Products on show at the 2004 Hong Kong Toys and Games Fair are almost certain to follow the product trends emerging from an on-site survey of the 2003 fair by respected pollster A. C. Nielsen. The survey found that the trade regards "smart toys" such as battery-operated and electronic toys and games, plus computer toys and games, as the two top categories with the highest growth potential.
Such "smart toys" had a more promising future than traditional toys, the survey found, adding that, significantly, growth was likely to be led by children aged from 10 upwards but including teenagers up to age 19. However, in an interesting aside, the survey noted that there was still demand for sophisticated toys among adults aged 20 and above.
Generally, however, the survey nominated as hit items with a strong future such traditional educational toys as 3D puzzles along with hobby goods (models, model kits, action figures, collectibles and miniatures). The report also confidently tipped that Harry Potter and Disney characters would remain the best sellers among licensed characters.
A summary of the survey results follows. To see the complete report, please visit the TDC website at www.hktoyfair.com/previous/main.htm.
Over 70% of the respondents cited that the volume of Christmas sales in 2002 was the same or better than the previous year. About half of the exhibitors (50%) and buyers (59%) anticipated that the market outlook for 2003 would be better than 2002; buyers (57%) and exhibitors (46%) targeting the US market tended to be positive about the market outlook for 2003. Respondents also said the market outlook for the Chinese mainland in 2003 would be more prosperous.
Battery operated, electronic and computer toys and games were regarded as the top two categories with highest growth in 2003. Across the market, consumers aged 5-14 were seen likely to drive the growth, except on the Chinese mainland where key consumer segments include teenagers aged 15-19.
Among surveyed buyers, the trade fair was seen as the key channel for identifying new suppliers. Overseas buyers tended to deal with more than 30 major suppliers. Most overseas buyers preferred to have new suppliers from Hong Kong or South China. Product quality was the most important criteria for assessing new suppliers. The normal lead time from product development to placing order was about five months.
About half of the exhibitors and buyers were conducting or planned to conduct business activities on the Chinese mainland. Exhibitors did not only manufacture products on the mainland but also planned to engage in marketing and sales in the domestic market.