Key Takeaways
- The toy industry is actively engaging with AI, with major manufacturers exploring partnerships and internal development.
- The 'kidult' market for adult collectors is a significant and growing segment, driven by nostalgia and investment interest.
- Hollywood's relationship with the toy industry is evolving, with toys increasingly inspiring media adaptations rather than solely being merchandise.
- Collectibles, including trading cards, are recognized as an emerging asset class, attracting investor interest.
Deep Dive
- James Zahn, editor-in-chief of The Toy Book, discussed the future of toys, suggesting AI companion robots could be a new 'villain' to traditional toys.
- The guest expressed a preference for limiting children's handheld screen time, contrasting it with video games.
- Toy manufacturers like Mattel and Hasbro are actively engaging with AI, partnering with companies like OpenAI and developing internal AI studios.
- Adult toy collecting is not a new phenomenon; enthusiasts historically collected items like nesting dolls and, since the 1950s and 60s, action figures and die-cast vehicles.
- The period between 1960 and 1985 is identified as a golden age for the North American toy industry, producing enduring brands such as Masters of the Universe and Transformers.
- By the 1980s, Mattel noted approximately 5,000 adult Barbie collectors.
- The growth in adult collecting over the past 25 years, particularly accelerating in the last five, is linked to generations reconnecting with childhood toys and the impact of the pandemic.
- The adult collecting market includes trading cards, which drove 70% of the 6% sales growth in the category in the U.S. for the first six months of the current year.
- Collectibles are becoming an asset class, with investors allocating portions of their portfolios to items like trading cards, drawing parallels to gold and Bitcoin.
- The symbiotic relationship between Hollywood and toy manufacturers has evolved, with toys like Barbie now inspiring media adaptations, reversing the traditional flow where toys were based on movie intellectual property.
- Star Wars profoundly impacted licensing decades ago, setting a precedent for media-toy collaborations.
- Manufacturers and retailers have become more cautious about IP-based toys due to past failures, such as the 1997 'Godzilla' movie which resulted in unsold 'Trendmasters' toy inventory.
- Funko Pops are being fast-tracked for December release, ahead of original January/February plans, due to their simple production process.
- Mattel and Hasbro have formed a co-master toy partnership, leveraging Mattel's strengths in dolls and vehicles and Hasbro's in gaming.
- A $150 Barbie-style fashion doll, based on 'K-pop Demon Hunters', is available for pre-order from Mattel Creations, with shipments anticipated for Fall 2026.
- James Zahn proposed his 'Mount Rushmore' of toys: the original Big Wheel, the original G.I. Joe, the original Barbie, and the Radio Flyer Little Red Wagon.
- He suggested commemorating this monument in Manhattan, specifically at 200 Fifth Avenue, the former historic hub for the North American toy industry.