Philippines Toys Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2025-2034)

The Philippines toys market was valued at USD 539.39 Million in 2024. The market is expected to grow at a CAGR of 4.80% during the forecast period of 2025-2034. The demand for subscription boxes and educational play kits among urban parents is compelling local e-commerce retailers to form white-label partnerships and optimise fulfilment for recurring monthly orders. As a result, the market is expected to reach a value of USD 862.02 Million by 2034.

Philippines toy manufacturers are tapping into edutainment to capture evolving consumer demand. Startups like Kalinaw Toys are innovating with AR-enabled story cards and puzzles based on Filipino folklore like Ibong Adarna and bathuk. These culturally rooted edutainment products target parents and schools, offering unique learning tools that differentiate from imported character toys, boosting engagement and institutional adoption.

Support from government agencies like DTI and DepEd has further fuelled the Philippines toys market growth. The Philippine government, through DTI and DepEd, supports the industry via initiatives like AI integration in education, subsidies, and the Philippine Creative Industries Development Act, boosting innovation, capacity-building, and competitiveness of local toy manufacturers with culturally relevant products. Incentives for educational toys, eco-toy production, and regional entrepreneur programmes have opened several opportunities for growth. Parents have increasingly sought toys that serve playtime with purpose. Eco-conscious designs using local materials such as bamboo and recycled plastics are also gaining popularity. Meanwhile, educational institutions are collaborating with toy makers to design classroom-ready learning tools that are both fun and functional.

Key Trends and Recent Developments

May 2025

Toys"R"Us Asia presented Live Toyful, signalling the exciting conclusion of a two-year transition. This campaign has broadened the brand's reach beyond families and children to include "kidults," emphasizing play as an important element of everyday life for all ages. This new development expands the toy consumer base in the Philippines, encouraging retailers to diversify product offerings beyond traditional age categories and capitalise on adult collectors.

April 2025

Funko, Inc., a global pop culture lifestyle brand, announced that Funtastik Enterprises Corp, a local retailer, is set to establish the first Southeast Asian Funko-licensed store in the Philippines in June 2025. This underscores strong local demand for pop culture collectibles, signalling robust growth potential for IP-driven toys and specialty retail in urban markets.

April 2025

Op Mart International Group announced plans to open more retail sites and form local creative partnerships as part of its 2025 expansion goal. These ambitions include forming ties with local businesses and increasing their physical presence through new store openings. This development highlights increasing interest in localisation, paving the way for diversified toy merchandising and co-branded campaigns with Filipino creatives and retailers.

May 2024

BBC Studios announced the debut of a toy line licensed by Moose Toys and distributed locally by Ban Kee Trading, Inc., based on the BAFTA and Emmy award-winning children's television series developed by Ludo Studio and co-commissioned by BBC Studios Kids & Family and ABC Children's. This strengthens licensed toy distribution in the Philippines, fuelling category growth through collaborations.

Localized Learning Toys Gain Traction

Filipino parents are seeking products that go beyond the generic ABC tools. In response, Philippines toys market players have come up with toys like Cubo Montessori Box, a modular puzzle that teaches geography through the country’s landmarks. Supported by DepEd’s “Bawat Bata Bumabasa” programme, these toys are being included in early learning kits. Even private schools have begun using them while teaching in Tagalog and Cebuano. Moreover, language familiarity boosts retention.

Rise of Eco-Innovative Toy Materials

Companies in the Philippines toys market are increasingly prioritizing eco-friendliness and sustainability as a key trend. The Barbie Loves the Ocean line was first carried by Toys 'R' Us in the Philippines. 90% of the product line is composed of recycled plastic components that end up in the ocean. Parents, more particularly, millennials are increasingly switching to these toys. This increasing awareness affects consumers’ buying decisions, compelling brands to redesign packaging, sourcing, and product development. Toy businesses going green not only attract eco-conscious buyers but also establish themselves as industry leaders in ethical innovation.

Demand for Hyper-Interactive Smart Toys

Companies are experimenting with various kinds of technology, accelerating further toy demand in the Philippines. For example, in order to incorporate generative AI into its most recognisable brands, such as Barbie, Hot Wheels, and Fisher-Price, Mattel partnered with OpenAI in June 2024. Created with help from DOST’s technology development grant, such toys target Gen Alpha. These toys blur the line between screen time and learning time. Such toys have gained rapid momentum as these are both immersive and educational.

