Toy Market Analysis and Innovation

This assignment delves into the dynamics of the global toy market. It examines current trends, consumer preferences, and the role of innovation in driving success within the industry. The analysis considers various factors influencing the market, including brand positioning, retail channels, and technological advancements. The assignment also explores case studies of successful toy companies and discusses strategies for developing innovative products that cater to evolving consumer demands.

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Global Business and Social Technology

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Table of Contents
Introduction and Background.....................................................................................................4
Description of the Kingdom of Toys.....................................................................................4
Products of Kingdom of Toys................................................................................................4
Unique Feature of Kingdom of Toys.....................................................................................5
Geographic Location and Reasoning.....................................................................................5
Plan for Selling the Products..................................................................................................5
Empathise, Define and Ideation Process....................................................................................6
Description and Illustration of the Empathise Process for Business Idea..............................6
Involving Effective Stakeholders.......................................................................................6
Breaking the Ice.................................................................................................................6
Setting of Deliverables and Expectations..........................................................................6
Establishment of Boundaries..............................................................................................6
Development of Teams for Idea Generation......................................................................7
Compilation and Refinement of Ideas................................................................................7
Reframing and Rethinking of Different Ideas....................................................................7
Problem Solving rendered by Kingdom of Toys...................................................................7
Identification and Prioritisation of the Issue......................................................................7
Understanding and evaluating interests of others..............................................................7
Listing, Evaluation and Selection of the Effective Option................................................8
Documentation of the Agreements made...........................................................................8
Monitoring and Evaluation and Contingency Planning.....................................................8
Description and Illustration of the Ideation Process..............................................................8
Viability of the Business Idea..............................................................................................10
Market Analysis.......................................................................................................................10
Overview of the Industry.....................................................................................................10

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Target Market.......................................................................................................................11
Demographic Segmentation of the Target Market...........................................................11
Psychographic Segmentation of the Target Market.........................................................11
Behavioural Segmentation of the Target Market.............................................................11
Competitor Analysis.............................................................................................................11
Business and Products......................................................................................................11
Strengths and Weaknesses...............................................................................................12
Significance of the Target Market to the Competitors.....................................................12
Competitive Advantages of Kingdom of Toys....................................................................12
Branding and Logo...................................................................................................................13
Branding Brief of Kingdom of Toys....................................................................................13
Creation and Description of Kingdom of Toys Brand.........................................................13
Description of the Logo and the Thinking behind its Design..............................................13
Explanation of the Tagline...................................................................................................14
Marketing Strategy on Social Media........................................................................................14
Communication Strategy......................................................................................................14
Facebook..........................................................................................................................14
Twitter..............................................................................................................................15
Six Months Calendar Plan regarding Social Media Communication..................................15
References................................................................................................................................17

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Introduction and Background
Description of the Kingdom of Toys
The Kingdom of Toys is a rental business of toys based in Australia. The business is set up
for providing access to kids and their parents to different types and categories of toys which
they could not have afforded owing to the cost of the same. The toys generated in the form of
rent are clean and safe in nature. The Kingdom of Toys runs on the business model where it
charges $4 on a daily basis which extends to $10 for a weekly basis and $30 for customers
keeping toys on rent for a month.
Products of Kingdom of Toys
Kingdom of Toys is basically focused on renting toys to customers based on their budget and
needs. Different types of toys both remote and non-remote operated, battery operated and
non-battery operated and also individual toys and sets are sold or rented to customers.
(Williams, 2008)

