Toys market seen reaching $223.74 billion by 2035

The global toys market is projected to grow from $112.34 billion in 2024 to $223.74 billion by 2035, fueled by demand for educational, smart and sustainable toys. E-commerce, digital marketing and licensing deals are also reshaping how brands reach parents, schools and collectors worldwide.

Why it matters: - The global toys market is moving toward $223.74 billion by 2035, signaling steady demand across children’s, educational and collector segments. - Growth in educational and smart toys is changing what parents and schools buy, with more focus on learning, creativity and cognitive development. - The shift toward e-commerce and digital discovery is giving brands faster access to consumers and broader market reach.

What happened: - The market was valued at $112.34 billion in 2024 and is projected to reach $117.83 billion in 2025. - The market is forecast to hit $223.74 billion by 2035, reflecting a 6.62% compound annual growth rate from 2025 to 2035. - The update was issued in New York on July 15, 2026, by Market Research Future. - Free sample copy of the report is available online.

The details: - Educational toys, STEM kits, coding toys, puzzles, science sets and creative building blocks are among the main growth categories. - Manufacturers are adding augmented reality, artificial intelligence and app connectivity to toys to create more interactive play. - Product categories include action figures, dolls, construction sets, board games, puzzles, electronic toys, educational toys, outdoor play equipment, plush toys, vehicles and collectible toys. - Construction toys are gaining popularity for creativity and engineering skills. - Electronic and smart toys are growing quickly because of digital integration. - Outdoor toys remain important as parents encourage physical activity and healthier lifestyles. - Age groups covered by the market include infants, toddlers, preschool children, school-age children, teenagers and adult collectors. - Infant toys focus on sensory development and motor skills. - Preschool toys emphasize imagination, creativity and early learning. - School-age toys increasingly incorporate STEM learning and interactive technology. - Adult collectors are buying premium collectibles, nostalgic products and limited-edition licensed merchandise. - Material types include plastic, wood, metal, fabric, rubber, biodegradable materials and recycled materials. - Plastic remains the dominant material because it is versatile, affordable and easy to manufacture. - Demand is rising for wooden toys, recycled plastics, biodegradable materials and eco-friendly production methods. - Distribution channels include supermarkets and hypermarkets, specialty toy stores, online retail platforms, department stores and other retail channels. - E-commerce is one of the fastest-growing channels because of convenience, wider selection, competitive pricing, reviews and doorstep delivery. - End users include households, educational institutions, childcare centers, recreational facilities and gifting customers. - Household purchases remain the largest demand source. - Schools and educational institutions are using learning-focused toys for classroom activities. - Birthday, festival and holiday gifting continues to support sales throughout the year.

Between the lines: - The market is being pulled in two directions: higher-tech products for engagement and lower-impact materials for sustainability. - Social media, toy reviewers and unboxing videos are becoming major discovery channels, which increases the importance of digital marketing. - Safety compliance is shaping product design across North America, Europe and Asia-Pacific, pushing manufacturers toward certified materials, non-toxic paints and durability testing. - Licensing is still a strong commercial lever, with toys tied to movies, television, gaming franchises, sports personalities and social media influencers. - North America holds a significant share because of high spending and established retail networks. - Europe is supported by demand for educational and sustainable toys, along with strict safety rules. - Asia-Pacific is expected to grow the fastest because of rising incomes, urbanization and online retail expansion. - South America and the Middle East & Africa offer long-term upside as retail networks expand and awareness rises.

What's next: - Emerging economies are likely to add demand through higher birth rates, a growing middle class, rising disposable income and urbanization. - Sustainable and personalized toys are positioned to create new revenue streams over the next decade. - Brands that balance affordability, safety, environmental responsibility and engaging play experiences are likely to outperform competitors. - Continued investment in technology, licensing and digital commerce should keep the market on a growth path through 2035.

The bottom line: - Toys are evolving from simple play products into learning tools, connected devices and collector items, and that shift is driving the category’s next phase of growth. - Market participants named include Lego Group, Bandai Namco Holdings Inc., Tamiya Incorporated, Spin Master Corporation, Hasbro, Inc., Mattel, Inc., Funko Inc., Clementoni S.p.A, Funskool (India) Ltd. and Goliath Games.