Increased Adoption of Toys as Tools for Emotional Wellness

Emotional wellness with the use of toys is another significant trend in the Philippines toys market. In June 2025, Fuzozo, an AI-powered collectible, was introduced by Agora Inc. The purpose of the product is to support learning and emotional contact in real time. Companies can develop innovative toy collectibles that can provide children with emotion cards, local breathing exercises, and plush characters representing feelings. Mental health advocates and school counsellors have considerably supported this trend. These products are increasingly being incorporated into classroom life and therapy, enabling children to express feelings and develop resilience. The DOH also supported this initiative as part of its child wellness outreach.

Toy Personalization Becoming Mainstream

Filipino parents have increasingly sought custom creations in place of the cookie-cutter toys, reshaping the Philippines toy market trends and dynamics. ToyKubo, based in Iloilo, offers 3D-printed mini figures of children in traditional wear. These toys are hyper-personal, wildly popular, and affordable. From birthday giveaways to school rewards, custom toys have been continuously trending as an essential part of the identity-building process at a personal level.

Philippines Toys Industry Segmentation

The report titled “Philippines Toys Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

Market Breakup by Product Type

• Action Figures
• Building Sets
• Dolls
• Games and Puzzles
• Sports and Outdoor Toys
• Others

Key Insight: Action figures register the largest toys market shares in the Philippines. Popular series include Hero ng Barangay, a crowd-funded toy line. The product features local civil workers like firefighters, teachers, and health officers, exemplifying real-life impact. With the rise of educational influencers, these toys have become classroom staples. Their appeal evokes national pride, social responsibility, and role model aspirations among kids. Furthermore, partnerships with local schools and artists have served to enhance their cultural significance. Recent partnerships between Philippine toy makers, schools, and artists, like Adarna House with DepEd and NCCA’s Schools of Living Traditions, enhance cultural learning by integrating traditional stories and crafts into educational toys and programmes.

Market Breakup by Age Group

• Up To 5 Years
• Between 5 To 10 Years
• Above 10 Years

Key Insight: The 5 to 10 years age group accounted for the biggest share in the industry, accelerating the Philippines toy market development. Multi-dimensional products like Katuwa Blocks have become increasingly popular. These toy lines let kids build jeepneys, palengkes, and homes while their companion app narrates the cultural relevance. Such a combination of physical play and virtual narrative builds creativity, critical thinking, and cultural connection to the Filipino heritage. Parents and teachers value how these toys nurture both intellect and culture.

Market Breakup by Distribution Channel

• Supermarkets and Hypermarkets
• Specialty Stores
• Convenience Stores
• Online
• Others

Key Insight: Specialty stores have dominated the Philippines toys market revenue share, while enhancing toy experiences. For example, the Play Spot Therapy Center in Tarlac affiliated with FRIENDS Therapy Center in Quezon City, offers a comprehensive range of services, including Occupational Therapy, Speech Therapy, ABA therapy, Physical Therapy, and Special Education Tutorials. Their approach emphasizes individualized, evidence-based care tailored to each child's unique needs. Interactive demonstrations and professional consultations also enhance the consumer experience. Workshops and sensory play sessions are commonly conducted in specialty stores.

Philippines Toys Market Share

By Product Type, Action Figures Lead the Market by Redefining Playtime with Historic Local Hero Integration

Action figures considerably boost the Philippines toys demand forecast. Other than caped heroes, BayaniBots, local heroes with stories rooted in Philippine history have gained rapid momentum. Launched by an indie Manila studio, these action heroes have become classroom tools as well as collectibles. Each figure has QR codes that unlock real-life stories, with which kids can relate.

Puzzles are fast emerging as key driving factor boosting the demand in the Philippines toys market. These are expected to grow at a CAGR of 5.5% over the forecast period. 4D builds by Mayon Volcano or edible jigsaw snacks for preschoolers have gained wide popularity. Parents increasingly value toys that promote cognitive development and screen-free play, especially in urban centres like Manila and Cebu. Additionally, schools and daycare centres are incorporating interactive puzzles into early learning programs, boosting bulk purchases and institutional demand.

By Age Group, Children Aged Between 5-10 Years Lead Boost Demand Through Edutainment and STEM Learning

The toy demand growth in the Philippines have been majorly accelerated by the 5 to 10 years age group. Children demand toys that entertain and teach. SmartKubo Kits, developed locally, teach solar circuits and basic Filipino myths. Such toys are being distributed under the "Play to Learn" DepEd program. Furthermore, Pearls Project, in partnership with the Philippine Toy Library and Books for the Barrios offers Time-to-Learn program that provides fun learning activities and basic literacy tutorials for children aged 4 to 6 years old to prepare them for formal schooling. Such developments have opened doors for B2B players to partner in curriculum-aligned toy production, school distribution networks, and culturally relevant content creation. The integration of STEM and storytelling signals a scalable opportunity in the nation’s evolving edutainment space.