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(Williams, 2008)
Unique Feature of Kingdom of Toys
The toys rented by Kingdom of Toys are convenient and safe to handle and are ideally
packaged and designed for meeting the needs of customers in a customised fashion. Kingdom
of Toys renders effective customer services through interacting with customers through the
use of social media networking platforms and also through the use of a 24 hour helpline
number. Free shipping and delivery is rendered by Kingdom of Toys for enhancing the level
of customer satisfaction. Kingdom of Toys is designed to spread smiles on the faces of
children.
Geographic Location and Reasoning
The Kingdom of Toys is based in Houston. The toys business is based in Houston such that
the area is populated by preschools and playschools. Moreover, in Houston also reflects large
number of orphanages and child care hospitals along with the existence of daycare and
kindergarten facilities for children. The existence of these facilities and units in Houston
ideally contribute in generating considerable demand for rented toys.
Plan for Selling the Products
Kingdom of Toys focuses on selling the toy products through the development of a website
that helps customers in gaining view of different types of toys marketed by the company and
thereby can effectively purchase, rent and also rent out the same from and to the company.
Further, Kingdom of Toys also focuses on directly selling the toys to different daycare and
kindergarten facilities and also to orphanages through the generation of coupons and
discounts. Kingdom of Toys also focuses on development of exclusive and franchisee stores
in large numbers such that the same would help customers in gaining access to toys from
stores located in vicinity. Further, Kingdom of Toys also focuses on the development of toy
libraries such that it helps in the generation of membership to parents and communities for
availing toys at affordable rents. Thus both internet and home based models are promoted for
selling toy products to customers (DiNapoli, 2017).
The report focuses on generating a new idea and also in identifying a solution to a problem
based on the identification of the new business idea. It also focuses on conducting a market
and competitor analysis of the business. Further, it would also focus on developing a

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branding and logo and communication strategy based on social networking platforms for
attracting customers. Finally, the report would also focus on developing a six month calendar
plan associated to the incorporation of social media communication tools.
Empathise, Define and Ideation Process
Description and Illustration of the Empathise Process for Business Idea
The Ideation Process is essentially constituted by seven different stages that are listed as
follows.
Involving Effective Stakeholders
Kingdom of Toys ideally focuses on involving different stakeholders like customers, parents,
communities and groups like caregivers, orphanages and also preschools and playschools and
also other investors that would help in ideally developing and effectively guiding the project
activity.
Breaking the Ice
This stage can be rightly accomplished by encouraging the different members to participate
in the generation of new and creative ideas and also through encouraging them to take part in
role plays regarding the conducting of the toy rental business in an effective fashion
(Harmsen, 2013).
Setting of Deliverables and Expectations
The ideation process further focuses on setting and highlighting of key deliverables in terms
of content generation and meeting of project stages at specific periods. Development of a
timeline ideally contributes in identification of key expectations of stakeholders and in
allocating needed resources and budgets for meeting of the same.
Establishment of Boundaries
Herein, the different roles assigned to the stakeholders are ideally communicated and also the
roles played by the different stakeholders are ideally monitored for fulfilment of the project
activity concerning setting up of the toy rental business. Different teams like sourcing or
purchasing teams, web development teams, marketing and promotional teams and also the
home delivery teams are required to be identified and constituted and also duly monitored for
meeting of the objectives of toy rental in Houston (Jamil, 2015).

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Development of Teams for Idea Generation
Different teams are required to be constructed such that the same contribute in the generation
of effective logo for the Kingdom of Toys brand. The team is empowered to decide on the
type of graphics, textures and other visual and sensory elements in a collaborative fashion for
development of the toy rental brand in Australia. External collaboration is also encouraged in
this direction in the form of co-creation activities such that the same contributes in the
generation of an effective logo and brand in the toy rental market in Australia.
Compilation and Refinement of Ideas
The different ideas rendered by the team members are ideally confined and refined through
editing of contents and targeting them to match the changing needs of customers. This stage
thus reflects on the scrapping of non-performing ideas and generation of productive and
performing ideas that helps in promoting needed creativity (Kim, 2016).
Reframing and Rethinking of Different Ideas
The final stage is associated in highlighting the advantages and benefits gained in terms of
development of the team and in encouraging collaboration between the team members for
generation of creative and novel ideas. The team members can be ideally encouraged such
that the same can be reunited for development of new ideas in a collaborative fashion
meeting changing needs of customers and market (Bernard, 2011).
Problem Solving rendered by Kingdom of Toys
Kingdom of Toys focuses on rendering a solution to the problem concerning the
unavailability of affordable toys. The problem solving stages for the concerned issue are
highlighted as under.
Identification and Prioritisation of the Issue
Different members involved in the team can focus on prioritising on different issues based on
individual perceptions. However, it is required to be evaluated that which of the different
issues needs to be rightly handled in the august hour owing to its significance associated to
needs of customers and other stakeholder groups.
Understanding and evaluating interests of others
Herein, the needs and expectations of the different stakeholders and members are required to
be rightly understood regarding the generation of different types of solutions to the emerging
problem or issue. Evaluation of different types of solutions would help in understanding the

