The market for infant, toddler and preschool toys is taking off, according to a new report by New York-based research firm Packaged Facts.
The U.S. and European Markets for Infant, Toddler, and Preschool Toys cites a 35-percent growth in sales of toys targeted at newborns to five-year-olds in the U.S. between 1991 and 1995. That amounted to US$2.7 billion in 1995 alone. By comparison, sales grew 41.6 percent in Europe from 1990 to 1995, reaching US$2.4 billion in 1995.
Among the slew of products targeted at kids age five and younger are rattles, mobiles, electronic learning aids, hard and soft blocks, dolls and puppets, crayons and other coloring supplies, train sets, games and plush toys.
The increasing appearance of licensed television and film properties on such products is partly to credit for the expansion of this market. Other factors driving the upsurge in sales are greater knowledge among parents and manufacturers of the developmental needs and capabilities of this age set, a strong birth rate, a rising number of dual-income families, a larger population interested in multicultural products and a growing number and sophistication of edutainment products.
More than 200 companies compete for dominance in this market in the U.S. Mattel is the leader, with a 32.7 percent market share, with Hasbro in second place at 22.7 percent, Little Tikes in third position at 9.2 percent and Tyco Toys next in rank at 7.3 percent. Sales growth rates for these giants averaged 8.4 percent in 1995.
And the future looks bright for all companies going after this demographic. If current trends continue, the report predicts that sales will reach US$3.8 billion in the U.S. and US$3.2 billion in Europe by the year 2000.
For more information or to order a copy of the study, contact Packaged Facts at 1-800-265-9836.