Special Feature - Heathside

Pop culture goes mainstream

Busy working under the radar for many years, Heathside Trading is now stepping out into the spotlight as it places more focus on its growing pop culture division, Khadou.

Best known as a clearance line company, Heathside Trading has spent the last few years in its 17-year existence building up a collectibles range. Due to this success the Khadou brand was born; a collection which covers a broad range of properties and a selection of key price points, from pocket money toys right through to larger items. Properties include Minecraft, Sonic, DC and Yu-Gi-Oh! while nostalgia has been at the heart of some of its most popular lines, including Dad’s Army and Only Fools and Horses, expanding the appeal from kids right through to adult collectors.

Max Nelson, sales manager for Khadou, explains that the collectibles division was born due to a desire to diversify away from purely clearance lines and to start distributing other companies’ product ranges. “We know with our well-established channels to distribute product, the natural progression was to start taking on distribution deals and developing and manufacturing our own range of products."

One of Heathside’s first forays into distribution was partnering on the official Jumanji Board Game and it achieved industry recognition when the title was awarded Game of the Year at the Toy Industry Awards in 2019.

The company also has ongoing distribution deals with the likes of Just Toys amongst other companies, and over the last two years has taken on licences to start manufacturing product itself, leading to the formation of the Khadou division. Heathside’s expertise in moving large volumes of stock has been hugely beneficial as demand ramps up for its product. “Our main focus is fan-favourite pop culture lines – we have such a comprehensive selection that we believe every customer that walks into our showroom should walk out having bought something,” enthuses Max. “We are all things to all people because we offer mainstream product, pop culture product and collectibles. What’s hot right now may not be hot in six months, so we have become adept at moving proactively with those brands and product ranges, and our customers particularly appreciate that.”

Khadou launched many Minecraft items in October and sell-through means it has been one of the fastest moving lines of the year. Khadou has also secured the licence for a Sonic Board Game, with the whole run sold through for Q4 sales. “We think Minecraft is going to continue all the way through next year, and Sonic is also on fire”, states a proud Max. “Pop culture is becoming more mainstream and the success we have had with classic licences have been great.”

There’s also a popular range based on Japanese manga series Yu-Gi-Oh! including mini figures, plush, board games and key chains, while other hot licences include Harry Potter, Dragon Ball Z and My Hero Academia. Khadou is not only moving ranges across the UK, but other parts of Europe and the US.

“We have seen with Panini stickers that they have gone from being collected by 6-9 year olds, 20 years ago, to anyone aged six to 50 years old now,” says Max. “It’s that type of pop culture audience, especially twenty-somethings, who like to cover their desk with their favoured subject matter.”

Sales for 2022 are up on the numbers for 2021 figures, and part of Heathside’s growth strategy for 2023 is getting its product into the grocery sector. The company has brought in new sales manager Sam Taylor from Pyramid to help drive this. “It’s one area we are currently not tapping into,” explains Max. “But with the amount of product lines that we now have, we can offer continuity in the range and that’s what the buyers want, so that they can forward plan.” Also joining earlier in late summer was former Eaglemoss Sales Head – Glynn Davies – who continues to push into the UK and EU markets with specific projects.

In addition to the collectibles ranges, Khadou has signed a worldwide licence to distribute the Chameleon patent-protected Blendypen range. It’s a historic brand which the team says dropped off the radar because of Covid, but Heathside is now selling to distributors around the world as well as the UK. This year will see the inclusion of a discount range and a small amount of licensed product. With price points looking to drive volume, the company expects to build on the success achieved in 2022. “We have managed to build some international traction and are really hoping to push this out in 2023,” adds Max.

Another big focus for 2023 will be board games. Having a presence at both London and Nuremberg toy fairs will help to raise awareness of all these lines. In fact, the stand at Nuremberg will be Heathside’s biggest ever at 132 square metres. “It’s going to be an exciting year for Khadou,” Max concludes. “Because we are close to our customers, we know what they want, and we are pretty nimble in terms of how quickly we can exploit things to their benefit. Moving into next year, there is a lot to be excited about.”