A woman looks at toys at a Toys “R” Us store in Guelph, Ont. in this undated handout photo. While holiday spending is expected to be muted this year overall, toy retailers like Toys “R” Us are expecting strong sales as parents aim to give kids a “normal” holiday. THE CANADIAN PRESS/HO, Toys “R” Us *MANDATORY CREDIT*

A woman looks at toys at a Toys “R” Us store in Guelph, Ont. in this undated handout photo. While holiday spending is expected to be muted this year overall, toy retailers like Toys “R” Us are expecting strong sales as parents aim to give kids a “normal” holiday. THE CANADIAN PRESS/HO, Toys “R” Us *MANDATORY CREDIT*

‘Flying off the shelves’: Toys likely bright spot amid muted holiday retail season

Retailers say some inventory is already thin as people shop earlier than normal

In a year plagued by a deadly virus, closures and cancellations, parents are eager to give their kids a Christmas like, well, every other.

Overall holiday spending is expected to be muted as the second wave of COVID-19 worsens, causing ongoing economic uncertainty and tighter travel and gathering restrictions. One report from Deloitte Canada says holiday spending is expected to fall 18 per cent, with one in three Canadians planning to spend less.

But retail analysts say the lack of normalcy in 2020 may a driver for strong toy sales. Much of the drop is tied to lower spending on travel, dining out and entertaining, and experts suggest parents will forgo gifts for each other or make other sacrifices to put toys under the tree.

“People will want to do something to keep it as close to normal as possible, especially if you’ve got kids,” says Tim Sanderson, executive vice-president and national lead for retail with JLL Canada

In fact, the toy category has proven resilient throughout the pandemic so far.

Since lockdowns last spring, parents have scooped up “boredom busters” like puzzles, Lego, arts and crafts supplies, board games and outdoor activities.

Now retailers are expecting that trend to hold up during the biggest gift giving season of the year.

“With all kids’ events, camps and schools closing, parents have really tried to compensate to make sure that their kids are having fun or entertained or distracted,” says Gail Banack, chief kids officer for Indigo Books & Music Inc.

“We’re continuing to see that trend going into the holidays.”

With strong toy sales expected, retailers have rolled out sales early to keep shopping safe and physically distanced. Black Friday deals have been extended over the month, for example, to spread out shoppers and avoid long queues.

They’ve also released hot toys lists and tips ahead of schedule, and are encouraging parents to shop early to avoid disappointment.

The messaging appears to be working. While there are fewer customers shopping in stores, there are also fewer people just browsing or “shopping around.”

“There has been a decline in traffic in our stores, but we’re seeing that offset by the average transaction value going up with larger basket sizes,” says Sarah Jordan, CEO of Mastermind Toys.

She says the toy store chain, which focuses on educational kids’ toys, has also seen meteoric growth in online sales and curbside pickup orders.

“Customers are crossing off their holiday shopping list earlier than ever before to avoid crowds and last-minute trips to the stores,” Jordan says. “The bigger ticket items are flying off the shelves.”

Indeed, the messaging from retailers and mail delivery services urging people to shop early is working – perhaps too well, for the procrastinators among us.

Retailers say some inventory is already thin as people shop earlier than normal.

Sean Williams, vice-president and chief merchant with Toys “R” Us Canada, says the toy industry has been good at avoiding the Tickle Me Elmo toy shortages of years past – a plush children’s toy that sparked a holiday shopping frenzy in 1996 after it sold out.

But he says the pandemic is not something the industry could have prepared for.

“There’s been an insatiable demand on the consumer side for toys throughout the pandemic,” Williams says.

He says early holiday sales numbers are “far exceeding our expectations.”

“There are some items that are going to disappear and be much tougher for people to find for the big day.”

With that in mind, executives from three of the country’s top toy retailers are naming the hottest holiday toys, giving some insight into what products could run low on inventory – or are already nearly sold out.

One of the most sought-after toys this season is a collaboration between plastic construction toy maker Lego and video game company Nintendo. Lego Super Mario Adventures lets users build real-life versions of the video game levels, like deserts and grasslands.

“It’s had a spectacular debut,” says Mastermind’s Jordan. “It is proving to be a popular item … if you want it, you should get it soon.

She adds: “If there is a hit toy of the season, that is certainly it.”

READ MORE: Canada Post urges holiday shoppers to buy gifts early amid surge in online shopping

The next hot toy is the Star Wars “The Child” Animatronic Edition – also known as Baby Yoda.

