Fandom and nostalgia gasoline development of teenagers and adults’ €4.5b toy market in EuropeToy World Journal

In keeping with the newest Circana report, the toy marketplace for teenagers and adults, aged 12+ years, now represents 28.5% of complete toy gross sales, after rising 2.5% since 2022.

Teenagers and adults aged 12+ years, also called kidults, are fuelling development within the European toy market, whereas gross sales to kids beneath 12 years of age are in decline. That is in line with the State of the toys client: Teenagers & Adults report – an evaluation of 12+ shoppers, collectors and followers within the 5 largest markets in Europe: France, Germany, Italy, Spain and the UK (EU5) – printed by Circana.

Valued at €4.5b in 2023, the toy marketplace for teenagers and adults aged 12+ years has grown by 2.5% since 2022 and now represents 28.5% of complete toy gross sales. This development is ready to proceed as European markets with an ageing inhabitants are additionally seeing a decline within the variety of kids beneath 12 (-3% in 10 years), forcing toy manufacturers and retailers to adapt and diversify to fulfill new challenges and develop new alternatives.

Adults have been the quickest rising age group within the toy market during the last two years with a 5.5% improve in gross sales, whereas adolescents, ages 12-17 years, grew by 3.3%. In sharp distinction, gross sales for kids have fallen considerably since 2021 with spend per youngster additionally declining. Kids beneath 12 are nonetheless the largest purchasers of toys, nonetheless, spending €295/head in comparison with adolescents (€89/head) and adults (€10/head).

Whether or not pushed by nostalgia for video games performed as children, impressed by a favorite TV present or nomad video games that may be taken anyway anytime, Video games & Puzzles are profitable by way of high toy classes boosted notably, however not solely, by onerous core avid gamers driving gross sales worth and keen to pay as much as €100 for a high quality recreation.

Constructing Units are gaining floor on Video games & Puzzles, because of market chief, The Lego Group, who dominates the class and is the preferred producer amongst 12+ shoppers and collectors. Persevering with to thrill its big fan base, together with the AFOL – Grownup Followers of Lego, the model can also be in a position to entice new clients by means of innovation, with the likes of its Botanical Assortment that led to a triple-digit gross sales uplift from 2019-2023 amongst 12+ females.

Licensed toys reached one other document excessive in 2023, in line with the report, representing greater than 27.8% of complete toy gross sales in EU5. Large franchises like Star Wars, Marvel, DC and Pokémon are all fuelling the fandom phenomenon by distributing extra content material on the cinema and on streaming platforms, whereas additionally growing direct to client channels and social media to have interaction with eager collectors and followers.

As the most important toy property for these aged 12+, Star Wars is exclusive within the business with over half of its complete gross sales amongst these aged 12+ years, whereas Pokémon grew its share by refreshing its buying and selling card video games and enjoying the nostalgia card round its twenty fifth anniversary in 2021.

Within the US, Circana just lately reported that adults aged 18 and older have turn into a very powerful age group for the business within the first quarter of this yr. Sports activities followers and collectors have been behind a lot of that development, a pattern we aren’t but seeing in Europe to this point, however probably a chance.

Frédérique Tutt, World Business advisor for Toys at Circana, commented: “With a ardour for board video games, puzzles and collections, a heavy dose of fandom and a contact of nostalgia, evidently older children and adults are redefining the toys market. Regardless of the elevated value of dwelling, followers of toys and video games know what they like and are ready to spend cash on it. To some extent that is all the way down to client teams with deeper pockets who can afford to indulge their passions, however we’re now additionally seeing an increase in critical toy collectors, followers of popular culture and people who take gaming, puzzling and enjoying to a different degree.”

In keeping with Circana’s report, virtually half (47%) of all toy gross sales made to teenagers and adults aged 12+ years are on-line. Nation by nation evaluation exhibits that in Germany and the UK, the web share is bigger than in-store, whereas in-store stays robust within the French market.

With Amazon dominating toy market gross sales, Frédérique believes that bricks and mortar retailers are under-trading with this sector of the market and could possibly be doing extra to draw their share of pockets. “For manufacturers, licence homeowners and retailers, there are actual alternatives to develop the adults and youths market as an entire, and likewise improve their share inside it, by means of diversification and by growing in-store shelf area and on-line ranges focused at older shoppers,” stated Frédérique.

The State of the toys client: Teenagers & Adults – Europe 5 report is derived from Circana’s European Shopper Panel Toys Shopper 360 (TC360) taking a look at toy purchases from people in France, Germany, Italy, Spain and the UK. The report is out there now, and can also be obtainable for the US market, from Circana.