The Global Construction Toys Market size is expected to reach $18.1 billion by 2028, rising at a market growth of 6.5% CAGR during the forecast period.
The market is anticipated to expand more quickly as the advantages of construction toys for children's cognitive development become more widely acknowledged. The demand from educational systems is expected to be driven by the goods' ability to help youngsters develop their spatial reasoning. For instance, early education classes feature toys made of bricks and blocks. These activities for kindergarteners are intended to promote holistic development by encouraging children's imagination and inventiveness.
Construction toys have repeatedly been highlighted as having a positive impact on children's cognitive flexibility in recent research studies on child psychology and cognitive development. These games encourage creative problem-solving. Children are challenged to come up with original solutions while assembling parts to recreate a specific structure, which is essential for their cognitive development. Additionally, playing these games might enhance cooperation, social skills, and teamwork abilities.
The major strategies followed by the market participants are Acquisitions. Based on the Analysis presented in the Cardinal matrix; LEGO Group is the major forerunner in the Construction Toys Market. Companies such as Basic Fun, Inc., PlayMonster LLC and Hasbro, Inc. are some of the key innovators in Construction Toys Market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Hasbro, Inc., Mattel, Inc., Spin Master Corp., LEGO Group (KIRKBI A/S), Ravensburger AG, Magformers LLC, PlayMonster LLC, Bandai Namco Holdings, Inc., Rockaway Records Ltd., Basic Fun, Inc.
The market is anticipated to expand more quickly as the advantages of construction toys for children's cognitive development become more widely acknowledged. The demand from educational systems is expected to be driven by the goods' ability to help youngsters develop their spatial reasoning. For instance, early education classes feature toys made of bricks and blocks. These activities for kindergarteners are intended to promote holistic development by encouraging children's imagination and inventiveness.
Construction toys have repeatedly been highlighted as having a positive impact on children's cognitive flexibility in recent research studies on child psychology and cognitive development. These games encourage creative problem-solving. Children are challenged to come up with original solutions while assembling parts to recreate a specific structure, which is essential for their cognitive development. Additionally, playing these games might enhance cooperation, social skills, and teamwork abilities.
COVID-19 Impact Analysis
The economy was severely impacted by the coronavirus outbreak that spread across the world. Lockdowns have been ordered in many nations around the world in an effort to stop the chain and spread of the coronavirus. The supply chains, avenues of distribution, trade, and growth of the building toy business were all severely harmed by this. Additionally, since the COVID-19 pandemic, the selling of toys on various e-commerce websites has increased, which could increase the need for additional building toys over the projection period.Market Growth Factors:
Parents Are Paying More Attention to Children's Overall Development
Children are becoming addicted to TVs, computers, and mobile phones, so parents are seeking ways to get them involved in new physical activities. With the aid of construction toys, kids may exercise their bodies and minds while also developing their inventiveness and social abilities. Building blocks, model construction vehicles, and city-building toys are just a few of the cutting-edge construction toys that vendors are offering to children.The Growing Use of Social Media Expands the Market Growth
Companies are concentrating on forming alliances with various marketing firms and well-known social media influencers for creating content for youngsters in order to promote a strong brand image. This aids them in increasing their gaming-related earnings. Additionally, the rising demand for toys in several colors among preschoolers is projected to drive market expansion.Marketing Restraining Factor:
Availability of Alternative Products
The introduction and spread of e-commerce helped to increase the sales of counterfeit items by expanding their geographic reach. Additionally, these items cause market fragmentation, a lack of price uniformity, a decline in the margins of branded competitors, a decline in the brand value of significant competitors, an unfavorable competitive environment, and the loss of market share. Disney toys and Mattel toys are two of the most often imitated brands on the market.
Material Outlook
On the basis of material, the construction toys market is fragmented into wood, polymer, metal and others. The wood segment covered a substantial revenue share in the construction toys market in 2021. As a result of being non-toxic and safe for children, wooden toys are predicted to expand in popularity and drive market expansion. Due to the material's longevity, these products can last for generations, which is expected to be positive for the segment's growth.Product Outlook
Based on product, the construction toys market is segmented into bricks & blocks, tinker toys and others. The tinker toys segment acquired a substantial revenue share in the construction toys market in 2021. This expansion is being accelerated by the increased difficulty and appeal of the toys as well as their ability to provide a wider range of creations. The use of parts like caps, wheels, sticks, pulleys, and couplings in the tinker toys encourages children's imagination and critical thinking.Distribution Channel Outlook
By distribution channel, the construction toys market is classified into hypermarkets & supermarkets, specialty stores, online and others. In 2021, the hypermarkets & supermarkets segment witnessed the highest revenue share in the construction toys market. Better visibility of consumer goods products has been made possible by the organized retail sector's framework, and growth is anticipated to be boosted by the products' accessibility and immediate availability.Regional Outlook
Region wise, the construction toys market is analyzed across North America, Europe, Asia Pacific and LAMEA. In 2021, the North America segment led the construction toys market with the largest revenue share. This is because of the growing use of blocks and construction sets in kindergartens in the United States and Canada. Construction toys are used by academics and child psychologists from a number of American colleges to study children's cognitive abilities.Cardinal Matrix-Construction Toys Market Competition Analysis
The major strategies followed by the market participants are Acquisitions. Based on the Analysis presented in the Cardinal matrix; LEGO Group is the major forerunner in the Construction Toys Market. Companies such as Basic Fun, Inc., PlayMonster LLC and Hasbro, Inc. are some of the key innovators in Construction Toys Market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Hasbro, Inc., Mattel, Inc., Spin Master Corp., LEGO Group (KIRKBI A/S), Ravensburger AG, Magformers LLC, PlayMonster LLC, Bandai Namco Holdings, Inc., Rockaway Records Ltd., Basic Fun, Inc.