Kids above 10 years have increasingly sought DIY gadget kits, 3D modelling toys, and collaborative online-physical games, accelerating further growth in the Philippines toys market. For example, the toy series called TinkrLab offers microcontrollers and craft materials for this age group of children. Such toys largely help boost the creativity of children within this particular age group. Educational institutions and weekend learning hubs are also integrating these kits into STEM-focused programs.

By Distribution Channel, Specialty Stores Account for the Dominant Share by Promoting Personalized, Culturally Relevant Toys

Specialty stores have accelerated the toy consumption in the Philippines significantly, as parents, in increased numbers, look for curated, trusted selections. Specialty stores like Laruan Lokal now host playdates, toy testing events, and story circles. These shops offer personalization and recommendation while educating customers about various toy series and their impact on children. They also collaborate with local toy makers and educators to promote culturally resonant toys.

Online toy sales have surged, especially on Shopee and TikTok Shops, further adding to the Philippines toys market value. This category is projected to grow at 6.2% CAGR over the forecast period. Manufacturers stream live demonstrations for kids to join in, making their products highly appealing. This novel strategy drives customer interaction through real-time feedback and tailored recommendations, making shopping a fun and social experience. A notable example includes the success of Tiny Buds Baby, a local brand specializing in natural baby care products. In April 2023, Tiny Buds achieved a significant milestone by generating its highest revenue of approximately PHP 44.9 million (USD 803,000) on TikTok Shop. This success was attributed to their engaging content strategy, which included live demonstrations and interactive sessions that resonated with their target audience.

Competitive Landscape

The Philippines toys market players are partnering with local developers for cultural adaptations. Their focus is shifting to sustainability, localization, and smart integration. Most companies are exploring regional markets, developing dialect-specific toys and collaborating with schools, therapists, and NGOs to offer toys with purpose. From identity-building dolls to problem-solving kits, companies are developing products to attract young consumers.

A growing number of Philippines toy companies are developing toys in local dialects, incorporating regional folklore and traditions, and working alongside schools, child psychologists, and NGOs to ensure toys are educational, inclusive, and therapeutic. This collaborative approach is giving rise to identity-building dolls, STEM-focused problem-solving kits, and sensory toys designed for children with special needs. By addressing both cultural relevance and developmental value, companies are reshaping the toy experience to be more mindful and inclusive.

Mattel, Inc

Founded in 1945, based in California, United States, Mattel is known for introducing a Filipina Barbie line with Barong-clad Kens and Terno-dressed Barbies. They have partnered with Filipino designers to showcase regional diversity.

Hasbro, Inc

Established in 1923, headquartered in Rhode Island, United States, Hasbro launched the Monopoly: Philipinas Edition, where cities are replaced with provinces. These toys are clever, relatable, and a bestseller in specialty stores.

LEGO System A/S

Established in 1932, based in Billund, Denmark, LEGO co-created Build Your Barrio kits with Filipino architects. Sets include iconic sites like Vigan and Quiapo. The company has developed educational collectibles based on the country’s culture and history.

Goliath Games, LLC

Founded in 1980, located in the Netherlands, Goliath released Tambay Trivia, a board game about street slang, Pinoy quirks, and pop culture. Designed in collaboration with Filipino artists, it offers a hilarious and nostalgic experience for consumers of all ages. The game gained rapid popularity through local TikTok, sparking game nights, trivia battles, and even classroom activities.

Other key players in the market are LLC, BENJOY, Inc., and Tancorp Manufacturing, Inc., among others.

Key Highlights of the Philippines Toys Market Report:

• Detailed historical trend tracking and reliable projections through 2034, anchored by sales metrics and market-specific import volumes.
• In-depth analysis of product innovation such as AI-integrated STEM toys, sensory play kits for neurodivergent learners, and sustainable wooden toy lines.
• Competitive profiling of domestic players and leading importers alongside global brand penetration from LEGO, Hasbro, and Mattel in hybrid retail formats.
• Emerging trends in branded licensing, from K-pop IP toys to anime figurines, driving revenue in hobbyist-focused retail clusters.