The global smart toys market Size was worth around USD 11.97 billion in 2021 and is estimated to grow to about USD 42.9 billion by 2030, with a CAGR of approximately 17.9% over the forecast period.
Smart Toys Market: Overview
Smart toys are electronic toys that are connected to the internet and can interact with the users in some way. Examples of smart toys include those that can talk back, recognize voices, and interact with other devices like tablets or smartphones. Some smart toys are even able to learn and adapt to the user's preferences. Smart toys can provide an interactive experience for kids, helping them learn and play in an engaging way. They can also offer parents peace of mind, as some toys provide parental control features that limit the time and types of content kids can access. Smart toys have the potential to revolutionize the way kids play and learn, and are becoming increasingly popular with both parents and kids alike.
Smart toys are interactive, high-tech toys that use sensors, artificial intelligence (AI), and other technologies to respond to a child's voice, touch, and movements. They are designed to engage children in educational, entertaining, and interactive activities. Examples of smart toys include talking dolls and robots, interactive gaming systems, and toys that teach coding and programming.
Growing technological propagation and increasing disposable income of the universal population are also projected to favor the smart toys market potential through 2030.
Smart toys Market: Growth Drivers
Increasing Working Population: The increasing working population is driving the growth of the smart toys market. With more people entering the workforce, there is an increased demand for toys that can help children learn skills and develop their creativity. Smart toys are becoming increasingly popular due to their ability to provide interactive, engaging and stimulating experiences for children.
Rise in Disposable Income: The rising disposable income of consumers is also driving the growth of the smart toys market. As disposable incomes increase, parents are willing to invest more in their children's education, which is driving the demand for smart toys.
Smart Toys Market Restraints
The major restraints in the smart toys market include the high cost of the toys, privacy and security concerns, and the lack of parental control. The high cost of the toys is a major hindrance for the growth of the market as the products are expensive. Smart toys are typically more expensive than traditional toys due to the technology and features they possess. This makes them unaffordable for many families, resulting in a smaller customer base for the market. Moreover, the lack of parental control in the toys is also a major restraint for the market. The use of the toys may lead to privacy and security concerns as the data collected by the toys can be misused.
Smart Toys Market: Opportunities
Smart toys are used for educational purposes and are also being suggested by teaching professionals, particularly for the kids that are in their developmental years. Growing acceptance of smart toys in the education sector with the increasing popularity of remote learning is projected to be a key trend that will favor smart toys market growth. Smart toys companies are likely to focus on this trend to increase their sale generation potential.
Report Scope of the Smart Toys Market
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Attribute
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Details
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Market Size in 2021
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USD 11.97 Billion
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Estimated Market Size in 2030
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USD 42.9 Billion
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CAGR Growth Rate
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17.9% CAGR
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Base Year
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2021
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Forecast Years
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2022-2030
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Segmentation
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By Product, By Distribution channel, By Technology
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Major Regions Covered
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North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa
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Key Market Players
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Mattel, Hasbro, Spin Master, LEGO Group, Konami, Sphero, K’NEX Brands, MGA Entertainment, Uncle Milton, VTech, Pillar Learning, and Sony Corporation
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Report coverage
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Revenue Forecast, Company Share, Competitive Landscape, Growth Factors, Restraints, Opportunities, Value Chain Analysis, Porter’s Five Forces Analysis, Patent Analysis, Market Attractiveness Analysis by Segments
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Global Smart toys Market: Segmentation
The global smart toys market is segmented based on product type into robots, interactive games, educational robots, and others. Interactive games are the highest product type in the smart toys market because they offer an engaging and immersive experience for kids. Interactive games allow kids to interact with and control their own virtual world. Interactive games are also great for teaching problem-solving skills, and they can help foster a sense of creativity and exploration. Additionally, it provides an opportunity for kids to bond with their parents and siblings, as everyone can join in on the fun.
Educational robots are another leading segment due to the increasing demand for robotic toys that help children learn and develop cognitive and motor skills, such as programming, problem-solving, mathematics, science, and language. Furthermore, the increasing adoption of robotics in the education sector and the increasing awareness among parents about the benefits of educational robots are driving the growth of the educational robots’ segment.
By distribution channel, the smart toys market is segmented into Online/E-commerce Websites, Offline Store, Specialty Stores, Toy Shops, 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 2030. The offline store segment accounted for the largest revenue share in the global smart toys market in 2021, with a share of more than 62%. The rising trend of organized retail outlets such as hypermarkets and specialty stores across the globe is driving the segment's growth.
By Technology, The Wi-Fi enabled smart toy market is leading because of the increasing demand for connected toys that can provide interactive and immersive experiences to children. Wi-Fi enabled toys provide an avenue for children to play with friends and family remotely, as well as access educational content and games.
Regional insights
North America is expected to dominate the global smart toy market and is anticipated to maintain this dominant position over the forecast period. This is mainly due to the presence of leading market players and the presence of highly sophisticated infrastructure. Moreover, the increasing popularity of educational toys in the region is likely to drive the market growth. Additionally, the presence of various tech giants in the region is expected to create lucrative opportunities for the market growth. The US is the leading country in the region in terms of smart toy market share, followed by Canada.
Asia Pacific is expected to be the fastest growing regional market for smart toys. This can be attributed to the increasing demand for technologically advanced toys in the region. Moreover, the increasing disposable incomes and the presence of a large population of children are expected to boost the market growth.
Competitive Landscape
The leading players in the global Smart Toy market are Mattel, Hasbro, Spin Master, LEGO Group, Konami, Sphero, K’NEX Brands, MGA Entertainment, Uncle Milton, VTech, Pillar Learning, and Sony Corporation
Recent Developments
In January 2020 – PlayShifu a leading name in AR based STEM toys announced the launch of its new product portfolio. These include the existing Shifu Tacto, Shifu Plugo, and a completely new Shifu Orboot.
Global smart toys market is segmented as follows:
By Product
Robots
Interactive Games
Educational Robots
By Technology
Wi-Fi
Bluetooth
Others (RFID, NFC, etc.)
By Distribution Channel
Online
Offline Stores
Specialty Stores
Toy Shops
Other Retail Based Stores
By Region
North America
Europe
Asia Pacific
Latin America
The Middle East & Africa
Frequently Asked Questions (FAQs):
What is the size of Smart Toys market?
The global smart toys market Size was worth around USD 11.97 billion in 2021 and is estimated to grow to about USD 42.9 billion by 2030
What will be the CAGR of global Smart Toys market?
The Smart Toys market is expected to drive growth at a CAGR of 17.9% from 2022 to 2030.
Who are the major players operating in the Smart Toys market?
The leading players in the global Smart Toy market are Mattel, Hasbro, Spin Master, LEGO Group, Konami, Sphero, K’NEX Brands, MGA Entertainment, Uncle Milton, VTech, Pillar Learning, and Sony Corporation
What is the key factor boosting the Smart Toys market growth?
Key factors that are driving the smart toys market growth include the increasing awareness towards smart toys by tablets & smartphones and social media platforms. The rising disposable income of consumers is also driving the growth of the smart toys market.
Which region will lead the global Smart Toys market?
North America dominated the global Smart Toys market in 2021, accounting for more than 40% of the global market.