The global smart toys market was worth around USD 12,525.1 million in 2021 and is estimated to grow to about USD 33640.6 million by 2028, with a compound annual growth rate (CAGR) of approximately 17.9 percent over the forecast period.
The global smart toys market was worth around USD 12,525.1 million in 2021 and is estimated to grow to about USD 33640.6 million by 2028, with a compound annual growth rate (CAGR) of approximately 17.9 percent over the forecast period. The report analyzes the smart toys market’s drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the smart toys market.[D1]
Smart Toys Market: Overview
Smart toys are toys that are connected to smart devices or the internet and provider better functional features. These smart toys are also equipped with technologies like artificial intelligence and the internet of things (IoT). They also use speech synthesizers and other speech related software to make the experience more interactive with kids.
Smart toys have also been highly popular in advanced schools as they have been used as learning aids for children in their developmental ages. Increasing adoption of Science, Technology, Engineering, and Mathematics in the educational curricula is also expected to favor smart toys market potential.
Increasing technological proliferation and rising disposable income of the general population are also expected to favor the smart toys market potential through 2028.
The COVID-19 pandemic had a significantly adverse impact on the smart toys market. As coronavirus infections across the world increased rapidly, drastic measures were taken to control the pandemic and this is why multiple nations have implemented lockdown. This led to a negative impact on the smart toys market potential.
Closure of manufacturing and production facilities and shuttered sales and distribution channels majorly dragged down the smart toys market growth potential in 2020. inadequate availability of skilled labor also had a constraining effect on the smart toys market potential.
The smart toys market is expected to make a stellar comeback in the post-pandemic era as the world returns to normal and lockdown restrictions are lifted. The increasing proliferation of technology is also expected to further advance the smart toys market potential
Smart toys Market: Growth Drivers
Increasing Working Population
The working women population has substantially increased over the past few years and this trend is expected to prominently drive the smart toys market potential over the forecast period. This working class population will further bolster the demand for smart toys as parents seek advanced toys that they can administer to their kids in their absence. The rising popularity of smart technology is also expected to boost the smart toys market growth over the forecast period. Increasing disposable income is also projected to positively influence the smart toys market potential through 2028.
Smart toys Market: Opportunities
Increasing Demand for Remote Learning
Smart toys are used for educational purposes and are also being recommended by teaching professionals, especially for the kids that are in their developmental years. Increasing adoption of smart toys in the education sector with the rising popularity of remote learning is expected to be a major trend that will favor smart toys market growth. Smart toys companies are expected to focus on this trend to boost their sale generation potential.
Global Smart toys Market: Segmentation
The global smart toys market is segregated based on interfacing device, product type, price, age group, technology, distribution channel, and region.
By Product Type, the market is divided into App-enabled Toys, Voice/Image Recognition Toys, Screen Less Toys, Toys-to-Life, Health Tracking Toys, and Others (Wearable, Puzzle Toys, etc.). The app enabled toys and voice/image recognition segments are expected to see a bright outlook over the forecast period as these segments promote remote learning and have an interactive nature which is preferred for kids of all ages.
By distribution channel, the smart toys market is segmented into Online, E-commerce Websites, Company Owned Websites, Offline, Hypermarket and Supermarkets, Specialty Stores, Other Retail Based Stores. The sales from offline stores hold a dominant market share but the demand from online channels is predicted to rise at the fastest CAGR through 2028.
|Historic Years||2016 - 2020|
|Forecast Years||2021 - 2028|
|Segments Covered||By Product Type, By Application, and By End Use|
|Forecast Units||Value (USD Billion), and Volume (Units)|
|Quantitative Units||Revenue in USD million/billion and CAGR from 2021 to 2028|
|Regions Covered||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World|
|Countries Covered||U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others|
|Number of Companies Covered||10 companies with scope for including additional 15 companies upon request|
|Report Coverage||Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.|
|Customization Scope||Avail customized purchase options to meet your exact research needs.|
North America region leads the global smart toys market in terms of revenue and volume share and is anticipated to maintain this dominant position over the forecast period. The presence of key smart toys companies, increasing disposable income, and the presence of a busy lifestyle are expected to be the major trends influencing growth in this region over the forecast period. The United States and Canada are projected to be the most lucrative markets for smart toys through 2028 in this region. These nations have high spending potential and a high working population which makes them a lucrative market for smart toys.
