The outdoor playground market - France

1.2 The global market

The outdoor playground equipment market is included in the toy market as a whole. The toy market is in good health, with steady revenue growth since **** after a period of decline in the early ****s. Fortune Business Insights estimates the size of the global toy market at $*** billion by ****.

Global toy market revenue trends World, ****-****, in billions of dollars Source: ****

Projections by Grand View Research predict that the toy market could generate revenues of around $*** billion in ****, and $*** billion in ****. Between **** and ****, this market is expected to grow by *.*%. As the outdoor play market is included in the toy market, it is obvious that it will benefit from this growth, especially as the trend is to encourage children to engage in more physical activity. Numerous reports from national health agencies and the WHO denounce the lack of physical activity among children worldwide.

As with many manufactured products, China is the world's leading toy exporter. In fact, according to most statistics, around **% of toys sold worldwide are produced in China. In ****, Chinese toy exports reached $**.* billion. In Europe, according to figures from the Fédération Française des industries du jouet et de la puériculture (***), in the *th quarter ...

1.3 The domestic market

The outdoor playground equipment market includes a wide variety of different references aimed at different target customers, both children and adults. In ****, the outdoor play market was worth *** million euros, and in the first quarter of ****, it grew by **%.

In ****, *** million toys were sold in France, down *% on the previous year. However, in terms of industry sales, there was no such decline.

In ****, the toy market experienced an unprecedented boom: it passed the *.* billion euro mark, representing growth of *.*%. Growth in sales volumes was also quite spectacular: +*.*% in **** compared with ****. This strong growth has enabled France to become Europe's second-largest toy-consuming country, just behind Spain in ****.

Trend in toy market sales France, ****-****, in billions of euros Source: ****

Spring is the second peak in toy sales after Christmas. Easter and the return of fine weather boost the appeal of outdoor toys.

The outdoor play market is part of the wider toy market, which is itself segmented around ** product groups according to the FJP, as shown in the chart below. It is interesting to note that outdoor play and sports toys occupy third place in the toy market. The share represented by this category is relatively constant between **** and ****, with little ...

1.4 Imports and exports of outdoor toys and games

A large proportion of games and toys purchased in France are imported. French imports of toys and games will total *.* billion euros in ****. China is predictably France's leading toy exporter, accounting for **.**% of French imports.

Main countries supplying toys and games France, ****, as % of total Source: ****

France also exports the toys and games it produces, the vast majority to European Union countries. French exports of toys and games will total *.*** billion euros in ****. Breakdown of main importers of games and toys made in France World, ****, % (***) Source : UN Comtrade Calculation of France's trade balance for the games and toys market in **** and **** : France's trade balance in the games and toys market France, ****-****, in billions of euros

1.5 The impact of the health crisis

The Covid **** health crisis affected first negatively and then positively the toy and outdoor play market more specifically.

Spring **** was a difficult time for the outdoor play market. The closure of toy stores, schools and parks severely penalized this market. However, the deconfinement in May enabled a spectacular recovery : by May, the market had already recouped **% of its sales losses caused by toy store closures. In the last week of May ****, the sector grew by **%.

In a Les Echos article, the NPD Group notes that the confinement of **** has benefited the outdoor play market, since the share it represents rose by *% between the last week of April **** and the last week of April ****, as shown by the comparison of the two diagrams below.

Share of outdoor games in games and toys sales France, last week of April ****, as % of sales Source: ****

Share of outdoor games in games and toys sales France, last week of April ****, in Source: ****

In April ****, outdoor toys sold exceptionally well, during the reconfiguration, where the increase in sales peaked at **% more than in **** in France. Consumers flocked to toy stores in the face of closure announcements. Purchases of slides, swings and trampolines saw exceptional growth, unlike sales ...

2.1 The French outdoor play market: not just for young children

The following diagram shows the age distribution of toy sales. Although children under ** account for over **% of toy and game sales, it's important not to overlook the over-**s market. The neologism"kidulte" has been coined to describe people over ** who buy toys for their own consumption. By ****, this clientele will account for **% of the French toy market, i.e. over one billion euros. The Lego brand is an emblematic example of this trend towards "kidultes": **% of the Danish company's sales value is generated by this age group.

Sales of toys and games by age group France, ****, in Source: ****

It can include ball games (***). As the graph below shows, **% of French people play pétanque in summer and **% play racket sports, so the outdoor games market is not just driven by a young children's clientele, but also by adults.

Preference for French summer vacation activities France, ****, in Source: ****

2.2 A market marked by seasonality

The toy market is buoyed by the end-of-year festivities, as the graph below shows. **.*% of sales in this market are generated in the last three months of the year.

