaaS) companies ranging from early stage startups to Fortune 500 companies in the greater Seattle area.

TOYBOOK.COM | July/August 2016 | THE TOY BOOK 49

FLASHBAC 1 »

The Super Soaker line from Larami expanded with a new lineup of Air Pressure Super Maxx Xtreme Air Blasters.

The Air Blasters fire soft foam suction cup darts. The lineup includes the Super Maxx Xtreme 700, 2500, 5000, and Ball Blaster. The Super Maxx Xtreme 2500, pictured on the right, features an eight-shot rotating chamber for rapidfire action.

THE AMAZING LIVE SEAMONKEYS GET LICENSED

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ExploraToy licenses The Amazing Live Sea-Monkeys. Products include the Ocean Zoo, a tabletop aquarium kit that comes with a magnifying glass aquarium, a ventilated lid, a spoon, a Sea-Monkeys book, and four packets of supplies that include food and the Sea-Monkeys themselves.

WILD PLANET INTRODUCES THE SUPERSONIC EAR

Wild Planet Toys’ SuperSonic Ear, an electronic listening device for kids, is scheduled to launch in stores in the fall. The toy magnifies sounds that can’t be heard by the human ear, giving kids the ability to listen to birds, insects, and other objects that are normally out of range.

2

Landoll Publishing introduces a complete line of titles to tie-in with Space Jam, which opens in November 1996 and stars Michael Jordan, the classic Looney Tunes characters, and other animated characters. Coloring books, paint and marker books, hardcover and paperback storybooks, and boxed activity sets will be included in the line.

Landoll is also providing retailers with a wide array of merchandising displays for Space Jam, from power merchandisers to counter displays.

3

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Star Wars Action Fleet is a new, large-scale segment of Lewis Galoob Toys Inc.’s Micro Machines line. The Imperial AT-AT and two figures are pictured on the right.

Play-by-Play has produced a Goosebumps series of PlayFaces entitled Fright Faces. There are three different characters, including Slappy (pictured), Curly, and Cuddles.

JULY/AUGUST 1996

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Licensing Expo 2016

» The Hottest Multi-Platform Brands

» The Biggest

TOY FAIR 2016 »

HOT NEW TOYS FOR THE YEAR AHEAD

Entertainment Deals » The Latest Retail Trends

E STAT OF THE

INDUSTRY»

SEAN MCGOWAN'S PREDICTIONS FOR 2016

THE VOICE

REACHING CONSUMERS, BLOGGERS, & TRADE HOLIDAY OF PLAY September 21, 2016 – NYC

CONTACT: Jonathan Samet or Laurie Schacht Tel: 212-575-4510 toybook.com licensingbook.com thetoyinsider.com