U.S. toy sales rose 7% to $7.9 billion in the first half of 2018, besting last year’s 4% increase and partly driven by strong sales of film-related licensed products, NPD said. Licensed products accounted for 27% of first-half U.S. toy revenue, down from 28% a year earlier.
The increase in toy sales came despite Toys R Us’ liquidation in the first half, an event that nevertheless raised the category’s profile with consumers, who took advantage of closeout sales.

Dinosaur-themed toys increased 77% through June, led by Jurassic World: Fallen Kingdom-related products as well WowWee Entertainment’s Fingerlings. Meanwhile, sales of action figures and accessories jumped 16%, reversing a year-earlier 9% decline on the strength of toys tied to Black Panther, Avengers: Infinity Wars and Jurassic World.

In youth electronics, sales were up 43% led by Fingerlings, Star Wars and Tamagotchi as manufacturers “heightened emphasis” on interactive products to compete with tech items sold outside the toy channel, NPD said. The gain contrasted with the 5% decline youth electronics posted last year.

Sales of dolls also grew 17% in the first half, driven by MGA Entertainment’s L.O.L. Surprise, Spin Master’s Hatchimals and Mattel’s Barbie. Doll sales rose 6% last year. The category is expected to post continued sales increases in the second half as it benefits from Disney’s release of the Frozen 2 film in November, according to NPD.

The collectibles category recorded a 19% rise in first-half sales, bettering the 15% gain of a year earlier and accounted for 13% of total first-half toy revenue.

The sales gains were offset by a 3% decline in games and puzzles, a category that had reported a 19% increase a year earlier. Plush sales were down 4% from a year earlier.

Contact:

NPD, Juli Lennett, SVP, 516-625-2294, juli.lennett@npd.com