Breakdown of toy purchases over the year France, ****, in Source: ****

Conversely, consumer interest in outdoor toys seems to follow a cycle, with growth starting in early spring and a certain sluggishness in autumn and winter. The dynamism of the outdoor play market is therefore closely linked to the weather and the possibility of getting out and enjoying the great outdoors, as evidenced by the drop in outdoor play sales during the first confinement of March ****. The graph below shows the proportion of searches for the given keywords (***). Thus, a value of ** means that the keyword was used half as much in the region concerned, and a value of * means that there is insufficient data for this keyword.

Consumer interest in various outdoor games France, May ****-May ****, Google Trends index Source: ****

Frédérique Tutt, toy market analyst for The NPD Group, confirms the seasonal nature of the outdoor toy market (***): this type of toy is mainly bought when the weather is favorable, with a third of annual sales taking place between April ...

2.3 "Made in France" toys have the wind in their sails

The definition of Made in France (***) in the French Customs Code is clear: "Made in France is any product for which the last substantial stage has been carried out in France, and for which at least **% of the added value originates in the area". The health crisis of **** had a very positive impact on the consumption of products made in France. In fact, an Opinion Way survey at the end of **** shows that **% of French people have consumed more Made In France products since ****. This trend is now spreading to the toys and games market.

Share of French people who have consumed more MIF since **** France, ****, in Source: ****

French toy and game manufacturers account for **% of the sector's sales: compared to ****, sales in **** are up **% between January and August. This success can be explained by several factors. Firstly, new generations of parents are choosing to buy French toys for reasons of safety, quality and traceability. Indeed, as the marketing director of French manufacturer Smoby explains: "New generations of parents want to know everything about where the product is made and how. This has been a fundamental trend over the past three years". What's more, unlike toys produced in Asia, French toys ...

2.4 Environmental concerns are becoming increasingly important

The ecological awareness of the French has been growing in recent years, encouraging the emergence of new consumer behaviors: buying eco-responsible toys or from second-hand platforms.

Younger adults aged between ** and ** generally have a good opinion of eco-responsible toys, which they feel have a good impact on ecological awareness: over **% of them consider that eco-responsible toys made of wood or manufactured in France help to awaken children's ecological awareness.

However, the price of these toys can be an obstacle to consumption, as the graph below shows. Recently launched brands of eco-responsible toys don't necessarily always appeal to customers, who judge them rather harshly.

Consumers' views on the price of eco-friendly toys France, ****, in Source: ****

Second-hand toys are also becoming more widespread, particularly among younger consumers: in ****, **% of **-** year-olds said they had sold online at least once in the last ** months, according to an Ipsos survey, a figure **% higher than the previous year. Unlike the eco-friendly toys mentioned above, they have the advantage of being less expensive.

Evolution of the proportion of **-** year-olds who have already sold an item on a second-hand platform France, ****-****, in % Source: ****

French interest in eco-responsible consumption this Christmas France, ****, in % Source: IPSOS Motivations and ...

3.1 The French outdoor playground market is driven by several major companies

The outdoor play market follows the same organization and has a structure relatively close to that of the toy market in which it is included. In ****, outdoor and sports games will represent the fourth largest category in total toy and game sales.

Games and toys sales by category France, ****, in millions of euros Source: ****

Toy market players are located at different stages of the production chain:

Type of player Activity Toy and game manufacturers / producers these are mainly located in China, for reasons of cost rationalization, but a trend is beginning to emerge in favor of toys made in Europe, and more particularly in France. Distributors specialized stores: they have the advantage of offering a wide range of toy brands, and customers can also benefit from the advice of a specialized salesperson, supermarkets: these have the advantage of offering very attractive prices for certain toys, since they buy very large quantities of items. However, the choice is relatively limited, since the most complex references are rarely offered. In addition, outside the Christmas and New Year period, the range of toys and games on offer is very limited. internet pure players: these websites offer a full range of games and toys at ...

3.2 French production

However, France does have a number of toy manufacturers on its territory, some with very long histories. In the face of stiff competition from China, the number of French toy manufacturing companies is relatively stable after a spectacular peak in ****.

Number of companies producing toys France, ****-**** Source: ****

Growth in production value of three categories of outdoor play equipment France, ****-****, in millions of euros Source : Eurostat Eurostat, the European Union's statistical tool, provides access to production data for each member country for all product references. To create this graph, we have taken into account three references that correspond to the outdoor playground category: ********: Balls (***) ********: Other articles and equipment for sports and outdoor games, n.e.c. ********: Wheeled toys designed to be ridden by children (***); dolls' carriages. As the chart shows, only the second product category is never zero in terms of production value, unlike the first. As for the last category, it takes positive production values between **** and **** inclusive.