The Hasbro figure makes sound effects inspired by Disney Plus’s “The Mandalorian,” with a motorized head, ears and eyes.

“It just landed and it’s starting to fly off the shelf,” Williams with Toys “R” Us says.

Another hot item is expected to be Present Pets by Canadian toy company Spin Master.

The interactive pets unbox themselves, revealing one of two possible plush puppies programmed with more than a hundred sounds and actions.

“For parents that aren’t ready to buy a puppy, this is a great alternative,” says Banack with Indigo. “It’s really bringing together the innovation of the pet with this trend that we’ve been seeing for years about unboxing.”

Other hot sellers include Vtech’s Kidizoom Creator Cam, MGA Entertainment’s Na! Na! Na! Surprise Ultimate Surprise Rainbow Kitty and Spin Master’s Hatchimals Pixies Crystal Flyers toy.

But toy retailers say classic children’s gifts like games, puzzles and outdoor activities are also expected to post strong sales this holiday.

“That was something that really took off during COVID and has sustained itself,” Banack says.

She says many parents are trying to limit screen time for children, increasing the appeal of some of the more traditional gifts.

“I think one of the objectives of every parent going into the holidays is to get their kids off devices,” Banack says. “We believe books are always a great choice.”

Brett Bundale, The Canadian Press


Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

coronavHolidaysRetail

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Krista Macinnis displays the homework assignment that her Grade 6 daughter received on Tuesday. (Submitted photo)
Abbotsford mom angry that students asked to list positive stories about residential schools

Daughter’s Grade 6 class asked to write down 5 positive stories or facts

Mission Fire Rescue Service holding a training session in 2016. Bob Friesen photo.
Firefighter’s human-rights complaint against District of Mission dismissed

District had just reason for firing man for insubordination, B.C. Human Rights Tribunal found

The annual Toys for Tots event in Abbotsford normally includes a free breakfast for anyone who drops off a toy or cash donation. This year’s event was to be held as a drive-thru, but that has also been cancelled. (File photo)
Toys for Tots drive-thru event cancelled in Abbotsford

Public encouraged to donate cash or bring toys to drop-off locations

Abbotsford Panthers star Haidyn Vermeulen (right) celebrates his signing with the Alberta Golden Bears football program along with his mother Niki Vermeulen and father Dan Vermeulen back in September.
Abbotsford’s Haidyn Vermeulen named to CFC Prospect Game

Abbotsford Senior Secondary School student one of 14 from B.C. to earn recognition

Shane Goodvin had just bought a house with wife Laura Major when he started experiencing severe back pain. That led to a diagnosis of pancreatic cancer, and the father of five children is now in rough shape. (Submitted photos)
GoFundMe set up for Chilliwack man fighting pancreatic cancer

Shane Goodvin has five children and a loving wife, and he’s worried about their future

A man wearing a face mask to help curb the spread of COVID-19 walks in downtown Vancouver, B.C., Sunday, Nov. 22, 2020. The use of masks is mandatory in indoor public and retail spaces in the province. THE CANADIAN PRESS/Darryl Dyck
B.C. records deadliest day of pandemic with 13 deaths, 738 new COVID-19 cases

Number of people in hospital is nearing 300, while total cases near 30,000

(File photo)
Alberta woman charged after allegedly hitting boy with watermelon at Okanagan campsite

Police say a disagreement among friends at an Adams Lake campsite turned ugly

Court of Appeal for British Columbia in Vancouver. (File photo: Tom Zytaruk)
B.C. woman loses appeal to have second child by using late husband’s sperm

Assisted Human Reproduction Act prohibits the removal of human reproductive material from a donor without consent

B.C. projects targeting the restoration of sockeye salmon stocks in the Fraser and Columbia Watersheds will share in $10.9 million of federal funding to protect species at risk. (Kenny Regan photo)
13 projects protecting B.C. aquatic species at risk receive $11 million in federal funding

Salmon and marine mammals expected to benefit from ecosystem-based approach

Join Black Press Media and Do Some Good
Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

File photo
Surrey RCMP investigating death threat against Surrey councillor

‘On Monday morning I received a threat on messenger that basically said to put a bullet in me,’ Councillor Jack Hundial told the Now-Leader

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Barrels pictured outside Oliver winery, Quinta Ferreira, in May. (Phil McLachlan - Black Press Media)
B.C. Master of Wine reflects on industry’s teetering economic state

Pandemic, for some wine makers, has been a blessing in disguise. For others, not so much.

Most Read