Financial Daily from THE HINDU group of publications
Thursday, Jun 09, 2005

Catalyst
Features
Stocks
Port Info
Archives

Group Sites

Catalyst - Strategy
Industry & Economy - Radio/TV


Tooning in

Priyanka Jayashankar

Children's desire to own the characters they see in cartoon shows presents a big opportunity for toy manufacturers, media groups and retailers.

EIGHT-year-old Tamara Jose exclaims, "I feel like I'm part of the cartoon adventure whenever I play with Winnie the Pooh dolls." To throw in some girl power, this avid cartoon viewer has added Power Puff Girls to her toy collection. Like Tamara, school-goers from Bangalore to Birmingham look out for their cartoon and fiction heroes on toy store racks. And this craze is turning into a serious market opening for toy makers, media groups and retailers.

In India, the toy souk is getting more `animated,' with a mind-boggling range of children's channels and cartoon-based toys. "Pokemon, Harry Potter and Mickey Mouse are great lures in the toy market. The brand equity of the character, built assiduously through books and films in the case of Harry Potter, rubs off on the toy. Getting quick acceptance in the market is possible for toys that use this as a plank," says Harish Bijoor, CEO, Harish Bijoor Consults Inc.

After firing the imagination of children worldwide, the boy wizard cast his spell on the toy market. The international range of Harry Potter toys was launched by Mattel in India to coincide with the release of the film Harry Potter and the Sorcerer's Stone. "The response to Harry Potter toys was good, though restricted to certain pockets of the country," says Sanjay Luthra, CEO of Mattel India. The company stopped merchandising Harry Potter toys in order to focus on its long-time brands such as Hot Wheels and Barbie. However, toy e-tailers have still managed to profit from Potter mania. Indiatimes.com has sold more than 8,000 units of Harry Potter merchandise in the last one year, notes the site's General Manager and Business Head — E-commerce.

Cartoons pay off

The Pokemon anime (a vivid Japanese animation) became a household name across the country after it was aired on Cartoon Network. "It consistently rates amongst the top five shows of the channel," says Jiggy George, Director, Cartoon Network Enterprises (India and South Asia Turner International India Pvt. Ltd).

Taking inspiration from the Pokemon games motto, `Gotta catch 'em all,' Funskool launched merchandise aimed at Pokemon fans. Funskool (India) Ltd's Chief Executive, Raphael Kuriyan, says the company raked in high revenues through Pokemon play items including games, puzzles and cards. Retailers such as Toys Kemp and Odyssey too observe that icons such as Pokemon have drawn more children to their branches.

"A lot of nurturing and conscious structuring of young minds through television gets reflected in their choice of toys," says Ravi Melwani, the CEO of Toys Kemp. International fast food chains have jumped onto the bandwagon by tying up with the Pokemon copyright holders. McDonald's, for instance, has also been licensed to sell Pokemon items in its global outlets, including India. Bob the Builder has driven up viewership ratings and sales of the eponymous toy. Cartoon Network's fourth largest gross rating points (GRP) contributor turned out be the Bob the Builder show and consequently, Hit Entertainment launched the licensing programme for the cartoon in India. This cheery handyman, along with Thomas and Friends, also happens to be Funskool's top-selling cartoon-based toy.

"TV programming holds interest for the child, it drives the product," says Raphael Kuriyan, adding that 25 per cent of the company's revenues are from cartoon-based toys. The toy maker also holds licences for Popeye, Power Puff Girls and Warner Bros characters. Cartoon Network Enterprises recently launched a consumer products programme for its on-air properties Power Puff Girls, Johnny Bravo and Dexter's Laboratory. Eyeing big bucks in powerful cartoon themes, Mattel unveiled The Masters Of The Universe series and Justice League in their plastic avatars. As Mattel's Luthra puts it, "Any successful entertainment-based brand needs to have a unique story and provide the consumer with a strong and relevant experience."

Meanwhile, He-Man's heroic exploits against the dark lord Skeletor and the team camaraderie in Justice League are enthralling cartoon viewers as well as toy buyers. The Justice League series on Cartoon Network was a hit among boys in the 4-14 age group in 2004 and its toy brand is also gaining popularity.

After having forayed into the Indian market nine years ago, Disney licensed its characters to manufacturers such as Funskool and Mahindra Intertrade. Rajat Jain, the Managing Director of Disney, attributes the consistent sales growth to the long-time presence of Disney animations on cable television. "What you see is what you want to own," he says. The company's Plush soft toys, ranging from Winnie the Pooh to Mickey Mouse, are finding takers across various age groups. Such toys and merchandise, believes Jain, will help sustain high viewership for the recently-launched Disney channels. "Both media (toys and channels) can reach out and capture the same audience."

The entry of the exclusive anime channel, Animax, in India is giving an oriental touch to the market for cartoon-based toys. Since Astroboy, the endearing android, has been a popular franchise across Asia, the Animax channel is considering merchandising and licensing options using the character in India, according to Rohit Bhandari, Assistant Vice-President Marketing, Sony Entertainment Television (SET). "Toys based on popular characters help promote the viewership of the shows while the viewership boosts the sales of these toys," he adds.

Bullish on entertainment-based toys, Toys Kemp's Ravi Melwani says that He-Man, Digimon (yet another anime) and Barbie play items owe their vast markets and huge clientele to their television programming.

Funskool is focusing more on below-the-line promotions for its entertainment-based toys such as demos at toy outlets, point-of-purchase display and the sponsorship of competitions. "We are planning to have joint promotions this year with Cartoon Network and the Disney channel," says Raphael Kuriyan.

Mattel, for its part, has evolved a 360-degree marketing mix through advertising, consumer promotions and retail display for its cartoon icons. "This brings alive the on-screen experience and heightens the consumer association with the brands," explains Sanjay Luthra. Without a toy-centric thrust, Disney has promoted its merchandise (apparel, stationery, home furnishings, consumer electronics and books) through road shows and trade fairs. Its mascots also graced a major event at a retail mall. But behind the hype and glitz, is the fiction-based toy segment poised for higher growth? "Definitely," says Rajat Jain. But the market is still nascent and the toy content should start measuring up to global standards.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Getting into a lather


Tooning in
The battle begins
Child's play
In-PRogramme placements
`The King and I'
You need the right kind of confidence
Oil-free
Fun stuff
It's juicy
Woof!
Safe hues
Foot care
Rose effect
Freshen up


The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright © 2005, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line