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right solution that would ideally help in suiting the needs of the different members and
groups (Newman, 2015).
Listing, Evaluation and Selection of the Effective Option
Herein, different ideas associated with the generation of affordable toys in a potentially
available fashion are effectively listed and thereby evaluated in terms of cost and time
parameters for contributing in selecting the right and potential option for meeting of
consumer objectives.
Documentation of the Agreements made
The agreement made regarding the selection of the effective solution is documented. Further,
the documentation serves in understanding the process of executing or implementing the
solution thus highlighted.
Monitoring and Evaluation and Contingency Planning
The final stage is concerned with the monitoring and guiding the execution and
implementation of the solution identified thereof like development of a rental model and
marketing the same through the development of a website and franchisee stores. This stage is
also concerned regarding planning of needed contingencies like shortage of funds, change in
consumer and supplier behaviour and also breakup of any emergency or accidental situation
like fire, flood and also the arising of any type of financial and economic emergency (Bonem,
2011).
Description and Illustration of the Ideation Process
Brainstorming is identified as an effective Ideation Process and is essentially reflected in the
following illustration.

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The first stage of the brainstorming process is identified as deferring judgement where critics
and judgements rendered by participants are deferred in the subsequent stages of
brainstorming such that the same does not affect the productivity and efficiency of the
brainstorming activity. The second step is associated to the development of wild ideas such
that the participants are encouraged for development of wild ideas regarding development of
the business model for Kingdom of Toys. It thus helps in the development of creative ideas
regarding the generation of an effective and potent solution concerning the reaching of toys
rendered by Kingdom for Toys to the customer in a cost and time effective manner (Neck et
al., 2017).
Thirdly, the brainstorming activity is also concerned with encouraging other team members
for generation of new and creative business ideas such that the ideas can be effectively
incorporated for enhancing the potential of the initial ideas. Thus, new ideas regarding the
development of franchisee and exclusive stores and also directly selling to orphanages and
daycare organisations can be effectively clubbed with the initial idea of employment of web
for marketing and renting of toy products (Neck et al., 2017).
The clubbing of the ideas enhances the potential of the initial solution in serving the needs of
customers. Fourthly, the effectiveness of the brainstorming activity is gained in terms of
encouraging the growth of avid listening skills of other members while a particular member is
involved in the generation of an effective solution or creative idea. Development of listening
skills helps in avoiding repetition of ideas and in developing the right approach for dealing
with the problem (Mattimore, 2012).

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Fifthly and most importantly the team involved in conducting the brainstorming event is
required to ideally focus on adhering on to the research topic or issue. It is understood to be
quite effective in highlighting the issue or topic on a whiteboard and also in reducing the
generation of out of turn ideas by completely deleting them. The same contributes in carrying
out the brainstorming activity in a much focused fashion. Finally, the sixth point stresses on
the use of effective visuals to highlight the different ideas that are penned by the members
from time to time. Herein, apart from using two different boards like the black and white
colour board the visualisation activity is also concerned with the use of sticky notes for
capturing the flow of ideas generated by the participants from time to time (Zenios et al.,
2010).
Viability of the Business Idea
Are customers interested in availing and using rented toy products?
Yes, owing to the increasing prices of toy products the existence of a potential alternative
concerning the renting of toy products would tend to gain considerable demand. It is a
profitable business idea.
Does use of social networking mediums as an effective communication channel favoured by
customers?
The incorporation of social networking mediums like Facebook and Twitter as customer
relationship system ideally help in enhancing the customer responsive face of the company.
Kingdom of Toys can readily respond to queries and complaints posted by customers along
these mediums while it would also serve in generating word-of-mouth marketing for the toy
rental company.
Market Analysis
Overview of the Industry
The Toy Rental Industry in Australia is in its nascent stage and requires considerable
development and growth in terms of increase in consumer awareness and competitors.

