May/June 2021 | MOVES
AAPI appreciation
Racially motivated attacks against Asian American and Pacific Islander communities have skyrocketed, leading broadcasters and SVODs to put an increased focus on May’s AAPI Heritage Month with new content hubs (Netflix) and special series (Cartoon Network). Hopefully, the same companies that paid lip service in May will work more AAPI characters and stories into their shows year-round.
Big-screen dreams
It’s not just starving artists looking to make it in Hollywood these days—studios that previously focused exclusively on TV series or digital shorts are stepping into the cinematic spotlight. Mercury Filmworks is working on its first-ever feature film; toyco MGA is wrapping up its first flick for Netflix; and Nelvana is giving feature films another try (more on pg. 13).
Roblox on the rise
Following its public offering, social gaming platform Roblox saw its revenue jump to US$387 million—a 140% increase over last year. Now, prodcos like Pocket.watch, Surge Licensing and MGA Entertainment are flocking to the platform to create their own in-game experiences for kids. Roblox’s ability to connect kids with the brands they like could position it for big-time growth.
Revenue rollercoaster
This time last year, toymakers struggled against closures, lockdowns and delays. The result was a first quarter filled with double-digit declines. But toycos are reporting significant growth for Q1 2021, with Mattel’s net sales increasing 47% and Spin Master’s revenue jumping 39%. What remains to be seen, however, is whether this positive momentum will hold up over the rest of the year.
Content kick-start
Next up
Game on
After scrapping kids content quotas for local broadcasters earlier this year, the Australian government is making amends with a number of new funding announcements, including a US$9.2-million offer to the Australian Children’s Television Foundation, and a 40% tax offset for producers of kids feature films.
Even your mom is on TikTok...which, of course, means kids are about to move on to the next cool thing. There’s plenty of buzz around audio-only Clubhouse and Facebook’s “Instagram for kids,” but only time will tell if either of these offerings become the new must-have app.
There’s an Epic battle brewing with Apple as the gamemaker prepares to take the tech giant to court over restrictions on in-app purchases. Epic dropped the gauntlet when it put its own payment processing system in Fortnite, and a win could mean more control over how kidcos monetize their games on iOS.
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