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Mattel hopes to counter Chinese imports with new toys, ties up for Dhoom 3 franchise
By Sagar Malviya, | 29 Oct, 2013, 04.11AM IST
READ MORE ON market share | Katrina Kaif | Indian market | Dhoom 3 | Bollywood | Aamir Khan
"The cheaper toys will be rolled out in India before their launch in other emerging markets, said Peter Broegger, senior vice president, Asia Pacific"ET SPECIAL:
MUMBAI The world's biggest toy maker Mattel Inc wants to increase its India market share by producing a range of toys that can compete with cheap Chinese imports, besides venturing into Bollywoodmerchandising with the upcoming Dhoom 3starring Aamir Khan.
The cheaper toys will be rolled out in India before their launch in other emerging markets, said Peter Broegger, senior vice president, Asia Pacific, Mattel East Asia, adding that there will be no discernible difference in quality. Prices will be about 30-40% cheaper.
"It's basically toys that match our global standards, but are scaled to a market place by minimizing some of the ways we do our packaging for toys," he said. "So the experience will be no different for a child here than any other kid globally." Mattel, which owns brands such as Barbie and Fisher-Price, is seeking a bigger bite of the Rs 8,000 crore Indian toy market, which has seen buyers flocking to Chinese made goods that cost less. Volumes are critical in the Indian market, which Mattel entered two decades ago. "There is nothing that prevents India to be (among) the top five markets in the world," Broegger said.
The merchandise for Dhoom 3, which is produced by Yash Raj Films, will be based on characters played by Khan and Katrina Kaif in the movie. The film is scheduled to be released in December.
"This coming together of Dhoom 3 and Mattel is the first for any Indian film and will certainly set the stage for greater strides in licensing and merchandising in the entertainment sector, both locally and internationally for Indian film related merchandise," said Rohit Sobti, vice president for licensing and merchandising, Yash Raj Films. This won't be Mattel's first Bollywood association though. Two years ago, Mattel introduced an Indian Barbie modelled on actress Kaif.
Mattel will need to contend with rivals stepping up their marketing efforts. Funskool India, a joint venture between tyre maker MRF and Hasbro, is planning to launch its own brands as well as products from the global partner, which owns marquee labels such as Lego. Going by the representation at the Kids India 2013 trade fair last week in Mumbai, local companies are also getting more active -- out of 108 exhibitors, 91 were from India, indicating the growth of the toy industry in the country despite tough competition from global players.
The Indian market is maturing, said Vivek Jhangiani, president, All India Toys Manufacturing Association. For Indian manufacturers, what's critical is quality and not price, he said.
The cheaper toys will be rolled out in India before their launch in other emerging markets, said Peter Broegger, senior vice president, Asia Pacific, Mattel East Asia, adding that there will be no discernible difference in quality. Prices will be about 30-40% cheaper.
"It's basically toys that match our global standards, but are scaled to a market place by minimizing some of the ways we do our packaging for toys," he said. "So the experience will be no different for a child here than any other kid globally." Mattel, which owns brands such as Barbie and Fisher-Price, is seeking a bigger bite of the Rs 8,000 crore Indian toy market, which has seen buyers flocking to Chinese made goods that cost less. Volumes are critical in the Indian market, which Mattel entered two decades ago. "There is nothing that prevents India to be (among) the top five markets in the world," Broegger said.
The merchandise for Dhoom 3, which is produced by Yash Raj Films, will be based on characters played by Khan and Katrina Kaif in the movie. The film is scheduled to be released in December.
"This coming together of Dhoom 3 and Mattel is the first for any Indian film and will certainly set the stage for greater strides in licensing and merchandising in the entertainment sector, both locally and internationally for Indian film related merchandise," said Rohit Sobti, vice president for licensing and merchandising, Yash Raj Films. This won't be Mattel's first Bollywood association though. Two years ago, Mattel introduced an Indian Barbie modelled on actress Kaif.
Mattel will need to contend with rivals stepping up their marketing efforts. Funskool India, a joint venture between tyre maker MRF and Hasbro, is planning to launch its own brands as well as products from the global partner, which owns marquee labels such as Lego. Going by the representation at the Kids India 2013 trade fair last week in Mumbai, local companies are also getting more active -- out of 108 exhibitors, 91 were from India, indicating the growth of the toy industry in the country despite tough competition from global players.
The Indian market is maturing, said Vivek Jhangiani, president, All India Toys Manufacturing Association. For Indian manufacturers, what's critical is quality and not price, he said.
http://economictimes.indiatimes.com/news/news-by-company/corporate-trends/mattel-hopes-to-counter-chinese-imports-with-new-toys-ties-up-for-dhoom-3-franchise/articleshow/24834336.cms
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