Baby Toys Market Size, Share & Trends Analysis Report By Product Type (Board Games, Soft Toys and Dolls, Action Toys, Arts and Crafts Toys, Construction Toys, Vehicles, Musical Toys and Rattles., Others), By End-User (Infants, Toddlers), By Distribution Channel (Store-Based, Non-Store-Based) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Baby Toys Market Size and Trends

The global baby toys market size was valued at USD 14.13 billion in 2023. It is projected to reach from USD 14.71 billion in 2024 to USD 20.29 billion by 2032, growing at a CAGR of 4.10% during the forecast period (2024–2032).

A baby toy is a piece of entertainment sold primarily to children but may also be used to entertain adults in specific situations. Playing with toys can be a fun method to prepare young children for real-world problems. Depending on their developmental level, infants and toddlers like various toys. Baby toys help stimulate their senses of shape, color, texture, taste, and sound as part of their overall development.

Baby Toys Market Growth Factors

Rising Disposable Income

The shift in consumer buying habits results from the rise in per capita disposable income. Disposable income is the personal income that households have left over after taxes for spending and saving. The market for baby toys is growing as disposable income per person rises, especially in emerging economies. The increase in dual-income households and the proportion of working women are two more factors that support the rising per capita disposable income. As a result of altering lifestyles and rising per capita disposable income, spending on baby toys has surged.

The baby toys industry's rise is driven by an increase in the annual disposable incomes of households in densely populated nations like China and India and an increase in baby goods expenditure among the burgeoning middle class. Consumer spending patterns have changed due to economic expansion and a rising middle class, particularly from traditional baby toys to technologically advanced baby toys.

Baby Toys Market Restraining Factors

Growing Presence of Unorganized Sector

Numerous competitors compete on a highly fragmented global scale in the infant toys market. When it comes to designs, raw materials, costs, technology, and supply chains, there is fierce competition among the companies. However, the prevalence of the unorganized sector is the main issue impeding their development. Due to their widespread availability, reduced prices, and simplicity of customization, local sellers have been found to significantly hinder the key players' sales. Price-conscious consumers make up a sizeable section of the population, making it difficult for organized enterprises to dominate the unorganized market.

Baby Toys Market Opportunities

Strategic Acquisitions and Mergers

Intense competition exists amongst toy manufacturers for a more significant customer base. As a result, more mergers and acquisitions are taking place in the baby toy market. Giants in the toy industry like Lego, Hasbro, and Mattel began as family-owned businesses before growing into global conglomerates that carried out significant mergers and acquisitions and supported the market expansion.

The toy sector has had significant strategic mergers and acquisitions in recent years.

• For instance, WPH Global purchased a controlling stake in Tru Kids in March 2021 and will use its global network & digital platform to support the international expansion of Toys 'R' Us and Babies' R' Us. In addition, PlayMonster, a company bought by Audax Partners in 2018, recently acquired the assets of Kahootz Toys, a kid-friendly arts and crafts maker.

Baby Toys Market Regional Analysis

North America: Dominant Region with 4.10% Growth Rate (CAGR)

North America is the most significant shareholder in the global baby toys market and is expected to grow at a CAGR of 4.10% during the forecast period. The need for baby toys in North America is expanding due to the young population's and children's growing demand for toys. Several regional manufacturers are concentrating on releasing novel toys, which is anticipated to support further the growth of the North American baby toys market during the forecast period. Additionally, significant manufacturers strongly emphasize social media marketing initiatives to increase baby toy sales among kids and the younger population. Toy companies in the region work with the entertainment sector to create toys with various characters, including Star Wars, Batman, Spider-Man, and Harry Potter.

Europe: Rapid Growth in Germany

Europe is expected to grow at a CAGR of 3.95% during the forecast period. In terms of market share, Europe held the second-largest position in the global market for baby toys in 2021. The rising preference for higher-quality games and toys is projected to raise demand for baby toys in Europe. High per capita disposable income and rising consumer preference for baby toys in Europe over the predicted period would further aid the market's expansion. In addition, Germany is expected to experience the highest growth rate during the forecast period, at 4.08%, according to Economic Analysis.