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Target Market
Demographic Segmentation of the Target Market
The demographic segmentation of the target market is rendered as under.
Toys are essentially demanded by kids aged between six to nine years. Apart from kids the
target customer groups in Australia interested in availing rental toys are observed to belong to
the age group ranging 18 to 24 years and generally live in shared households. Further,
consumers also belonging to age group ranging from 45 to 64 years and without having kids
at home are also observed to be effective consumers desiring in availing the rental toy
products. The above elderly population also consists of grandparents that are interested in
buying the toy products for the children groups at home. In terms of spending, the Australian
consumers interested in purchasing and also renting toy products on an average are observed
in spending around $80 relating to making of online purchases of toy products. The
customers belong to both gender groups (Roy Morgan Research , 2016).
Psychographic Segmentation of the Target Market
Regarding interests and values of customers it is observed that target customers interested in
purchasing and renting of toy products are more akin in procuring and possessing branded toy
products like that of Lego falling in the category of education toys. The same is preferred by
many preschools, daycare and also the parental population for the children customers.
Behavioural Segmentation of the Target Market
The target customers are interested mainly in availing the rental toy products through
purchasing them online. The customers are interested in conducting purchasing activity in a
seamless setting such that the same helps in procuring toy products in a faster and efficient
fashion from online retail firms (Hinsliff, 2016).
Competitor Analysis
Business and Products
Moose Toys stands as a close competitor to Kingdom of Toys in Australia. It focuses on the
generation of different types of toys like the crafted toy products, racing cars, robots, dolls
and figures and also other types of educational toy products (Gettler, 2012).

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Banter Toys and Collectibles also operate as an effective company operating in the toy
industry of Australia. The company focuses on the development and marketing of trading
cards and also toy products (Banter Toys & Collectibles, 2017).
Strengths and Weaknesses
Moose Toys has earned potential strength regarding the development of an effective overseas
market for its toy products. It effectively competes with word class companies like Lego,
Mattel and Barbie. It generates around $100 million in terms of revenue where around 80
percent of the income amounts from the overseas market. Further, Moose Toys tends to
operate in an innovative fashion with potentially focusing on meeting the changing needs of
its customers (Gettler, 2012).
Moose Toys however suffers from a potential weakness compared to Kingdom of Toys in
that it has failed in developing an effective presence in the toy rental category.
Banter Toys reflects an effective presence in the toy and trading card market of Australia. It
also serves as an effective distributor along the ANY distributor category. The company
invests potentially for developing its distribution network and in serving the needs of
different retailers (Banter Toys & Collectibles, 2017).
Banter Toys also suffers from a potential shortcoming regarding its failure in reflecting an
effective presence in the toy rental market of Australia (Banter Toys & Collectibles, 2017).
Significance of the Target Market to the Competitors
The target market for rental toy products in Australia consisting of kids, teenagers and elderly
population like grandfathers and grandmothers with other elderly couples having no kids at
home also stands to be an effective market for the toy products of both Moose and Banter
Toys as the close competitors of Kingdom of Toys.
Competitive Advantages of Kingdom of Toys
Kingdom of Toys reflect potential advantages owing to solely focusing on serving the needs
of customers interested in purchasing, renting and also re-renting of toy products in Australia.
Further, unlike the above companies, Kingdom of Toys ideally focuses on employing the
social networking platforms for sustaining effective relationship with its customers. Kingdom
of Toys also focuses on sustaining an effective presence through the generation of innovative
and customised packaging.

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Branding and Logo
Branding Brief of Kingdom of Toys
Kingdom of Toys operates as a potential company in Australia that focuses on addressing the
needs of customers interested in gaining access to rental products while even purchasing and
reselling toy products along the online marketing platform of the region. It focuses on
communicating with its customers in an innovative fashion while also focuses on the
generation of creative and customised packaging solutions for the toy products (Kennedy,
2011).
Creation and Description of Kingdom of Toys Brand
The Kingdom of Toys stands as an effective brand operating in the toy rental segment or
market in Australia. It serves as an innovative and state-of-the-arts company based on its
innovative, creative and customised packaging solutions and digital communication platforms
enabled based on the use of different social networking platforms. It prioritises the needs of
customers through the generation of safe and hygienic toys that are shipped free of cost to
diverse customer groups and other associations and institutions catering for the needs of
children.
Description of the Logo and the Thinking behind its Design
The Logo for Kingdom of Toys projects a castle with different types of toys contained in it
ranging from dolls, action figures, remote toys, educational games and a host of other card
games. The Logo is designed based on myriad colours with also the toys sprouting out of
colourful and attractive packaging. The Logo is designed to reflect on the different elements
associated with Kingdom of Toys brand and is made to distinctively highlight the company in
the larger target market.
The Logo for Kingdom of Toys is reflected as under.

