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With how many billion dollars children play?

10.02.09
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World toys market has been estimated at 100 milliards US dollars. Traditionally 40-45% belongs to both Americas (mostly for USA), 29-30% to Asia/Oceania, only 1% - to Africa, and 25-30% belongs to Europe.

In compare with Eastern Europe West European parents spend much more money per child. The average sum is about 35 – 40 milliards dollars. Eastern part spends about 2 milliards per year.

Toy’s Market development is defined by two important factors: fast development of electronics and demographic situation changes.

What does a child want?

According to the researching results, toy dolls and plush animals have the greatest popularity among wholesale and retail buyers (about 40% from the overall turnover), the designers have 20% of the market share, 20% belongs to video games and approximately 10 % for board games + puzzle and technical toys (such as railways and machines) each.

The manufacturers and sellers think that computer games and toys, working on the batteries, will grow much faster than others. On the second place of sales growth will be developing toys and games and toys for babies, because of information technologies and world phenomenon of a fast children’s growing, known as KGOY (Kids Growing Older Younger) in the toy’s industry. This fact forces manufacturers to create more complicated technological products. New children’s generation, called “Digi-Kids”, grow up in the world of electronics, mass media, video games and PC with Internet access since birth that have never been before.

The main manufacturer’s audience is 0-7 years old children. Parents who have a child from baby to 6 years old are the most active buyers. Younger schoolchildren’s (7-9 years old) parents concede to the leaders just some percent. Teenagers are more interested in new mobile phone models and less in toys.

Who makes toys? or If not “made in Сhina” then where?

Today “Earning money on children” is a perspective and fast developing business.

The main manufacturers on Eurasian continent are:

China. More than 45% of toy’s market belongs to Chinese manufactures.

Demand for “made in China” products falls. The reason is the stereotype which has developed by years that China delivers bad quality and even unsafe toys that contain harmful polymers. Therefore the parents caring about child’s health do not look at retails with production from South Eastern Asia.

The most expensive toys are the toys, made in Western Europe (Germany, Italy, Spain, France). They have good sales in EU and about 20% on Russian and CIS’ market. Here we talk mostly about brand toys and toys for premium class.

East European manufacturers (Poland, Czech Republic, Lithuania, Latvia) are well-known at “home” and on the neighbors’ markets.

Can Russian bears replace Chinese dolls?

Russian and CIS’s toys, such as stuffed animals (bears, rabbits, foxes and other national fairytale heroes) can be a good alternative to Chinese production. Slavic soft toys are 10-15% cheaper. The experts estimate Russian and CIS’s toy’s industrial level as rather low, however children's toys of the most successful Russian manufacturers, for example, are rather competitive in quality in the world market and are successfully exported.

Financial crisis has not passed by the children goods’ market, but for Russian, CIS’ and East European producers it can be favorable and may even help to increase incomes from sales, expand client database and achieve turnover growth.

The number of transactions with the wholesale toys through diversified electronic trading marketplace is growing fast. For example, on the one of such marketplace www.b2b-club.ru more than 120 Russian and Ukraine manufacturers have already registered.

Crisis is crisis but nobody can cancel or delay children’s Birthday and Christmas presents.

Can Russian bears replace Chinese dolls?

 

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What does a child want?

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