Mattel, one of the largest and best known toy brands in the world, has announced that it may need to raise prices in the run up to Christmas.
Undoubtedly, parents are the ones who will feel the pinch at this time of year, so it might be worth doing Christmas toy shopping early this year to help save money – and ensure availability!
Mattel Announces Toy Prices to Rise Before Christmas
Mattel – owner of Barbie, Fisher-Price, American Girl, Imaginext, Hot Wheels, and dozens of other well-known toy brands – is facing a rise in costs of shipping and raw materials due to the pandemic, coupled with shops closing and disruptions to their supply chains.
Their Chief Executive, Ynon Kriez, says all brands in the toy industry are experiencing pressures, so it looks like they will pass on those higher costs to consumers, despite sales being up by a whopping 40% compared to the year before.
Barbie Sales Boosted
In recent years, Mattel has striven to make their top selling brand Barbie more diverse, with dolls based on different role models and professions. For example, they launched a doll based on tennis player Naomi Osaka, continuing to offer more diverse Barbies for sale.
Netflix showing the 2nd season of “Barbie Dreamhouse Adventures” and the movie “Barbie Princess Adventures” boosted Barbie sales last year, and there is a new movie coming soon starring Margot Robbie, which will no doubt help keep sales up.
Toy Sales Are Up This Year
Mattel’s other top brand Hot Wheels has a new video game based on the well known brand out, also bound to boost sales.
In the meantime, rival toy maker Hasbro also announced better than expected sales this year, up by 54%. The company said it has been increasing its shipping capabilities in order to speed up sourcing products.
So with all these increased sales, maybe companies should look for ways to keep prices level this year?
Will Toy Prices Rising Mean a Change?
A recent survey that we did with parents showed that while the top brands such as Mattel and Hasbro are still popular, parents are also receptive to choosing more wooden toy options and eco-friendly options.
This impending price rise could mean a shift away from popular brands, towards more unique, locally made and locally sold options.
With all this in mind, it may be a good idea for parents (and Santa’s Little Helpers…) to suggest a more low-key approach this Christmas. After all, the pandemic meant we spent more time doing quality things with our kids (in between homeschooling!) like playing board games and baking together, so experiences together are also a good gift option and a way to make cool memories for the family as well.