Asia-Pacific held the third-highest market share (23.24%), and it is anticipated that it will be the most lucrative regional market for baby toys over the forecast period. The Asia-Pacific baby toys market is expected to increase due to the region's children's growing demand for baby toys that promote skill development. The rise in demand for baby toys in developing nations like China and India further supports the expansion of the Asia-Pacific baby toys market during the forecast period. Additionally, the market for baby toys in the Asia-Pacific region offers vast prospects for important toy producers. Manufacturers of infant toys can take advantage of attractive opportunities due to the expansion of the organized retail market in Asia-Pacific.

The Middle East and Africa infant toys market is expected to increase during the projection period due to rising disposable income in the region. The popularity of educational baby toys among kids is one of the key elements influencing the growth of baby toys. The expansion of the baby toys market in the rest of the world is further fueled by rising consumer disposable income throughout the forecast period. A substantial impact on the expansion of the industry in the region is anticipated from Africa's population's lower per capita spending capability.

Baby Toys Market Segmental Analysis

By Product Type

The global market is bifurcated into board games, soft toys and dolls, action toys, arts and crafts toys, construction toys, vehicles, musical toys and rattle, and others. The construction toys segment is the highest contributor to the market and is estimated to grow at a CAGR of 4.20% during the forecast period. Assembling is the main idea behind construction toys, which is why generations of children have enjoyed playing with them. Construction toys come with a set of fundamental parts and are made to let kids construct their breakable objects that can be put back together to become something else. Children assemble their toys according to instructions, promoting physical, social, and cognitive growth. In addition, children may mold, stack, rearrange, connect, assemble, and disassemble objects with the aid of construction toys as they learn the significance of spatial awareness.

Soft toys are stuffed animals explicitly produced for kids out of textile fabrics and filled with plush stuffing. Soft toys come in a variety of shapes, including dolls, inanimate items, animals, monsters, and cartoon characters. Soft toys are frequently used as decorative objects, comfort, and gifts at celebrations and birthdays. One of the most traditional and popular types of toys is the doll. A doll is a cone-shaped figurine of various materials, including fabric, clay, stone, plastic, porcelain, wood, or other materials. Furthermore, the industry for dolls has made enormous strides, with computerized dolls that can walk and speak becoming commonplace. The markets for dolls have seen several developments. For instance, Barbie Loves the Ocean was released by Mattel, Inc. It is the first range of fashion dolls manufactured from recycled plastic intended for the ocean.

By End User

The global is bifurcated into infants and toddlers. The toddler segment owns the highest market share and is estimated to grow at a CAGR of 4.05% during the forecast period. Children in the toddler age range are between 13 and 48 months old. Toys that are popular with toddlers include stuffed animals, dolls, play cars, play kitchen equipment and gadgets, playhouse items, art and craft toys, building blocks, cuddly animals, and musical toys. Other popular toys for toddlers are cuddly animals and cuddly animals. Dolls are another standard selection among customers.

Newborns are considered children from birth until one year old, even though their legal age is not yet one. Toys that are fun for newborns to play with include things like rattles, nesting and stacking toys, push-pull toys, musical and chime toys, crib toys, bath toys, teething toys, interlocking rings or keys, cloth toys, soft toys, dolls, stacking and nesting toys, musical and chime toys, and push-pull toys.

By Distribution Type

The global is bifurcated into store-based and non-store-based. The store-based segment is the highest contributor to the market and is estimated to grow at a CAGR of 3.90% during the forecast period. Supermarkets and hypermarkets, specialty shops, and others comprise the store-based section. As these outlets sell the most baby toys, the supermarkets and hypermarkets sub-segment is anticipated to be the largest. The distribution of baby toys is heavily reliant on specialty shops. It is expected that it will expand the fastest during the review period.

The non-store-based section includes e-commerce, where the makers sell baby toys on their websites and through different online retailers. Companies need help with using brick-and-mortar stores to reach customers in various locations. Thus, e-commerce channels allow businesses to meet customer wants and boost brand recognition. This kind of distribution also aids in supplier brand recognition development.

Recent Developments

• January 2023- The beloved baby boutique, which shut its doors in 2018, is reopening under new management. A new brick-and-mortar location will soon be opening in the American Dream mall in New Jersey.