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Brand Toys Firstly Show Their Domination
Author: MA ZHENLIN  Post Date: 2007-08-30

Heating June has brought in brisk sales for domestic toy market, where brand toys have become oriflamme for various department stores. The rising wind forebodes the coming storm. Implementation of 3C raises brand toys to the biggest winner in this battle.

Advancing triumphantly

It is known that, a great deal of department stores have gain a growth over 14 percent in June, while brand toys get greater increase in sales. Mattel, Disney, Hasbro, Bandai, Lego, Auldey, Muma and many other famous names are favorite choice for kids and parents.

Beijing Xin Zhong Guo Kid's Store reaps a 26-percent growth on sales during the Children’s Day holiday, with highlight in Mattel, Silverlit, Lego and MegaBrand. According to its suppliers and administrative staff, this year brand toy sales will be enhanced further.

Toy sales in the Beijing-based Fu Hua Tang Shopping Plaza has also risen for a great margin, especially Super Blade from Auldey and Keybots from Lindo.

As a significant city in northern China, Shenyang is embraced in strong atmosphere of sales, while Carrefour and RT-Mart holding a series of campaign. On the other hand, Shandong is a province with comparatively strong consumption power, which sees keen competition for toy business. Zhou, purchasing manager of Jinan-based Inzone Shopping Center, says, “There’re great changes for toy industry this year. Makers have more recognition on brand development, and have brought in great improvement on both quality and image. Before the June 1st, we had set up a sales scheme for the holiday, getting good preparation for introducing brand toys and promoting key items. Actually our sales during the holiday have increased by nearly 23 percent. I think, this summer will be even better.”

Brand toys ascend as the sharp flag for department stores in Children’s Day. Stores and makers that have reaped great profit from it are highly impressed by the brand influence among consumers.

Facing up to 3C

What is in our concern, additionally, is the concussion among dealers and stores, resulting from general investigation about 3C. Products without certificates had to be withdrawn before the holiday.

On the contrary, having good preparation for certification, famous brands produced at home and abroad face up to the 3C at leisure. Stable sales structure and healthy and right content related to brand have brought the realm “sales at ease and triumph from stabilization”. In this war of certification, the biggest winners are brand toys. What they have won is not only larger market shares, but also a kind of influence.

Toy industry starting a campaign of brand

For the moment, domestic shows good momentum for toy business, but its direction for development deserves attention. China is the biggest toy producer in the world, which distributing its products to over 100 countries and regions. Chinese toys to US make up 76 percent of the total import to the latter, composing over 70 percent of US’s market.  However, its sales value does not exceed 40 percent of the nation. Lack of independent design forces China’s toy makers to be merely a processor. Little creation, low added-value and few brands are the mechanical injury for them. It cannot be more obvious that, to make great profit in global toy market in the future, China’s toy business have to foster its own brands.

In fact, lots of fresh activists who give birth to new ideas and designs on brain-training toys and electrical toys. Many makers are developing their own brands, moving towards a designing business from processing factories. It's a fundamental direction for health growth of toy industry in China.

A good number of makers have thorough marketing projects. I have heard from many toy companies many times for the famous brand names, such as Auldey, Muma and Lindo. Since they in advance have consciousness on trademark and brand, as well as recognition on sales network, it is of certainty to see their success. Brand toys are new bellwether in the future.

Believe in the power of brand

Let’s see some figure about brand equity. Coming with brand equity of 67.39 billion USD, Coca Cola ranks as the first, followed by Microsoft, which registers 61.47 billion USD. The third one is IBM, with 57 billion USD.

“Believe in the power of brand”, a slogan of CCTV. Brand construction has shaped up the contention of various schools of products, in the area of apparel, household appliance, daily-sued chemical products, furniture, foods and drinks. The direct cause is that these realms meet earlier challenge from multinational brands with strong competitive edge. If they had not find solution to it, they would not have seen any opportunity to create their own brands.

Development of society urges upgrading of people’s notion, as well as consumption pattern, which consequently propels companies to upgrade their production. Fairly, we see increasingly more Chinese companies thirst for lead domestic market and tap into global one\, with a tag of “designed in China”, instead of “made in China”. At the same time, more international names are trying to extend sales in China. Brand consumption culture and brand value are exerting more influence. If China’s toy industry does not construct its own brand system and virtuous environment respecting IPR, local brands would suffer the greatest destroy eventually.

From product marketer to brand marketer, China’s toy makers shoulder heavy responsibilities in the journey.

 
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