Company Profile - DKB Toys

Picking the winners

Toy World caught up with DKB Toys & Distribution managing director Chris Lohmeyer to find out how the company’s first 18 months in business has gone, and what lies ahead for the rest of 2022.

Toy World first profiled DKB Toys & Distribution back in February last year, almost six months after the company was launched. In that interview, Chris spoke about his goal of establishing a toy and distribution company that offers service “like no other.” So, have the first 18 months gone according to plan?

Chris laughs wryly: “We have faced container shortages, Covid, sky-high shipping prices, lockdowns, a shortage of HGV drivers and Brexit. Apart from that, it has all gone swimmingly.” However, despite all the challenges, Chris is keen to focus on the upsides: “I believe you learn more in hard times than you do in good times. We’ve got the company up and running, we have developed good business with a number of majors – including Smyths, The Range and The Works – as well as the independent trade. We have gone from just me to a team of six people, and now we’re introducing some exciting new brands to our portfolio.”

One of the new brands joining the range for 2022 is the legendary Crazy Aarons line of putty and slime, which Chris is understandably excited about: “The brand was on fire a few years ago, when the slime and putty craze first hit the UK market. Of course, as there was such huge demand from consumers, the market was quickly flooded with copies and inferior quality products. The great thing about the Crazy Aarons range is that it is a completely trusted brand – every product is tested, and every tin has the correct safety markings to prove it.

“The specialist independent trade always loved the brand, selling huge quantities and making great margins – so as soon as we found out they were looking for a new partner to re-establish the brand in the UK market, we jumped at the chance. We know that the range sells and that our retail customers and consumers can have complete confidence that it is a safe, trusted brand.

“The independents are already excited that the range is coming back, it was always a massive margin driver for them. And we’re going to make sure that we control online sales carefully – only authorised sellers will be able to offer the range on Amazon and other online platforms. The first shipment will arrive at the end of May, and we have already sold a quarter of the container before it has even left New York.

“We’ll also be supporting the brand heavily at retail – we are bringing display stands over and also designing and manufacturing our own stands to increase capacity. We are confident it’s going to work – it’s a fun product which we will be marketing not just to kids, but to adults too. It’s the ultimate fidget toy and a great stress-reliever.”

In addition to adding new ranges to its portfolio, DKB Toys has also been hard at work building a brand new website, which is due to go live at the end of May. The website will be transactional, allowing retailers – from major accounts through to independent retail stores – to place orders for immediate delivery, which in some cases will be within 24 hours.

“When we set the business up, we said that we wanted to become the largest distributor in the UK – and the new website will go a long way to helping us achieve this ambition,” states Chris.

Another key step towards that goal was the appointment of DKB to handle UK distribution for Melissa and Doug, a partnership that will see the company service over 2,000 independent UK customers. Chris is excited about the prospects for the partnership: “Melissa and Doug is a premium product. We will be carrying around 390 lines in total, including the top 60 items. It’s a great brand that I believe will benefit from having boots on the ground, and I am very much looking forward to working with Jez Robinson and the UK team.”

As DKB’s portfolio grows, so too does its team – the latest addition being popular salesperson Edel Siddle. “I’m delighted that Edel will be joining us,” admits Chris, “we are carrying over 400 lines now, and it is great to have someone of Edel’s calibre with great connections in the trade on board to help get our message out to the trade.”

In addition to the new ranges, Chris is keen to stress that there is still tremendous scope for growth in the ranges that have been with DKB from the start: “The Alex brand is a major opportunity for us this year. The range is particularly strong in Art & Craft and Bath Toys. With price points ranging from £4.99 to £39.99 and very high margins of between 40-50%, we have found that where stock has gone in, it has flown out.”

Crazy Forts is another brand that was part of DKB’s formative offering, and it has grown substantially in tandem with the company’s growth: “When we started, we were selling around 250 pieces a month – we’re now selling ten times that amount every month. It’s a premium product, and although that means the price is higher than some competitive ranges, many consumers prefer to pay a little more for the quality.” Ultimately, as Chris explains, it’s about picking the winners: “We have to find the gaps in the market where we can win. We want to offer brands with longevity – our business is based on profit, not turnover. Of course, we want to get into more national accounts – but we still have a soft spot for Toymaster and the independent trade. That’s why we are giving them Crazy Aarons stands first, we want to support them as best we can.”