Toys And Games in South Africa
Euromonitor International's Toys And Games in South Africa report offers a comprehensive guide to the size and shape of the traditional toys and games and the video games market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market- be they new product developments, distribution or pricing issues. Forecasts illustrate how the market is set to change.
Tables: 34 | Publication date: Oct 2008
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- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Executive summary
Resilience in consumption patterns
The market for toys and games in South Africa has continued to experience growth across all sectors over the review period. This indicates a general resilience in consumption patterns in an environment that has been largely characterised by a record high debt/income ratio, persistently rising interest rates, rising inflation and a dampened economic outlook. Consumption patterns have not significantly changed despite unfavourable macroeconomic conditions.
Impact of the “age compression” trend restructures the market
The traditional structure of the toys and games market has been affected by the trend towards “age compression”. Children are leaving behind traditional types of play at an earlier age, which has impacted on sales of children’s toys and games as they begin to demand items such as mobile phones, DVD players, CD players, mp3 devices and other electronic products instead. There has been a tremendous increase in the interest rate and an increased demand for video games, resulting in an upward trend in sales.
Video games sector experiences phenomenal growth
The successful marketing of the PlayStation series of games, followed by the entry of Xbox 360 and the forceful arrival of Nintendo Wii, has resulted in phenomenal growth in the video games sector. While PlayStation 2 and PlayStation 3 may have been perceived as expensive boys’ games, Xbox 360 and Wii are priced significantly lower and are being marketed as interactive family games, which has led to a massive increase in demand for video games hardware and software.
Tight competition persists
The environment remains characterised by high levels of competition and continues to exhibit features of market concentration because of the dominance of just a few players. The toys and games industry relies heavily on imports, and competition is confined to prices, product selection, advertising and promotion, product quality, service levels and the location of retail channels. Proactive distribution strategies are key success factors in a fast-growing market.
Consolidation of emerging trends and the advent of eco-friendly toys
The toys and games market is expected to continue performing well. Growth in the video games sector is likely to be consolidated through launches of new products and new titles to compete in the software subsector. Sales of traditional toys and games will probably be rejuvenated by the development and marketing of eco-friendly toys, which will be marketed in a manner consistent with consumers’ changing lifestyles in order to incorporate more environmentally friendly ideas and purchase more organic and natural products.
Table of contents
TOYS AND GAMES IN SOUTH AFRICA : MARKET INSIGHT
EXECUTIVE SUMMARY
Resilience in consumption patterns
Impact of the “age compression” trend restructures the market
Video games sector experiences phenomenal growth
Tight competition persists
Consolidation of emerging trends and the advent of eco-friendly toys
KEY TRENDS AND DEVELOPMENTS
Robust growth of middle class expands size of toys and games market
Departure from tradition as urban trends impacts on lifestyles
Technology-based innovation reigns supreme
New product development central to competitive success
Emergence of stronger brands key to building consumer loyalty
MARKET DATA
Table 1 Sales of Toys and Games by Sector: Value 2003-2008
Table 2 Sales of Toys and Games by Sector: % Value Growth 2003-2008
Table 3 Sales of Toys and Games by Distribution Format: % Analysis 2003-2008
Table 4 Toys and Games Company Shares by Value 2004-2007
Table 5 Forecast Sales of Toys and Games by Sector: Value 2008-2013
Table 6 Forecast Sales of Toys and Games by Sector: % Value Growth 2008-2013
DEFINITIONS
Summary 1 Research Sources
LOCAL COMPANY PROFILES - SOUTH AFRICA
CORE GROUP - TOYS AND GAMES - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 2 Core Group: Key Facts
Summary 3 Core Group: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 4 Core Group: Competitive Position 2007
JUST FUN TOYS (PTY) LTD - TOYS AND GAMES - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 5 Just Fun Toys: Key Facts
Summary 6 Just Fun Toys: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 7 Just Fun Toys: Competitive Position 2007
MEGAROM INTERACTIVE (PTY) LTD - TOYS AND GAMES - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 8 Megarom Interactive (Pty) Ltd: Key Facts
Summary 9 Megarom Interactive (Pty) Ltd: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 10 Megarom Interactive (Pty) Ltd: Competitive Position 2007
PRIMA TOYS LTD - TOYS AND GAMES - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 11 Prima Toys and Leisure Trading (Pty) Ltd: Key Facts
Summary 12 Prima Toys and Leisure Trading (Pty) Ltd: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 13 Prima Toys and Leisure Trading (Pty) Ltd: Competitive Position 2007
STER KINEKOR HOME ENTERTAINMENT (PTY) LTD - TOYS AND GAMES - SOUTH AFRICA
STRATEGIC DIRECTION
KEY FACTS
Summary 14 Ster-Kinekor Games: Key Facts
Summary 15 Ster-Kinekor Games: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 16 Ster-Kinekor Games: Competitive Position 2007
TRADITIONAL TOYS AND GAMES IN SOUTH AFRICA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 7 Sales of Traditional Toys and Games by Subsector: Value 2003-2008
Table 8 Sales of Traditional Toys and Games by Subsector: % Value Growth 2003-2008
Table 9 Sales of Traditional Toys and Games by Distribution Format: % Analysis 2003-2008
Table 10 Traditional Toys and Games Company Shares by Value 2004-2007
Table 11 Forecast Sales of Traditional Toys and Games by Subsector: Value 2008-2013
Table 12 Forecast Sales of Traditional Toys and Games by Subsector: % Value Growth 2008-2013
VIDEO GAMES IN SOUTH AFRICA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 13 Sales of Video Games by Subsector: Value 2003-2008
Table 14 Sales of Video Games by Subsector: % Value Growth 2003-2008
Table 15 Sales of Video Games by Distribution Format: % Analysis 2003-2008
Table 16 Video Games Company Shares by Value 2004-2007
Table 17 Forecast Sales of Video Games by Subsector: Value 2008-2013
Table 18 Forecast Sales of Video Games by Subsector: % Value Growth 2008-2013