PUBLISHER: The Business Research Company | PRODUCT CODE: 1436158
PUBLISHER: The Business Research Company | PRODUCT CODE: 1436158
Construction toys, building blocks allowing children to construct and redesign structures, encourage creativity and learning through assembly and disassembly.
Construction toys come in various types such as bricks & blocks, tinker toys, and other variants. Bricks and blocks, also known as building blocks, comprise solid shapes used in construction games, ranging from plain wooden planks to intricate plastic interlocking bricks. Tinker toys, such as the Tinkertoy construction set, consist of small pieces assembled to create shapes or objects. Other construction toy categories encompass train sets, architectural sets, educational sets, and more. Raw materials used in manufacturing these toys include wood, polymer, metal, and other materials. They are distributed through diverse channels such as supermarkets, hypermarkets, convenience stores, and online platforms.
The construction toys market research report is one of a series of new reports from The Business Research Company that provides construction toys market statistics, including construction toys industry global market size, regional shares, competitors with a construction toys market share, detailed construction toys market segments, market trends and opportunities, and any further data you may need to thrive in the construction toys industry. This construction toys market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The construction toys market size has grown strongly in recent years. It will grow from $10.39 billion in 2023 to $11.12 billion in 2024 at a compound annual growth rate (CAGR) of 7.0%. The expansion observed in the historical period can be attributed to factors such as the educational value of products, their ties to tradition and legacy, their durability and long-lasting nature, the use of licensed themes, the promotion of social and cognitive development, and their gender-neutral appeal.
The construction toys market size is expected to see strong growth in the next few years. It will grow to $14.92 billion in 2028 at a compound annual growth rate (CAGR) of 7.6%. Anticipated growth in the upcoming period is expected due to the expansion of e-commerce, increased concerns regarding sustainability, a push for more inclusive toy design, heightened parental consciousness, the growing maker culture, and a stronger focus on safety standards. Key trends projected for this period encompass the incorporation of STEM learning into toys, the integration of augmented reality (AR) experiences, an expansion of licensing partnerships, the introduction of modular and customizable toy sets, leveraging digital integration for interactive play experiences, and the integration of 3D printing options within toy manufacturing.
Anticipated growth in the construction toys market is closely tied to the expected increase in disposable income during the forecast period. This rise in disposable income is a catalyst propelling heightened leisure expenditure worldwide. With more disposable income at their disposal, consumers exhibit a greater willingness to invest in enhancing their quality of life, resulting in increased purchases across a broad spectrum of consumer goods, including recreational items such as toys. For instance, as of 2021, data from the US Federal Reserve Board revealed an average disposable income of $56,088 per year for the typical American. The upsurge in per capita net disposable income has subsequently encouraged greater spending on toys and games, specifically contributing to heightened demand within the construction toys segment, thereby fostering growth within the construction toys market.
The anticipated expansion of the construction toys market is closely linked to the projected increase in the child population in the coming years. A growing child population, referring to individuals below the age of 18, typically correlates with heightened demand for toys tailored to this demographic. This surge in demand creates a larger market for companies specializing in construction toys, subsequently leading to increased sales and profitability within this sector. For instance, data from the US-based Centers for Disease Control and Prevention indicated 3,659,289 births in the United States in 2021, reflecting a 1% increase from the 3,613,647 births recorded in 2020. This upward trend in birth rates emphasizes the rise in the child population, acting as a significant driver behind the growth trajectory of the construction toys market.
Product innovation stands as a pivotal trend gaining significant traction and is anticipated to drive the growth of the construction toys market in the upcoming forecast period. Major players within the construction toys sector are intensifying their focus on developing cutting-edge products to fortify their market standing. For instance, in October 2023, Ravensburger, a Germany-based toy company, unveiled its latest offering, the GraviTrax Starter-Set Bounce marble run-a premier gaming gift designed for children who revel in immersive play and construction. GraviTrax represents a STEM-based construction toy track system, empowering kids aged eight and above to unleash their creativity by constructing intricate marble run tracks and watching their marbles navigate the course. This innovative system not only fosters imaginative play but also serves as an educational tool, offering insights into concepts such as gravity, magnetism, and kinetic energy, all while delivering a thrilling and engaging experience. Moreover, the GraviTrax system encourages problem-solving skills through its rebuildable features, enabling users to explore new possibilities repeatedly, fostering continuous learning and enjoyment.
The rising trend of introducing learning and educational toys stands out as a significant driver within the construction toys market. Key industry players are actively developing educational toys to sustain a competitive advantage in the market. For example, in May 2021, Makeblock, a prominent Chinese technology company, introduced Codeybot, an educational robot designed to teach children basic programming skills through an array of intuitive features. Codey Rocky, with its versatile functionalities, finds application across diverse classroom activities, including engaging maze games, line-following competitions, and fostering creative design and building exercises. This innovation not only aligns with educational objectives but also enhances children's learning experiences by integrating play with foundational programming skills.
In October 2021, Goliath, a prominent US-based manufacturer and distributor specializing in toys and games, successfully acquired Endless Games. The financial details of this acquisition were not publicly disclosed. Through this strategic move, Goliath intends to seamlessly integrate Endless Games into its distribution network by the first quarter of 2022. Endless Games, a game development company based in Turkey, will become an integral part of Goliath's operations, consolidating resources and expertise within the industry's distribution landscape.
Major companies operating in the construction toys market report are LEGO Group, BANDAI NAMCO Holdings Inc., Hasbro Inc., Mattel Inc., VTech Holdings Limited, Kawada Ltd., Tegu Inc., Mega Brands Inc., Melissa & Doug Corporation, Spin Master Corp., Magformers International Inc., Hornby Hobbies Limited, Learning Resources Inc., PlayMonster LLC, K'NEX Brands L.P., Revell GmbH, Gebruder Marklin & Cie. GmbH, Enlighten Bricks Co. Ltd., Geomagworld S.p.A., Cobi Sp. z o.o., Meccano Ltd., Thames & Kosmos LLC, The Tinkershop LLC, Tamiya Inc., Schylling Inc., KnuckleStrutz LLC, Polydron Educational Ltd., Wange Laoxing Toys Co. Ltd., Xingbao Group Co. Ltd., LaQ Co. Ltd.
North America was the largest region in the construction toys market in 2023. The regions covered in the construction toys market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the construction toys market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The construction toy market consists of sales of figures, gear sets, magnetic sets, and stacking blocks. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Construction Toys Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on construction toys market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for construction toys ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The construction toys market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.