Five Trends Lead The New Development of The Toy Industry In 2023

In recent years, the overall trend of the global toy market has been positive. Toy consumption has continued to expand from mature European and American regions to emerging markets. Toy consumption in Asia, South America, Australia and other places has grown rapidly. In 2022, the sales revenue of the global toy industry will increase by 12% year-on-year, the average sales price will increase by 8%, and the sales volume will increase by 6% in the same period. Domestic consumers have gradually improved their awareness of the cognitive benefits of toys, and their interest in toys and consumption intentions have increased. In 2022, the market size of the domestic toy industry will reach 91.8 billion yuan, and it is expected to grow at a compound annual growth rate of 6.8%. In 2026 It will reach 119.5 billion yuan. In 2022, Senbao Building Blocks completed hundreds of millions of yuan in Series A financing in February, Star Pony completed financing of over 10 million US dollars in May, and completed the Pre-A round of financing of tens of millions of yuan in August before Building Blocks.

In 2022, the overall situation of the domestic toy industry is good. As of December 2022, more than 85% of domestic toy manufacturers are exporters, and toy exports account for more than 50% of domestic toy output. From the perspective of demand, domestic consumers still focus on green sustainable toys, traditional toys and construction toys, while gradually increasing their attention to authorized digital toys and multi-generation authorized toys. From the perspective of the supply side, toy companies, based on the focus on product playability and consumers' spiritual and cultural needs, expand product categories horizontally and dig deeper into product demand levels vertically. However, compared with developed countries, domestic toy companies still have a gap in terms of branding, design, scale and product quality, and more rapid development and integration are urgently needed.

In 2023, the domestic toy market will show five major trends: first, to improve the design of thinking training; second, to pay more attention to the integration with digital content; Groups launch more inclusive innovative products, and fifth, pay more attention to IP creation and fan effect. Toy companies should further rely on the "brand + channel" business model to accelerate the preemption of high value-added links in the toy industry chain, and gain further favor from investors and consumers by improving the technology and interactivity of toys. Combined with the development trend, investors can keep an eye on the market segment of STEAM toys.