Gifts / Sports & Toys

According to the observation report of Huacheng Import and Export Data, from the recent financial reports of international giants, we can find that Latin America is an absolute black horse with a promising growth momentum. So, as the country with the largest area and the largest population in the region, what is the toy consumption preference of the Brazilian people?

Overall characteristics: small rich flowers

Before looking at the list, let's have a general understanding of the background of Brazil. Brazil is not only the largest and most populous country in Latin America. As a member of the G20 and the BRICS, its economic strength also ranks first in the region. It surpassed the UK in 2012 and became the sixth largest economy in the world. According to the data released by the International Monetary Organization (IMF) in 2022, the country's GDP is 1.89 trillion, ranking 12th in the world, and 8th in the world according to the actual purchasing power, which should not be underestimated.

In terms of toys, although the data for the whole year of 2022 has not been released yet, in 2021, even under the epidemic, the annual growth still reached a record high of 14%, with an income of about R $8.7 billion (about US $1.5 billion). In the retail market, Brazil's toy localization rate is more than half. The peak of toy sales is mainly concentrated on Children's Day and Christmas, accounting for 65% of the annual business, but the average consumption price of a single toy has reached 17 dollars, even close to the level of developed European and American countries. Even labor costs are not low. According to the report of Euromonitor International, in 2011, the average annual salary of the toy and game manufacturing industry in Brazil reached US $13600, 8 times and 34 times that of China and India at that time. To sum up, it is completely possible to describe the toy market in Brazil with Xiaofu Nenghua. Huacheng Import and Export Data Observation Report.

Deeply influenced by Europe and America

Due to historical reasons, most of the local residents are mixed blood groups of immigrants and local residents from southern Europe, such as Portugal, Spain and Italy. Therefore, in addition to the local customs in Latin America, the customs are similar to those in southern Europe. In terms of toy consumption preferences, we can also see that they are deeply influenced by Europe and the United States.

We found Mattel's absolute advantage in the Brazilian toy market. First of all, there are two comprehensive categories. The annual toy IP/brand (Barbie) and the annual sales champion (Fenghuo Wheel Toy Car) are both from Mattel; In terms of single item, Mattel also has three categories, namely, spliced type (large package of Meijiabao children's building blocks), doll (Barbie fashion doll series) and toy car series (single package of Fenghuo Wheel 1:64 series cars). It is not surprising that Mattel dominates the list, because as early as 1998, it was reported that Mattel invested 60 million US dollars to build a factory in Brazil, and in 2013, it transferred part of China's production capacity to Brazil. According to Reuters reports in 2013, Mattel mainly produces paper toys such as cards and puzzles in Brazil, as well as some simple plastic molded products, which are all used for local sales in Brazil and not exported. This is one of the reasons for the high localization rate of the Brazilian toy market mentioned above. Mattel's influence in Brazil even defeated Lego, the industry leader, in the category of jigsaw puzzle. However, the old rival Hasbro has only two (movable dolls and handicrafts) on the list. In addition, there is another overseas company named Panini from Europe. It is not surprising that it, as the leader of the soccer star card, has taken advantage of the World Cup to explore the top and other toy sales.

From the perspective of market share, Mattel Brazil was the first local toy company before the epidemic, followed by Hasbro, and Huacheng Import and Export Data Observation Report.

Other products listed on the list, although with the names of Brazilian local companies, have more or less the shadow of European and American brands behind them. First of all, let's take a look at the item with the strongest local characteristics: infant preschool toys. The reason why it has strong local characteristics is that the image of the doll and the company behind it are Brazilian. The doll image Maria Clara&JP is a brother and sister from Brazil. Since 2015, they have started to update original videos of various challenges, games, reloading, unpacking and other topics on YouTube. At present, the channel has 35.6 million fans and nearly 20 billion broadcasts. With these flows, the brother and sister cooperated with many companies in Brazil to produce and sell many licensed products. Toys are one of them. Maria Clara&JP's YouTube channel home page and the new and updated videos have millions of broadcasts. The production company Nova Brink, which is also an old brand toy manufacturer in Brazil, has produced toys for more than 70 years. It mainly sells plastic toys, movable dolls, dolls, plush, etc., and has cooperated with Disney/Marvel, Warner and other world-famous IP parties. Its doll products have won the Brazil Toy of the Year Award for several consecutive years from 2016 to 2020. The doll on the list this time is the second place in the 2020 Brazil Toy of the Year Awards. The local color of Nova Brink's doll production workshop comes next to that of games and puzzles. On the list is the Brazilian version of the millionaire. The company responsible for its production and sales is Estrella, a century-old toy company in Brazil. The company was founded in 1937 and has a history of 86 years. It went public in 1944 and has several factories in Brazil. Its company background is not inferior to Nova Brink above. Only the products on the list are not authentic Brazilian toys. Because the original version of this product is a millionaire from Hasbro. The two countries have been authorized to cooperate from the 1970s to 2007. At that time, Estrella was authorized by Hasbro to change the name of the product to Banco Imobiliario and carry out localization adjustment to produce and sell in the Brazilian market. However, at the end of the cooperation in 2007, the two sides had filed a lawsuit for the ownership of the brand copyright of Banco Imobiliario, and broke up with each other. Although the remaining toys on the list are in the charge of local Brazilian companies, they have a strong European and American style in terms of appearance design. Among them, Candide and Sunny are two old import and export agents, and the products handled are mainly from Europe and America. Maral is the youngest, founded in 2012, but in order to cater to the market, the product style is also European and American. The home page of Candide, which ranks third in Brazil's toy market share, sells products that are familiar faces in European and American markets. Although Brazil is far away from the United States, its consumption preferences are deeply influenced by Europe and the United States (especially the United States). Then Mexico and Canada, which are adjacent to the United States, are even more inevitable. The hot selling toys in the three countries are highly similar. From the above table, we can see that the three countries have almost the same taste in the four categories of jigsaw puzzle toys, preschool children, plush toys and toy cars, and like the same brand and similar product lines. Although this phenomenon of taste convergence reflects the high threshold of European and American brands, it also shows that similar products are widely used in American countries, which is also a convenient condition to enter the American market. Huacheng Import and Export Data Observation Report.