INDUSTRY FORUM TOY ASSOCIATION
Toy Fair 2023 Highlights the Power of Licensing in the Toy Industry By Maddie Michalik Toys and licensing are like peanut butter and jelly, Batman and Robin, or Woody and Buzz; they just go together. The collaboration between the toy and licensing industries has resulted in some of the most beloved and iconic products in history, from Kenner’s Star Wars action figures to Playskool’s Tickle Me Elmo. This winning combination has proven to be a recipe for success, producing billions of dollars in revenue (representing 30 percent of total global toy sales in 2022, according to Circana) and captivating the hearts and imaginations of generations of consumers. At the heart of both industries is a shared goal: to create products that resonate with consumers, which can be a win-win for everyone involved. By partnering with an established brand or character, toy manufacturers can tap into an existing fanbase and benefit from the marketing and advertising efforts of the licensor. This strategy can help to increase sales and brand recognition, particularly for new or niche toy companies that might not have the resources to build their own brands from scratch.
The Licensing Community at Toy Fair The intersection of toys and licensing will be evident this fall at The Toy Association’s Toy Fair, taking place from September 30 to October 3 at the Javits Center in New York City. The largest toy trade show in the Western Hemisphere attracts tens of thousands of attendees from around the world — including buyers, manufacturers and distributors, the media, licensing and entertainment executives, and other industry professionals — making it one of the most influential events for networking and making business connections.
“At Toy Fair, attendees can expect to see a wide range of the latest and greatest licensed products on display, but it’s also where the entire play ecosystem strengthens relationships, exchanges ideas, and inks new deals,” said Kimberly Carcone, executive vice president of global market events at The Toy Association. “The licensing and entertainment communities can share their new properties to potential partners and get a sense of the latest trends in the toy industry. Toy companies, meanwhile, can explore new licensing opportunities and From the licensor’s perspective, licensing agreements build relationships with licensors that can lead to longprovide a way to generate revenue from their intellectual term partnerships and revenue streams.” property (IP). This is particularly important for This year’s Toy Fair will also host the most companies that produce content like movies and TV comprehensive lineup of educational programming shows, for which the initial box office or advertising in the show’s history. Toy Fair University will take revenue may not be enough to recuperate the cost place throughout all four days of the show, featuring a of production. Licensing deals can provide a longnumber of seminars and workshops that cover a wide term revenue stream, even after the initial release of range of topics, including licensing and IP. All sessions the content, increasing the lifespan of the brand or are led by experts in their respective fields and provide characters, as well as renewed interest in the original valuable insights into the latest trends and best practices, content. equipping attendees with the tools and strategies they need to gain a competitive edge. 10 tfe June 2023