The global toy market is highly competitive, with key players including LEGO, Hasbro, Bandai Namco, Mattel and JAKKS Pacific. The United States is the dominant market due to its strong toy manufacturing sector and high consumer spending. China is also emerging as a key player with growing demand and capabilities.
The U.S. market size for toys was $32.6 billion in 2020, a 16.7% increase versus 2019. Global demand is forecasted to grow at 10%-15% against the 5% average.
The global toy manufacturing industry grew by $13.2 billion over the decade from 2008-2018. In 2019, the global toy market size reached $92.2 billion and is expected to reach $103.8 billion by 2027 at a 2.5% compound annual growth rate.
In 2021, the industry was $140.8 billion. It is expected to reach $230.4 billion by 2028, growing at 7% annually. The Lego Group holds the biggest market share, earning $8.5 billion in 2021. Bandai Namco followed closely with $7.3 billion.
Technology allows toy companies to add advanced graphics, dialogue and sensory cues to engage kids. Companies must continually innovate as digital competition grows. Construction toys are currently popular, helping retailers expand their customer base and increase profits.
Over the long-term, global toy sales are projected to reach $437 billion by 2030, growing at 5.6% annually. Market growth is driven by increasing toy popularity and innovations that entertain children across the world.