Some of the main competitors dominating the global smart toys market include – Mattel (US), Hasbro (US), LEGO Group (Denmark), Sphero (US), Sony (Japan), PLAYMOBIL (Germany), BANDAI NAMCO (Japan), K'NEX (US), Konami (Japan), Wonder Workshop (US), PlayFusion (UK), Anki (US), WowWee (Hong Kong), DXTR Labs (Denmark), and Leka (France)
Global smart toys market is segmented as follows:
By Interfacing device
By Product Type
By age group
By Distribution Channel
Smart toys are also known as connected toys which are used for playing purpose; these toys are connected to the internet or cloud. Technology is growing very fast; smart toys are also a part of advanced technology which is gaining more popularity among children. Smart toys consist of many smart features which require an internet connection for software updates, constant connection to automate, or gives the command to operate machines. Smart toys also consist of a microprocessor, microcontroller, storage devices, input or output devices which may network together in order to enhance its value. The market growth is mainly due to technological advancement in consumer goods and service industry across the world which aids in gaining more value share for smart toys market in coming years.
Based on the product type, the smart toys market is classified as voice or image recognition toys, app-enabled mechanical toys, screenless toys, puzzles and building games, toys-to-life, health-tracking toys or wearable, and others. Voice or image recognition toys segment accounted for the largest market share in terms of revenue in 2017. The growth of the segment is mainly due to continuous developments and increasing applications in the consumer goods industry. The demand for voice or image recognition toys has been projected to experience the highest CAGR during the forecast period. The app-enabled mechanical toys segment anticipates growing at a moderate CAGR owing to cost-effectiveness, rising popularity, and easy handling during the manufacturing process. Based on technology, the smart toys market is divided into Wi-Fi, Bluetooth, RFID or NFC. By distribution channel, the market is segmented into toy shops, e-commerce or online stores, offline stores, specialty stores, and others. App-integrated toys that can be controlled by smartphones and tablets are projected to boost the demand for smart toys in consumer goods industry in Smart/AI market. New innovations and R&D activities are anticipated to offer potential opportunities for global smart toys market.
By geography, North America exhibits the largest market share in term of revenue in 2017. The smart toys market growth in North America is attributed to the high adoption rate of new technology in countries like the U.S. and Canada. The smart toys market in the Asia Pacific is predicted to grow at a significant CAGR over the forecast period owing to the growing population which includes a high percentage of children. India and China are the major countries contributing to the growth of the smart toys market in the Asia Pacific. The market for smart toys in Europe is projected to show moderate growth over the forecast period. Stringent regulation of the government regarding high-cost smart toys which sustain the attention of children may restrain the growth of the Europe smart toys market. Rising urban population is anticipated to fuel the smart toys market growth in Latin America over the forecast period.
The report includes detailed profiles of key players operating in the global smart toys market such as Dream International Ltd., Integrity Toys, Inc., JAKKS Pacific Inc, Fisher Playmates Toys, Mattel, Inc., Leap-Frog Enterprises Inc., TOMY Company Ltd., Kids II Sanrio Company Ltd., Konami Corporation, and others. The description of the company includes parameters such as company key developments, overview, business strategy, and financial overview of the company.
The increasing working women population and rising technological proliferation are major trends that guide smart toys market growth.
According to the Market Research report, the global smart toys market was worth about US$ 12,525.1 million in 2021 and is predicted to grow to around US$ 33640.6 million by 2028, with a compound annual growth rate (CAGR) of around 17.9 percent.
North America region leads the global smart toys market in terms of revenue and volume share and is anticipated to maintain this dominant position over the forecast period.