Strategies deployed in Construction Toys Market
Partnerships, Collaborations and Agreements:
- Jan-2022: Hasbro came into a partnership with Creative Kids, the go-to source for fun, interactive kids' arts and crafts. Under this partnership, both companies would introduce a full line of Play-Doh toys with the latest twists in the Air Dry & Modeling Clay compounds space.
- Feb-2020: Basic Fun entered into a partnership with Authentic Brands Group, an American brand management company. Under this partnership, Basic Fun would be a spokesperson for the all-new Tonka line of ABG. This partnership would bring together these two legendary icons with aim of getting kids off their screens & outside or on the floor to enjoy some fun & active play.
Product Launches and Product Expansions:
- Apr-2022: Mattel expanded its existing portfolio by opening new products from MEGA & Matchbox brands. MEGA, the global leader in preschool construction toys, would help to create a brighter, more sustainable future with 'MEGA BLOKS Green Town', the first-ever toy line available at mass retail to be certified CarbonNeutral.
- Mar-2022: Magformers released a licensed product. The product is developed by bringing the Baby Shark global phenomenon into the magnetic construction toys category. This new set would include all new Stick-O pieces that consist of large magnetic balls having cute shark faces & magnetic fins & tails in yellow, blue, and pink colors.
Acquisitions and Mergers:
- Dec-2021: Tegu, brand of Rockaway Records Ltd. acquired BamSEC, a financial data searching tool that enables investment companies. This acquisition would enable Tegus to quickly dive into company financials & filings as well as easily understand the context that powers those numbers and metrics.
- Jun-2021: PlayMonster signed an agreement to acquire Michigan-based Ann Williams Group, a leading manufacturer of award-winning, innovative craft and activity kits for all ages. This acquisition would further scale PlayMonster's footprint in the growing craft & activity toy industry category, complementing current activity brands that include Colorforms, Spirograph, Face Paints, Latchkits, and more.
Geographical Expansions:
- Jun-2022: Lego expanded its geographical footprint in Virginia by opening a new factory. This expansion aimed at shortening Lego's supply chain & avoid delivering issues to the main market in the United States.
- Feb-2020: Ravensburger expanded its geographical footprint in Canada. This expansion would result in Ravensburger's growth in the region by a rise in demand in this region.
Business Expansions:
- Oct-2021: Spin Master expanded its business by creating Spin Master Ventures. By this expansion, the SMV focused on accelerating growth in each of Spin Master's three creative centers including Entertainment, Toys, and Digital Games, through strategic minority investments.
Scope of the Study
Market Segments Covered in the Report:
By Material
- Polymer
- Wood
- Metal
- Others
By Product
- Bricks & Blocks
- Tinker Toy
- Others
By Distribution Channel
- Hypermarkets & Supermarkets
- Specialty Stores
- Online
- Others
By Geography
- North America
- US
- Canada
- Mexico
- Rest of North America
- Europe
- Germany
- UK
- France
- Russia
- Spain
- Italy
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- South Korea
- Singapore
- Malaysia
- Rest of Asia Pacific
- LAMEA
- Brazil
- Argentina
- UAE
- Saudi Arabia
- South Africa
- Nigeria
- Rest of LAMEA
Key Market Players
List of Companies Profiled in the Report:
- Hasbro, Inc.
- Mattel, Inc.
- Spin Master Corp.
- LEGO Group (KIRKBI A/S)
- Ravensburger AG
- Magformers LLC
- PlayMonster LLC
- Bandai Namco Holdings, Inc.
- Rockaway Records Ltd.
- Basic Fun, Inc.
Unique Offerings from the Publisher
- Exhaustive coverage
- The highest number of market tables and figures
- Subscription-based model available
- Guaranteed best price
- Assured post sales research support with 10% customization free
Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market Overview
Chapter 3. Competition Analysis - Global
Chapter 4. Global Construction Toys Market by Material
Chapter 5. Global Construction Toys Market by Product
Chapter 6. Global Construction Toys Market by Distribution Channel
Chapter 7. Global Construction Toys Market by Region
Chapter 8. Company Profiles
Companies Mentioned
- Hasbro, Inc.
- Mattel, Inc.
- Spin Master Corp.
- LEGO Group (KIRKBI A/S)
- Ravensburger AG
- Magformers LLC
- PlayMonster LLC
- Bandai Namco Holdings, Inc.
- Rockaway Records Ltd.
- Basic Fun, Inc.
Methodology
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