Australia Toy Market Size, Share and Growth Analysis Report - Forecast Trends and Outlook (2024-2032)

Australia Toy Market Growth

The growth of the Australia toy industry is fuelled by the ability of toys to fulfill diverse roles such as enhancing cognitive and motor skills, providing interactive entertainment, and encouraging physical activity. They also support emotional development, foster social skills, and stimulate creativity and imagination.

Furthermore, some toys focus on teaching safety and hygiene, incorporate technology for educational purposes, and address special needs with customised activities. Additionally, toys are widely appreciated as gifts for special occasions, reinforcing their importance in both child development and enjoyment driving the Australia toy market demand.

Australia Toy Market Analysis

The Australia toy market dynamics and trends are being driven by increasing demand for sustainable and eco-friendly products, technological integration, and a focus on STEM education. Additionally, personalisation, educational benefits, and gender inclusivity are becoming more prominent, alongside a rise in collectables and digital integration. There is also a growing emphasis on safety and a shift towards supporting local manufacturing.

In 2023, the Albanese Labor Government committed an additional $700,000 to Toy Libraries Australia, reaffirming its support for Australian children and families. According to the Department of Social Services, Toy Libraries Australia benefits over 130,000 Australians with toys valued at $28 million, averaging $640 per family member. The Australian Bureau of Statistics highlights that boys and girls aged 0-5 constitute a significant portion of the population, driving increased demand in the Australian toy market.

Australia Toy Industry Outlook

Compared to 2019, Victoria experienced a significant surge in online shopping growth to 111% in 2020, up from 19.9%. The Australian Capital Territory (ACT) grew from 16.4% in 2019 to 102% in 2020. New South Wales (NSW) increased from 16.5% to 98%, Tasmania from 16.6% to 94%, and South Australia from 16.9% to 86%. Queensland jumped to 81% in 2020 from 16.1% in 2019, while Western Australia rose from 16.0% to 78%. The Northern Territory also saw growth, increasing from 7.7% in 2019 to 43% in 2020. Overall, the national average year-on-year growth in 2019 was 17.2%, indicating a substantial increase in 2020.

Further, according to the Australian Bureau of Statistics, online retail sales in Australia totalled approximately USD 12.09 billion in 2018, with an online penetration rate of around 6%. The Compound Annual Growth Rate (CAGR) in recent years was strong at 32.3%. By 2019, online retail sales reached approximately USD 14.11 billion, marking a 58% increase from 2018, and the online penetration rate rose to nearly 7%. In 2020, online retail sales surged to USD 21.97 billion, with the penetration rate surpassing 9%, showing that nearly 10% of all retail sales were conducted online. This growth in online shopping has significantly boosted toy sales through digital channels, as consumers increasingly favour the convenience of browsing and purchasing from home, thus, driving the Australia toy industry revenue.

A broad range of toys catering to various interests, including educational, technological, and sustainable options, appeals to a wide audience.

• Strong focus on technological integration and STEM education enhances product appeal and supports child development.
• Increased consumer interest in sustainable and personalised toys drives market growth and fosters new opportunities in the Australia toy market.

The market is saturated with numerous brands, leading to intense competition and price pressure.

• Strict safety standards can increase production costs and complicate market entry for new players.
• Reliance on imported toys can lead to supply chain vulnerabilities and affect local manufacturing opportunities.

Expanding interest in eco-friendly, tech-integrated, and educational toys creates new growth avenues.

• Supporting local production can reduce dependency on imports and boost domestic growth in the Australia toy industry.
• Growing demand for personalised toys offers potential for niche market expansion and differentiation.

Economic downturns can impact consumer spending on non-essential items like toys.

• Evolving safety and environmental regulations could increase compliance costs and disrupt market operations.
• Global supply chain issues can affect toy availability and cost, impacting market stability.

Key Players in the Australia Toy Market and Their Key Initiatives

LEGO System A/S

• Launched LEGO® Fortnite® in partnership with Epic Games.
• Opened the World’s Biggest LEGO Store to meet the growing demand of the Australia toy market. 

Country Toys Australia

• Released a new range of handmade wooden trucks.
• Expanded their collection of wooden farmyards.

Village Toys

• Expanded their selection of sustainable and educational wooden toys.
• Launched a new interactive website section to capture the Australia toy market opportunities. 

Hasbro Australia Limited

• Collaborated with Mattel for cross-licensed toys.
• Launched Furby immersive campaign.

Australia Toy Industry Segmentation

“Australia Toy Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Dolls
• Sports and Outdoor Toys
• Action Figures
• Plush
• Games and Puzzles
• Infant and Preschool Toy
• Others

Market Breakup by Age Group

• Up to 5 Years
• Between 5 to 10 Years
• Above 10 Years

Market Breakup by Distribution Channel

• Supermarkets and Hypermarkets
• Toy Stores
• Online Stores
• Others

Market Breakup by Region

• New South Wales
• Victoria
• Queensland
• Australia Capital
• Western Australia

Australia Toy Market Share

Sports and outdoor toys contribute to the Australia toy demand growth by promoting physical activity, fostering healthy lifestyles, and discouraging sedentary behaviours, based on their specific category.

Dolls inspire imaginative play, nurturing creativity, and emotional development in children by encouraging role-playing and social connections. With a broad range of options, children can explore various cultures, careers, and relationships, enhancing their global understanding. The introduction of many new toys, appealing to both kids and adults, is further fuelling growth in the Australia toy industry.

Demand in the Australia toy market is driven by sports and outdoor toys, which promote physical activity, support healthy living, and improve gross motor skills. Engaging children in active play improves coordination, while fostering teamwork and outdoor appreciation, ultimately benefiting their physical and mental health.

Leading Companies in the Australia Toy Market

The companies specialise in high-quality, durable toys for outdoor and active play, focusing on fostering creativity, physical development, and healthy lifestyles through engaging and imaginative products for children.

• LEGO System A/S 
• Country Toys Australia 
• Village Toys 
• Hasbro Australia Limited 
• RPG Toms Pty Ltd