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Explanation of the Tagline
The tagline of Kingdom of Toys is ‘Safe and Clean Toys at Affordable Rates anytime based
on Customers’ Needs’. Kingdom of Toys focuses on meeting the tagline in terms of
rendering safe, clean and hygienic toys in a rental fashion. The same would enhance the
affordability of availing the toys and thus contributes in generating value for the purchases
made by customers. Kingdom of Toys aims in reaching the toy products to the residences of
customers in a timely fashion based on the services provided by its staff members in both
reaching and collecting toy products.
Marketing Strategy on Social Media
Communication Strategy
Facebook
Communication is carried out by Kingdom of Toys through sharing of videos, posts and
pictures regarding different toy products rented and packed by them. The videos and posts
also reflect testimonials rendered by users based on their experiences associated with renting
or purchasing toys from the company. Similarly, feeds associated with offers and contests are
also informed through the use of Facebook.

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Twitter
Kingdom of Toys also focuses on the generation of Tweets from time to time regarding new
product launches and also information regarding offers and rebates, customer testimonials
and also information regarding different contests from time to time. The same helps in
attracting interests of customers. Tweets are rendered both in form of texts and pictures.
Six Months Calendar Plan regarding Social Media Communication
September October November December January February
Facebook Posts
containing
pictures,
videos and
other
textual
posts are
rendered
reflecting
different
new
launches,
existing
products
and other
offers and
rebates.
Posts
containing
pictures,
videos and
other
textual
posts are
rendered
reflecting
different
new
launches,
existing
products
and other
offers and
rebates.
The posts
made in
Facebook
highlight
the
customer
demand and
expectations
concerning
festive
packaging
with also
different
categories
of toy
products.
Videos and
pictures are
shared
projecting
customer
perceptions.
The posts
made on
Facebook
effectively
highlight
seasonal
attractions
like
Christmas
offers and
rebates and
news and
pictures of
contests
and special
Christmas
products.
The Herald of
New Year is
celebrated at
Kingdom of
Toys and
thereby is
reflected in
terms of
sharing
effective
posts
containing
pictures,
videos and
the like of
new year
celebrations
both inside
the company
and also
along
different
stakeholders
and child care
organisations.
Similarly,
new launches
are also
The aftermath
of the festive
season would
be marketed by
Kingdom of
Toys in terms
of
communicating
the experiences
gained by
customers
from availing
toy products
and offers
during festive
season.
Videos,
pictures and
other textual
posts are
required to be
shared
reflecting
customer
viewpoints.

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highlighted
by the
company.
Twitter Effective
Tweets are
rendered
from time
to time
reflecting
changes in
customer
needs and
buying
patterns
with also
posts
concerning
packaging
and
delivery of
toys.
Effective
Tweets are
rendered
from time
to time
reflecting
changes in
customer
needs and
buying
patterns
with also
posts
concerning
packaging
and
delivery of
toys.
Similarly,
tweets
rendered by
customers
highlighting
the
experiences
gained from
ordering
and using
the toy
products
marketed by
Kingdom of
Toys are
highlighted
in a
frequent
manner for
attracting
greater
traffic.
Tweets are
rendered
regarding
customer
testimonials
reflecting
growing
interests of
customers
in gifting
toys rented
or
purchased
from
Kingdom of
Toys.
Effective new
year tweets
are generated
by Kingdom
of Toys to
commemorate
Happy New
Year with
customers
and other
child care
firms and
organisations.
New launches
and offers are
also projected
and tweeted
by the
company.
Tweets are also
required to be
rendered
projecting
customer
testimonials
concerning
ordering and in
availing toy
products and
thereby in
unpacking the
joy inside.
Videos and
pictures are
tweeted
thereof.

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References
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DiNapoli, J., 2017. Toys R Us is hiring thousands of seasonal workers despite bankruptcy
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