Toy sales declined last year, but adult purchases rose, according to an industry research group.Adults accounted for 17.3% of US toy sales in 2023, totaling $6.7 billion, per Circana.Many grown-up consumers are driven by nostalgia, and manufacturers are trying to capitalize on it.
Research shows that while overall toy sales are in decline in the US, sales driven by nostalgic adults are on the rise.
Frédérique Tutt, global toys industry analyst at the research group Circana, told Business Insider that although adults have always bought toys and games, their share of the global market has grown significantly in recent years.
Citing Circana data shared with BI, Tutt said that in the US, adults accounted for 17.3% of total toy sales in 2023, equivalent to about $6.7 billion.
This represented a growth of 8% over the previous year, according to the data.
Tutt added that in Europe it’s a similar picture — those over 18 accounted for about 16% of sales of toys and games last year, totaling 2.6 billion euros, or about $2.76 billion, in sales.
She described the rise of the “kidult” market as a “global phenomenon,” which she said is particularly strong in Asia, notably Japan and South Korea.
According to Tutt, the trend was initially accelerated by the COVID-19 pandemic, with higher disposable incomes and increased spare time playing its part.
Now, she said, nostalgic escapism seems to be driving it, and brands are capitalizing on adult memories of childhood favorites.
Tutt said the release of Star Wars series like “The Mandalorian ” and the box-office hit “Barbie” movie have boosted sales of related merchandise among adults.
“This market could grow tremendously,” she added, saying that brands and manufacturers are increasingly catering to adult buyers, with retailers dedicating more floorspace to products targeted at grown-ups.
Steve Totzke, Mattel’s president and chief commercial officer, told the Los Angeles Times last month that adult interest in its brands like Barbie has surged in recent years, with adults representing up to a quarter of sales for some brands.
According to Circana’s data, despite an 8% overall drop in toy sales last year, adult purchases have stayed robust. The group said that US adults spent over $1.5 billion on toys and games in the first quarter of 2024 alone.
Meanwhile, 43% of US adults said they had bought a toy for themselves in the first five months of 2024, according to the data, with socialization, enjoyment, and collecting given as the primary reasons.
A Circana report from June on the US toy industry described adults as the “most important age group” for the industry going forward.
Tutt told BI: “The potential growth of this target group is actually huge.”
