Play time: Revenue will rise due to rising disposable income levels and an improved retail environment

The Hobby and Toy Stores industry in Canada sells a wide range of discretionary goods and primarily consists of small businesses with fewer than 10 employees. Over the five years to 2019, the industry has performed well, benefiting from rising disposable income levels, falling unemployment and an improved retail environment. While industry performance has been positive over the past five years, the retail environment has become increasingly cluttered and growing competition has created difficult operating conditions for industry operators. As a result, some of the industry's largest operators have struggled. Led by continued growth in consumer confidence and disposable incomes, industry revenue is also forecast to increase over the five years to 2024...read more.

Industry Statistics & Market Size
Revenue
$3bn
Annual Growth 14-19
2.8%
Forecast Growth 19-24
Profit
Employment
15,896
Businesses
1,958

Industry Threats & Opportunities

  • The retail environment has become cluttered and growing competition has created difficult operating conditions
  • The industry has increasingly come under threat from mass merchandisers
  • Large discount retailers will remain a significant source of competition
  • Industry Report - Starting a New Business Chapter

    New operators planning to enter the Hobby and Toy Stores industry in Canada will experience some challenges. Although most industry operators are small and independent retailers, large companies both within and external to the industry benefit from economies of scale and hold enough market share to exhibit pricing pressure on industry-retailed products. These larger operators are often able to purchase a wide variety of merchandise, at discounted prices and pass savings on to consumers with little negative affect on their product margins. These large companies may also be better able to negotiate exclusive product contracts with toy and hobby goods manufacturers, further increasing competition for new industry entrants. In ...purchase to read more.

    Additional Insights for the Hobby & Toy Stores Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Hobby & Toy Stores Industry are

  • Attractive product presentation
  • Having an exclusive sales contract
  • Having a cost effective distribution system
  • IBISWorld analysts also discuss how external factors such as National unemployment rate and Number of children aged 19 and younger in the Hobby & Toy Stores industry impact industry performance..

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    What's in this report

    What is the Hobby & Toy Stores Industry?

    This industry sells a broad range of toy and hobby goods, such as traditional dolls and toys, electronic toys (including video and electronic games), board games and hobby kits. Online retailers and operators that sell used toys and hobby goods, art supplies and collectors’ items are not included in this industry.

    Industry Products
  • Electronic toys and games
  • Traditional toys
  • Hobby and craft supplies
  • All other
  • Art and craft supplies
  • Industry Activities
  • Retailing toys
  • Retailing traditional and electronic games
  • Retailing magic supplies
  • Retailing hobby goods
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • National unemployment rate
  • Number of children aged 19 and younger
  • Leisure time
  • Total retail sales

  • Current Performance
  • Retail environment and industry structure
  • Industry trends
  • Chart: Revenue Growth

  • Industry Outlook
  • Competitive environment
  • More income, more technology
  • Table: Hobby & Toy Stores Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Hobby & Toy Stores Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers in Canada

  • Key Selling Industries
  • Toy & Craft Supplies Wholesaling in Canada
  • Toy, Doll & Game Manufacturing in Canada

  • Products & Services
  • Traditional toys
  • All other
  • Art and craft supplies
  • Hobby and craft supplies
  • Electronic toys and games
  • Chart: Hobby & Toy Stores Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers aged 25 to 54
  • Consumers aged 55 and over
  • Consumers aged 24 and younger
  • Chart: Major Market Segmentation for the Hobby & Toy Stores Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRent and utilitiesDepreciation and marketing
  • Chart: Cost Structure Benchmarking – Sector vs Hobby & Toy Stores

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Hobby & Toy Stores Industry

  • Industry Globalization
    Toys "R" Us (Canada) Ltd., The Michaels Companies Inc., GameStop Corp.,
  • Table: Toys "R" Us (Canada) Ltd. - financial performance
  • Table: The Michaels Companies Inc. - financial performance
  • Table: GameStop Corp. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Hobby & Toy Stores Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Hobby & Toy Stores Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)
  • Per capita disposable income (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Age Compression
  • The phenomenon where children outgrow toys at a younger age than the target market, resulting in greater demand for more adult-like merchandise.
  • Do-It-Yourself (Diy)
  • A method wherein consumers personally create, build and/or design their own projects and products without the assistance of professionals.
  • Tweens
  • Children between the ages of eight and 12.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Hobby & Toy Stores market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Hobby & Toy Stores:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Hobby & Toy Stores market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Hobby & Toy Stores, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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