3.3 French toy retailing: a sector in the throes of change

In France, toys and games are sold by a number of different players and through a variety of different channels.

Games and toys are sold through a distribution channel organized around three main players:

specialized trade: this is the main toy distribution channel, with a market share of **%, and is dominated by major chains such as PicWicToys, La Grande Récré, JouéClub, King Jouet and Maxi Toys. These networks have been structured for years, even decades. Today, they are facing a decline in market share, to the benefit of the other two players below. mass retailers: this is the second-largest toy distribution channel. Thanks to its purchasing power and distribution strength in supermarkets, it can offer products at very attractive prices. pure players: these are companies that conduct their business exclusively online, such as Amazon and Cdiscount.

Market share breakdown of toy retail players France, ****, in Source: ****

The health crisis has affected specialist retailers to the benefit of pure players, who are gaining ground thanks to an aggressive pricing strategy, a very wide range of products and attractive services such as fast, free delivery that specialist retailers cannot necessarily offer.

More generally, the Internet continues to make inroads into the ...

4.1 Analysis of raw materials and consumer prices

The Consumer Price Index (***) is the instrument used to measure inflation. It is used to estimate the average change in prices of products consumed by households between two given periods. The graph below shows the evolution of this index between April **** and February **** for games, toys and hobbies.

Consumer price index (***) for games, toys and hobbies France, April ****-February ****, consumer price index Source: ****

With some ** million items sold each year, sales have remained stable, while the average price has risen by *% year-on-year to €**.** on average. This increase in value is due in particular to the development of micro-mobility (***) and the good performance of classic trampolines, slides, guns and balls.

In France, to produce a toy, several costs need to be taken into account. Often higher than in China or other competitor countries, these costs are the reason why toys made in France are more expensive. The production costs of a toy are as follows

the cost of raw materials the cost of labor: this is higher than in other countries, since the average monthly wage of a French industrial worker is ** to ** times higher in France the cost of taxes and charges at company level: France is one of the countries ...

5.1 Current regulations

Because toys are products intended for children, sometimes very young, they are subject to very strict regulations designed to protect the safety of their users. These regulations are designed to protect children against risks and injuries arising from "normal and foreseeable" toy use. The European legislator therefore imposes precise regulations that take into account the usual behavior of children: mechanical properties, flammability of the object, chemical and electrical characteristics, hygiene...

In France, Decree no. ****-*** of February **, **** transposes an EU directive that regulates products designed to be used exclusively or not for play by children under **. CE marking on toys means that the manufacturer certifies that the product meets regulatory safety requirements. This marking must be affixed legibly, visibly and indelibly to the product, its label or packaging.

The DGCCRF (***) regularly checks that toys comply with these regulations.

In addition, appropriate labeling must include warnings designed to draw the attention of young users or their guardians to the risks involved in using certain types of toys (***)

Toys must be particularly safe because of the vulnerability of the young people for whom they are intended.

Children playing with toys are not always aware of the danger involved, and must be protected against ...

5.2 Extension of regulations on advertising to children

Since January *, ****, advertising in programs aimed at children under ** on public service channels has been banned. It also applies ** minutes before the start of the program and ** minutes after its end. The ban on advertising in children's programs applies only to public service channels.

Among other European countries, Sweden is a pioneer in this field, banning advertising in children's programs on both public and private channels. Spain and Great Britain are content to ban advertising on public service channels during children's programs, as is the case in France. [***]

Generally speaking, there are regulations governing the broadcasting of commercial and children's advertising. The first regulations were laid down in the law of September **, ****, and governed the emergence of the first private television channels (***). According tolegifrance.gouv.frarticle * of decree no. **-*** of April *, ****, relating to the law of September **, ****, stipulates the following:

Advertising must never exploit the inexperience or credulity of children and adolescents; Children and teenagers may not prescribe the product or service being advertised; They may only be the main actors if there is a direct relationship between them and the product or service concerned.

These laws have been relaxed bydecree **-***of March **, **** on child protection.

6.1 Market segmentation

• Hasbro
• Mattel
• Namco Bandai Entertainment France
• King Jouet
• Ludendo La Grande Récré
• Smoby
• Joué Club
• Vilac
• Simba Dickie Group
• Maped
• Mollky
• Jeujura
• Janod
• Écoiffier
• Ludi
• Djeco
• Quali Cité