Toy Talk Newsletter | 🎉 2025 toy trends reveal personalization and nostalgia

Retail Rewired 🔥

Rising Costs, AI & the Halo Effect—Key Takeaways from eTail West

The Fospha team had an amazing time at eTail West last week, connecting with eCommerce leaders and diving into the biggest challenges and opportunities shaping the industry. Here are the top trends we saw dominating the conversation.

📈 Brands Are Navigating Rising Ad Costs & Complexity

With CPCs on the rise, brands are doubling down on efficiency— looking for opportunities to optimize their marketing mix and making the most owned channels like email, SMS, and loyalty programs.

🤖 AI-Driven Personalization Is Scaling Up

AI is transforming customer interactions in real time. Hanky Panky shared how AI powers their acquisition, site experience, and retention efforts—including automating 50% of customer service interactions to free up human agents for high-value customers.

💡 The Halo Effect Is Real

At Fospha, we're always talking about the impact of TikTok, YouTube, and Meta ads on third-party sales channels like Amazon. At eTail West, Ross Wakeham from TikTok reinforced that this ‘spillover’ effect is a huge measurement opportunity for brands.

If you’re interested in learning more about the halo effect, you can lead our latest research here. 🔗

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Sector Spotlight 🎥

GAME SHOW EXPANSION

Fremantle Expands Scrabble Game Show Globally with Classic Game's Timeless Appeal

Fremantle's acquisition of global rights for the Scrabble game show marks a strategic move capitalizing on the enduring popularity of word games, reflected by the show's success on The CW network since its October launch. This reflects broader trends in media where traditional board games are repurposed into cost-effective TV productions, aligning with global demand for proven intellectual properties. The show's format, featuring competitive word games, is designed for broad international appeal.

Marketing professionals should note Fremantle’s ability to adapt classic games for diverse markets, illustrating innovative content strategies that appeal to both local and global audiences. Vasha Wallace of Fremantle emphasizes the show's formula as highly sought by broadcasters, blending established brand recognition with an adaptable production model, offering valuable insights into international content marketing strategies.

COLLECTIBLE TRENDS

Unveil New Furby Launches as Gold Glam and Mini Collectibles Await

Hasbro revitalizes the Furby brand with strategic rollouts—1" Furby Minis in 12 shapes, a Gold Glam edition, and a 3" Furby REESE'S collaboration—boosting collectibility and consumer engagement. These innovative entries highlight a robust market presence, presenting digital marketers and eCommerce experts with fresh avenues for leveraging nostalgia and novelty to captivate parents, children, and Gen Z consumers.

TRADE CHALLENGES

Toymakers Navigate Tariff Challenges to Sustain Growth in the Global Market

US tariffs on Chinese-made toys have surged, causing significant disruption in the toy industry dependent on Chinese manufacturing. Companies like Basic Fun and Clixo face increased costs and reevaluation. Expectations of price hikes are anticipated to affect consumer behavior, underscoring broader economic and strategic challenges in manufacturing relocation.

GAMES EXPANSION

Just Play Innovates Classic Games with Hasbro and Sony Collaborations

Just Play's expansion into the Games category involves reimagining classic games with partners like Hasbro and Sony Pictures Television. Launching in 2025, the initiative includes innovative formats like interactive mats and board games. This move aims to harness new market synergies, enhancing licensing and retail partnerships with a commitment to quality and innovation.

TOY TRENDS INSIGHTS

Toy Trends of 2025 Unleash Personalization Nostalgia and Collectibles for Future Engagement

At Toy Fair 2025, the spotlight shines on personalization and inclusivity, with toys fostering STEAM skills and emotional learning as vital components. Nostalgic innovations and collectibles are redefining consumer engagement strategies in toy marketing. Licensed toys linked to entertainment franchises underline evolving patterns in purchasing behavior, pivotal for eCommerce and digital marketing advancements.

Influencer Corner 📣

Optimization Hub ⚙️

ECOMMERCE STRATEGY

Recover Lost Sales with Klaviyo's Elegant Back-in-Stock Notifications

Klaviyo's back-in-stock automation enhances eCommerce by notifying customers of product availability, boosting conversions. It utilizes AI for segmentation, integrates with platforms like Shopify, and emphasizes personalization. Optimizing these flows with urgency, testing, and advanced strategies like cross-selling can recover lost sales and improve inventory management.

DIGITAL ADVERTISING INNOVATION

Maximize Ad Reach with Google's Expanded Display Network and Creative Tools

Google's latest updates for Google Display Ads enhance advertising flexibility and impact by expanding ad inventory across news, sports, and CTV platforms such as TelevisaUnivision and FOX News. Incorporating Google Display inventory into Demand Gen campaigns has shown a 16% conversion uplift, offering increased reach and improved ad placement quality for marketers.

SEARCH ENGINE MARKETING

Harness SEM's Power for Instant Online Success

Employing Search Engine Marketing (SEM) enables rapid visibility and enhanced brand awareness for small businesses. Leveraging platforms like Google Ads ensures precise targeting and immediate results, integrating seamlessly with SEO for optimal performance. The guide emphasizes SEM's potential to transform businesses through targeted advertising and data-driven insights.

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