Key Note estimates that between 2011 and 2015, the overall value of the UK market for traditional toys and games grew by 8.6%. Over these years, growth was weakest in 2012; however, annual growth was witnessed for the remainder of the review period. The rising annual growth witnessed in the market is attributable to the growing child population in the UK, alongside the improving state of the economy.
The UK market for toys and games is presently suffering from underinvestment in new product development (NPD) across Europe. In addition, the market is hampered by the declining presence of high-street toy retailers, for instance Modelzone and the Early Learning Centre (ELC). Alongside this, downwards pressure has been placed on the value of the market by the influx of discount value toy retailers, most notably online retailers such as Amazon.com and eBay, which are able to offer lower prices than that of traditional toy retailers.
However, figures from National Statistics suggest that the number of children aged under 14 in the UK has continued to rise in recent years, with further increases forecast in the coming years. Such trends have resulted in the rising potential market for toys and games in the UK.
Nevertheless, although this trend has been positive for the toys and games market, it is increasingly the case that children in the UK are maturing at a younger age and, as such, the amount of time spent playing with traditional toys and games has fallen. This has also been caused by the rising...