Toy sales appear poised to rebound in the UK and Europe this year as film releases resume a more regular cadence and a broader range of licensing emerges.

The return to a more predictable film schedule comes, however, as licensors and licensees lessen their reliance on tentpoles to drive sales. That partly stems from lessons learned during the pandemic when cinemas were closed and film releases delayed, in many cases, to this year and franchise brands were the go-to platform for licensing.

A widening of licensing opportunities was on clear display at the London Toy Fair last week and follow a year in which toys sales in the UK declined. Overall, UK toy sales fell 3% in 2021 from a year earlier to $3.2 billion pounds, but were up 2% from 2019. As evidence of licensing’s influence on the toy business, licensed toys accounted for 28% of the UK revenue in 2021, up from 25% a year earlier.

Licensed products tied to franchise films were still evident at the show. But, in many cases, it was of the evergreen variety. For example, puzzle maker Kidcraft fielded Marvel, Star Wars and Spiderman 500-piece puzzles that were based on the franchise rather than a new release. And MV Sports & Leisure had a Batman pop-up tent again tied to the franchise rather WarnerMedia’s new The Batman film that’s being released on March 4.

“Batman will have a shot in the arm in March but it’s about sustaining that fan engagement throughout the year,” Julian Moon SVP for consumer products at WarnerMedia, said. “It’s not as much about that one global event, but building a community of which a movie is part of that plan. Theatrical releases are still very important. The level of [fan] engagement is still one of the big moments and it is still important for retailers in terms of the scale of the marketing. But it’s also important we maintain engagement throughout the year.”

That engagement is being maintained through streaming services. For example, WarnerMedia, whose HBO Max had 73.8 million subscribers globally as of Dec. 31, this year is releasing 10 films exclusively on the streaming service. Consumers also have also showed renewed interest with tried and true franchises during the pandemic, a trend that is showing few signs of easing. At the London Toy Fair that could be found across puzzles and games (Winning Moves’ Risk/Peaky Blinders board game) as well as collectibles (Posh Paws International’s Jurassic World dinosaur eggs) and plush (Basic Fun’s Care Bears 40th anniversary collection).

That’s not to say newer properties aren’t in play as well. Bandai and Just Play introduced “Cocomelon” products while MV Sports had a “Bluey” tri-scooter.  And Wow Stuff showed play and track sets, construction toys and other products based on studio Sixteen South’s new “Odo” preschool series.

Yet the emphasis this year appears to be on licensees and retailers using franchise properties as a hedge against on-going supply chain and inflationary pressures.

Yet the emphasis at the show and this year appears to be on licensees and retailers using franchise properties as a hedge against on-going supply chain and inflationary pressures. The retail interest was evident at Toy Fair, which attracted buyers from the UK and Europe’s Top 15 retailers for scheduled in-person meetings, according to attendees.

“The late cancellation of Nuremberg led to a very welcome influx of European buyers who were keen to replenish their shelves which all led to a very positive feeling,” said Licensing International’s Graham Saltmarsh, who attended the show. “The main feeling was relief that the show went ahead and people could meet face to face again.”