“Despite the complicated and severe foreign trade environment, China’s toy exports fluctuated greatly last year, but the industrial development remained stable. Last year, China’s toy exports reached US$25.084 billion, up 4.5% year-on-year.” Li Zhuoming, president of Guangdong Toy Association, was here on the 21st. In an interview with the reporter, he said.
China is the world’s largest toy producer and exporter. More than 70% of the world market’s toys are made in China. Last year, China’s toy industry encountered a severe test: multinational corporation American Toys R Us went bankrupt, and successively closed hundreds of retail stores in the United Kingdom and the United States, which caused the production and operation of enterprises that had business dealings with the company to be dragged down; Sino-US trade frictions and dark clouds Shrouded, market confidence has been hit… A series of unfavorable factors have caused many people to worry that the Chinese toy industry will suffer severely.
“Indeed, the unfavorable business environment has not only affected the Chinese toy industry, but also the demand for the entire world toy market.” Li Zhuoming said. According to reports, the global toy market demand showed negative growth last year, and sales fell by nearly 2% year-on-year. Although the amount of Chinese toy exports has maintained positive growth, the growth rate has fallen back. In 2017, the export value of Chinese toys increased by 31% year-on-year, and only increased by 4.5% in 2018, and the fluctuation was fierce.
In terms of scale, China is now the world’s second-largest consumer of toys after the United States, and its market potential is optimistic. The decline in sales of the world toy market has prompted more companies to actively develop the Chinese market. It is understood that the 31st Guangzhou International Toys and Education Products Exhibition, which will open on April 8 this year, exhibitors are very active, and the scale of exhibitors and exhibition areas will reach a new high.
It is reported that the retail sales of China’s domestic toy market last year was about 68 billion RMB, roughly the same as 2017. “This is related to the big consumer environment. But we also noticed that some toy sub-categories, such as the toy market with educational learning function, are growing rapidly.” Li Zhuoming believes that “STEAM children’s education concept is becoming more and more popular around the world, especially in recent years, China has greatly promoted the STEAM education system within the national curriculum standards.”
STEAM is the abbreviation of the first English alphabet in science, technology, engineering, art and mathematics. The educational concept originated from the United States and aims to improve children’s knowledge and interest in science, technology, engineering, art and mathematics. STEAM teaching aids often use blocks, puzzles, robots, color mud and so on.
“In many toy categories, the puzzle and creativity of building blocks are outstanding. Over the past five years, focusing on the development, production and sales of puzzle blocks, ‘Enlightenment’ has achieved a compound annual growth rate of more than 30%, total growth. The rate reached 297%.” Guangdong Kai Meng Toy Industry Co., Ltd. General Manager Zhan Kada said.
Although the demand for the world toy market has been lower last year, the industry generally believes that the development prospects of the Chinese toy industry are still quite bright. Toys are creative products. As long as the company continues to innovate, the whole market will be active. It is common for “explosive” toy to sell hundreds of millions of RMB. At the same time, the animation and video IP can’t ignore the driving effect of the toy trend.