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    Toy & Hobby Stores Industry Profile

    Report Page Length: 10-12
    Last Quarterly Update: 5/17/2021
    SIC Codes: 5945
    NAICS Codes: 451120
    Chapters Include:
    Industry Overview Trends & Challenges Industry Forecast
    Quarterly Industry Update Call Prep Questions Website & Media Links
    Business Challenges Financial Information Glossary & Acronyms
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    Excerpt from Toy & Hobby Stores Industry Profile

    Companies in this industry operate physical retail stores that sell new toys, games, and hobby and craft supplies; some also sell products online. Major companies include Gamestop, Hobby Lobby, and Michaels (all based in the US), as well as Citta' del Sole (Italy), Hamleys (UK), LEGO Group (Denmark), and Toyworld (Australia).

    The global toy market generates about $90 billion in annual revenue, according to the NPD Group. The US is the world's largest toy market. Toy sales increased in Mexico, Russia, and Brazil during 2018, while the UK, Australia, France, and Spain saw declining sales, NPD reports.

    The US toy and hobby store industry includes about 8,500 stores with combined annual revenue of about $17.4 billion.


    Competition from big-box retailers (notably Walmart and Target), growing online toy sales, and changes in the way children play in the Digital Age are posing challenges to traditional toy retailers. Toy and hobby stores compete with multiple retailers offering similar products, including mass merchandisers, consumer electronics stores, and fabric and sewing goods stores. Brick-and-mortar toy stores are losing market share to online toy retailers that offer lower prices and fast or free shipping.

    Consumer spending is a key driver of demand for toy and hobby stores. In addition, population growth among young children (under 12) drives demand for toy stores, and population growth among women 35 and older drives demand for hobby stores. The profitability of ...

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