Sales of kids’ furnishings, accessories and toys hit record US$18 billion mark

October 26, 2010 by Wendy Goldman Getzler

Following along the continued road to economic recovery, the combined US retail sales of children’s home furnishings, portable accessories and toys are up by more than 5% this year and are slated to reach a record US$18 billion by year’s end, according to market research publisher Packaged Facts’ new study.

Infant, Toddler and Preschool Furnishings, Toys and Accessories in the U.S., 4th Edition, which examines lingering after-effects of the recession on product categories including young kids’ furnishings, accessories, and toys, has found that toys accounted for more than US$8 billion in sales, or 46%, of the entire infant, toddler, and preschooler (ITP) furnishings/accessories/toys market in 2010. Baby accessories, including monitors and strollers, make up a third of the market with more than US$6 million in retail sales. Furnishings have consistently accounted for nearly US$1 out of every US$5 throughout most of the four years between 2006 and 2010 with a total expected to surpass US$3 billion.

Packaged Facts forecasts US retail sales of ITP furnishings, accessories, and toys will exceed US$22 billion in 2015 with the market’s total growth for the period beginning in 2010 amounting to 24%.

In the realm of luxury goods, many brands are experiencing stronger sales in 2010 and the ITP durables market looks to be benefiting from affluent or wealthy Americans’ return to post-recession spending.

The study has also found that the pre-recession, recession, and recovery eras have opened up a mid-luxury tier for ITP durables. Many marketers of expensive ITP goods have issued mid-priced versions of their products to accommodate Americans whose lifestyles have been disrupted by the shaky economy.