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Global Toys and Games Market Thrives with Rising Demand for Smart, Sustainable, and Inclusive Play Experiences
Toys and Games Market
Key Growth Drivers
The popularity of smart toys-integrating internet connectivity, sensors, and interactive features-is transforming the market. Examples include Hasbro's "FurReal Friends," which respond to touch and voice, and the "Osmo" system, which merges physical components with digital apps to make subjects like math and coding engaging. Augmented reality, virtual reality, and mixed reality are also gaining traction, as seen with Mattel's "Hot Wheels: Rift Rally," offering immersive racing experiences.
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Sustainability is another driving force, with parents increasingly preferring eco-friendly products free from harmful substances. Companies like Green Toys and PlanToys are leading the way with recycled materials and non-toxic dyes. Major brands such as Mattel are committing to 100% recycled, recyclable, or bio-based plastics by 2030, as seen in their sustainable Barbie and MEGA product lines.
Inclusivity is shaping the future of toys, with growing demand for products reflecting diverse life experiences and abilities. Barbie's inclusion of dolls with hearing aids, prosthetic limbs, vitiligo, and wheelchairs exemplifies how manufacturers are promoting acceptance and representation.
Market Trends and Innovations
Special edition toys inspired by pop culture remain highly popular. Kylie Jenner's collaboration with Bratz and Disney's "The Little Mermaid" doll line highlight how media releases influence consumer buying patterns. Collectors and children alike seek toys that mirror favorite characters and cinematic experiences.
The market is also expanding to serve children with disabilities, creating accessible games and adaptive designs. This shift reflects both consumer demand and the broader importance of representation in childhood play.
Challenges in the Market
Despite strong growth potential, the industry faces challenges. Economic downturns can impact discretionary spending, reducing toy purchases. The COVID-19 pandemic exposed vulnerabilities in global supply chains, leading to shortages and delays. High licensing fees for popular franchises can limit product variety, while competition from digital entertainment like mobile apps and video games continues to divert attention from traditional toys.
Segment Insights
By Type: Dolls and action figures remain dominant, driven by movie releases, customization options, and franchise tie-ins. New collections, such as Purpose Toys' "Fade Collection," highlight cultural representation and community celebration.
By Price Range: Mid-range toys hold the largest share, balancing affordability and quality. E-commerce platforms like Flipkart have reported sharp rises in STEM toy sales, supported by a growing selection of local brands.
By Distribution Channel: Brick-and-mortar stores lead in revenue, offering hands-on experiences, immediate product access, and personalized recommendations. These factors continue to attract families despite the growth of online retail.
Toys and Games Market Top Companies and Competitive Landscape
The global toys and games market is moderately fragmented, with many large and medium-sized players accounting for the majority of market revenue. Major players are deploying various strategies, entering into mergers & acquisitions, strategic agreements & contracts, developing, testing, and introducing more effective spectrum analyzers.
Some major players included in the global toys and games market report are:
Lego System A/S
Mattel
Tomy
Spin Master
Ravensburger
Playmates Toys Limited.
Clementoni Spa
Konami Digital Entertainment
Jakks Pacific, Inc.
Sanrio Co., Ltd.
Thames & Kosmos, LLC.
Bandai Namco Holdings USA Inc.
Ubisoft Entertainment
Dream International Limited
MGA Entertainment
LeapFrog Enterprises, Inc.
Vivid Imaginations UK
Funko
Nintendo of America Inc.
Activision Publishing, Inc.
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Toys and Games Market Segmentation Analysis
For the purpose of this report, Emergen Research has segmented the global toys and games market on the basis of type, function, price range, material, distribution channel, and region:
Toys and Games Product Type Insights: Revenue, USD Billion; 2019-2032)
Dolls and Action Figures
Board Games
Puzzles
Outdoor and Sports Toys
Electronic and Video Games
Construction Toys
Plush Toys
Educational Toys
Others
Toys and Games Function Insights: (Revenue, USD Billion; 2019-2032)
Active Play
Balls
Bikes
Swimming Pools
Scooters
Others
Creative Play
Art Supplies
Dress-Up Clothes
Musical Instruments
Building Blocks
Others
Educational Play
Puzzles
STEM (Science, Technology, Engineering, and Math) Toys
Engineering Kits
Brain Teasers and Logic Games
Mazes and Labyrinths
Others
Social Interaction and Communication
Board Games
Card Games
Cooperative Games
Role-Playing and Social Playsets
Others
Others
Toys and Games Price Range Insights: (Revenue, USD Billion; 2019-2032)
Premium Toys
Mid-Range Toys
Budget Friendly Toys
Toys and Games Material Insights: (Revenue, USD Billion; 2019-2032)
Metal
Wood
Plastic
Fabric and Textile
Mixed
Others
Toys and Games Distribution Channel Insights: (Revenue, USD Billion; 2019-2032)
Brick-and-Mortar Retailers
Specialty Stores
Toy Rental and Subscription Services
Mass Merchandisers
Department Stores
Online Retailers
Others
Toys and Games Regional Insights: (Revenue, USD Billion; 2019-2032)
North America
U.S.
Canada
Mexico
Europe
Germany
France
U.K.
Italy
Spain
Benelux
Rest of Europe
Asia Pacific
China
India
Japan
South Korea
Rest of APAC
Latin America
Brazil
Rest of LATAM
Middle East & Africa
Saudi Arabia
UAE
South Africa
Turkey
Rest of MEA
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Emergen Research is a market research and consulting company that provides syndicated research reports, customized research reports, and consulting services. Our solutions purely focus on your purpose to locate, target, and analyse consumer behavior shifts across demographics, across industries, and help clients make smarter business decisions. We offer market intelligence studies ensuring relevant and fact-based research across multiple industries, including Healthcare, Touch Points, Chemicals, Types, and Energy. We consistently update our research offerings to ensure our clients are aware of the latest trends existent in the market. Emergen Research has a strong base of experienced analysts from varied areas of expertise. Our industry experience and ability to develop a concrete solution to any research problems provides our clients with the ability to secure an edge over their respective competitors.
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